Russia: Vladimir Putin announces income tax reform

Text by: RFI Follow

Russian President Vladimir Putin announced on Tuesday June 23 a very symbolic income tax reform. A measure that wants to be "social" to fund medical research, and that approaching the referendum on the reform of the Constitution desired by the president.

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With our correspondent in Moscow, Daniel Vallot

It was one of the flagship measures of Vladimir Putin's first mandate in the early 2000s: a single tax rate, at 13%, to fight tax evasion and fraud. Twenty years later, the Russian president is still there, but in his eyes, the tax administration has improved, enough in any case to do away with this single rate.  

"  I propose to raise the tax rate from 13% to 15% for all those who earn more than five million rubles a year (around 63,000 euros, note) ," said the Russian president. This will make it possible to free up nearly 60 billion rubles which we will allocate to children suffering from rare diseases, to the purchase of medicines and high-tech equipment.  " 

Vladimir Putin has not decreed an exemption for the poorest households. But he announced new support measures for families, faced with the consequences of the coronavirus. A week before the vote on the reform of the Constitution , the Head of State hopes to regain some of the confidence lost in recent months with the population. If the text is validated, the Russian president will be able to claim two new mandates, and remain in power until 2036. 

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• Russia
• Vladimir Poutine