Russia Plans Tax Hike on Businesses, Rich as War Costs Mount

  • Russia may collect $29.2 billion in extra taxes in 2025
  • Majority to be paid by business due to corporate tax hike

The headquarters of the Finance Ministry in Moscow.

Source: Bloomberg

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Russia said it plans to raise taxes on businesses and the wealthy, targeting a relatively small number of people in what could prove a popular move as the invasion of Ukraine continues to put pressure on government finances.

The Finance Ministry plan would introduce a more robust progressive income tax, while the levy on corporate profits would rise to 25% from the current 20%, according to the Interfax news service, which cited a proposal filed to the government.