Russia Business Directory

The Russian tax system consists of federal taxes and fees, taxes and fees of Russian Federation member territories (also called regional taxes and fees) and local taxes and fees.

The main governmental body is the Federal Tax Service (Russian abbreviation GNS) which is subordinate to Ministry of Finance of the Russian Federation.

Federal taxes and fees include:
   1)  value-added tax;
   2)  excise taxes on particular types of goods (services) and separate types of mineral raw materials;
   3)  tax on profit (income) of organisations;
   4)  capital gains tax;
   5)  personal income tax;
   6)  contributions to state social off-budget funds;
   7)  state duty;
   8)  customs duty and customs fees;
   9)  tax on subsoil use;
   10)  tax on rehabilitation of the mineral raw materials base;
   11)  tax on additional income from hydrocarbons production;
   12)  fee for the right to use fauna and aquatic biological resources;
   13)  forest tax;
   14)  water tax;
   15)  ecological tax;
   16)  federal license fees.

Regional taxes and fees include:
1)  tax on property of organisations;
2)  tax on real estate;
3)  road tax;
4)  transport tax;
5)  sales tax;
6)  tax on the gambling business;
7)  regional license fees.
After enactment of real estate tax, the tax on property of organisations, individual property tax and land tax shall cease to be effective in the corresponding area.

Local taxes and fees include:
1)  land tax;
2)  individual property tax;
3)  tax on advertising;
4)  inheritance or gift tax;
5)  local license fees.

The profit tax (corporate) consists of 2 rates:
- Federal tax - -6.5%.
- Regional tax - 17.5% (regional authorities can introduce a reduction, but maximum of up to 4%).
The maximum profit tax is 24%. Small/medium companies and individuals meeting certain criteria can choose an alternative "simplified tax system".

- VAT: rates 0%, 10% and 18% (the latter in most cases)

- Assets tax (property tax): the rate is set by the regional authorities, maximum 2.2%

- Unified Social Tax - from 26% for most categories, from 20% for agricultural enterprises, enterprises of indigenous people etc

- Tax on exploration of natural resources - depending on the type of resources, from 5% to 17,5%

- Land tax - from 0,3 % to 1,5%

- Personal income tax - 13%

Taxation incentives in special economic zones (SEZ)
The residents of the SEZs are exempt from the property and land taxes for five years. Additionally, for the residents of the technical-innovative zones the single social tax is reduced from 26% to 14%. The residents of the industrial-manufacturing zones are allowed to double the depreciation coefficient, and write off costs for future periods and R&D without limitation. Besides, the regional and local authorities may introduce additional tax privileges.

The law also foresees that in the event of tax changes worsening the business position of the residents, such taxes do not apply to the residents of the SEZs. However, this rule does not cover excisable goods. Goods imported to the SEZs are not subject to customs duties and VAT.

A comprehensive overview of all taxes with deadlines, exceptions, calculations etc can be found of the website of Ministry of Finance, though in Russian only.

General information
Federal Tax Service - official website. Updates of legislation, sections for corporate and individual taxpayers (rus)

Ernst & Young Taxation Overview - website of E&Y in Russia with legislation updates in English. Some sections of the website require registration (eng)

Legislation Database - search for taxation legislation on Kodeks.ru (eng)

Other relevant sources
Federal Service on Tariffs - official site (rus)
About avoidance of double taxation Norway - Russia - official site of the Ministry of Finance of Russia (nor)
Russian taxation (by Tax and Legal Centre) (eng)
Om overenskomst, dobbelbeskatningsavtale mellom Norge og Russland - official information (nor)
Taxation of income (Agreement between Norway and the Russian Federation) - Letter from the Directorate of Taxes (nor)
VAT in Russia - by the American Chamber of Commerce in Russia (eng)
Expatriate Taxes - by the American Chamber of Commerce in Russia (eng)