Russia’s Finance Ministry has unveiled a draft federal budget for 2027-2029, proposing several tax measures designed to bolster government revenues amid ongoing fiscal challenges. The proposal introduces progressive tax rates on passive personal income, ranging from 13% to 22%, which would impact income sources such as bank deposit interest, dividends, real estate sales, and securities trading. This change is expected to affect approximately 4 million higher-income Russians, although military personnel will be exempt from the increased tax on passive income.
The draft budget also outlines a 35% tax on certain dividend payments transferred to non-resident “Type C” accounts and a 15% tax on the passive earnings of mutual investment funds. Additionally, cross-border online purchases are set to face a 22% value-added tax and a flat customs fee of 100 rubles for international packages valued below €200. The plan further proposes a 30% tax on excess earnings from mining and metals companies, linked to elevated global commodity prices.
The Finance Ministry emphasized that the budget would continue to prioritize defense and security, while also fulfilling social commitments and supporting military personnel and their families. The draft projects a federal deficit of about 2% of GDP in 2027, based on an assumed oil price of $50 per barrel.
This proposal comes as Russia grapples with sustained pressure on its public finances, exacerbated by declining energy revenues and high government spending. The new tax measures are part of efforts to mitigate these financial strains and ensure fiscal stability in the coming years.