20 Nov 2023 13:33

Russian budget has received 40 bln rubles in windfall tax so far; main payments lie ahead, plan is feasible - Finance Minister

MOSCOW. Nov 20 (Interfax) - The Russian budget has so far received approximately 40 billion rubles in windfall tax, Finance Minister Anton Siluanov said when answering questions from members of the Federation Council during an extended meeting of the committee on the budget and financial markets.

Siluanov recalled that 300 billion rubles in total are planned from the windfall tax, saying that the main payment period lies ahead, and the Finance Ministry expects full collection according to the plan.

"We have planned to generate about 300 billion rubles from the windfall tax, with around 40 billion rubles having arrived today from the amount that we are planning. However, the main payment period is in November-December, so we hope that the planned figure will one way or the other be fulfilled by the end of the year," Siluanov said.

The one-off windfall tax for large Russian companies whose respective average profits exceeded 1 billion rubles for 2021-2022 will be implemented as of January 1, 2024. The tax rate is 10% of the excess profit for the two-year period over the same figure for 2018-2019. The tax must be paid no later than January 28, 2024, and the taxpayers themselves calculate the amount. However, taxpayers could cut the amount in half to an effective rate of 5% by transferring a security payment from October 1 to November 30, 2023. All potential taxpayers who have commented publicly on their respective plans have confirmed their intentions to take advantage of the 5% option.