Putin approves law on introduction of new personal income tax scale from 2025
The President approved a law according to which a progressive personal income tax scale will come into effect in Russia starting in 2025.
Vladimir Putin signed a document that had previously been approved by members of the lower house of parliament.
The corresponding law was published on Friday, July 12, on the legal information website .
Starting in 2025, a five-stage personal income tax (PIT) scale will be introduced in Russia.
For example, for Russians whose annual income does not exceed 2.4 million rubles, the rate will remain at 13%.
Income from 2.4 million to 5 million rubles will be taxed at 15%. For those who earn from 5 million to 20 million rubles, a rate of 18% will be introduced.
20% is provided for Russians with an income of 20 million to 50 million rubles. And 22% for individuals whose income exceeds 50 million rubles.
But the law does not apply to payments to participants in the special operation and the allowances that have been introduced in the northern regions. In addition, this decision will not affect the self-employed.
The authorities believe that this approach will be fairer and more effective. At the same time, the percentage scale was chosen taking into account the current rates in other countries of the world.
Politicians tried to keep rates not too high in order to maintain the country's attractiveness for big capital.
