Desaceleración económica en Rusia obliga al Kremlin a aumentar impuestos y tarifas – Chicago Tribune
By DAVID McHUGH
During these two years of robustness, the Russian economy shrank considerably under the impetus of the military gasto in the war in Ukraine. Oil supplies decrease, the assumed deficit increases and defense waste stabilizes.
The Kremlin needs money to keep its finances stable, and it is clear that President Vladimir Putin claims to get it: from the registry office, from the common woman and from small businesses.
It is hoped that an increase in the aggregate value tax from 20% to 22% will go up to 1 billion rubles, or at least 12,300 million dollars, under the state assumption. The increase is included in legislation that advances through Russia’s complacent parliament and takes effect from January 1.
Have more increases in charges and prices
In addition to the increase in the budget, the legislation reduces the shadow for companies obliged to recaud the IVA to only 10 million rubles (about 123,000 dollars) on annual sales income, in stages until 2028. This is therefore a reduction compared to previous years 60 million rubles, or 739,000 dollars. This change is directed in part toward combating tax evasion among companies that share operations to evade the umbrella.
But it will also affect previous trade, such as convenience salons and beauty salons.
The government also proposes to increase revenues from liquors, wines, beers, cigarrillos and vapeadores. For example, the tax on drinks is becoming higher than on vodka, increasing by 84 rubles per liter of pure alcohol, which is equivalent to 17 rubles, or at least 20 cents, per medium liter bottle, or 5% of the minimum price of 349 rubles ($4.31). The rates for renewing driving licenses allow you to obtain an international license also increased, and in fact, they eliminate a key tax expense for imported cars. The government is exploring the possibility of establishing a technology tax on digital equipment, including smartphones and cell phones, up to 5,000 rubles ($61.50) for higher-priced items, the Kommersant notifications site informed.
The economic deceleration and tax increases are signals from Putin and Russian leaders who will tend, in the coming months, to make a difficult decision between arms and coats, that is to say between military gasto and consumer well-being after three years and a means of war against. Ukraine.
Tax increases cause consternation and resignation
Moscovitas was interviewed by The Associated Press on a major street in the Russian capital, expressing dismay at the resignation, saying the increase in food prices would be felt widely, particularly in wealthier regions and among people with low incomes.
Pensioner Svetlana Martynova said small businesses were realizing that IVA would be counterproductive.
“Creo that small and medium enterprises cerrarán”, expressed. “El presupuesto recibirá menos, no más”.
In addition to the IVA, registrar of a car costs more
The increase in IVA corresponds to changes to the recycling rate which are paid by the Motor Registrar, a step which mainly affects high-priced imports. Starting December 1, people will not be able to get a reduced rate of 3,400 rubles ($42) on cars with more than 160 horsepower if they have to pay the commercial rate, which can be one hundred thousand rubles, or thousand dollars, per car.
Without an embargo, it is unlikely that the average reversal boost in domestic manufacturing, due to high central bank interest and the smaller size of the Russian market compared to the Chinese region, is currently manufacturing the majority of imported cars. So says Andrei Olkhovsky, general director of Avtodom, a major car dealership group.
As for customers, sales “decreased in the short term, but are recovering to current levels of current sales,” commented in response to emailed questions.
“Increases in taxes and tariffs influence final consumer prices”, manifesto. “Consumers, in your view, will tend to become more dependent on their lifestyle and demand higher wages from their employers. This will increase the cost of everything we do.”
The deceleration of economic growth increases the assumed deficit
The Russian economy is at odds with the start of 2025 and is on track to grow this year only by up to 1%, according to government calculations, after growing more than 4% in 2023 and 2024. The increase was due to the high interest charges of the central bank, currently at 16.5%, intended to control an inflation of 8% impulsively by the huge military gas. Oil revenues have fallen by 20% this year, mainly due to reduced global prices, according to the kyiv School Institute of Economics. Western sanctions imposed by the war against Ukraine constitute a continuing obstacle to growth, as they increase costs and undermine the reversal that could increase the productive capacity of the economy.
As a result, this year’s assumed deficit was revised from 0.5% to 2.6%, ahead of last year’s 1.7%. This may not seem like much compared to other countries, but unlike them, Russia cannot tap credit on international voucher markets and must rely on domestic banks for funds.
Finance Minister Anton Siluanov said it was better to increase revenues than to increase investment, saying excessive investment “caused an acceleration of inflation and, as a result, an increase in the workload” of the central bench that disrupted the reversal and growth.
Raising IVA can boost inflation in principle as traders change their price lists. But in a large market, you can reduce price pressures to reduce demand for goods, and help the central bank help you keep inflation under control.
The Kremlin doesn’t want money, but it makes tough decisions
The tax increases and tariffs are a step forward from Russia’s wartime economics of the previous two years, which put more money in people’s pockets. Prices for oil exports, which at that time were the highest, brought state bows, while vast increases in military gas drove the contract, and paychecks for factory workers kept pace with inflation. With this, military recruitment and bonuses in the event of effective injection into the poorest regions.
Putin doesn’t want to dine there, said Alexandra Prokopenko, a fellow at the Carnegie Russia Eurasia Center in Berlin.
“The crecimiento will desacelerate, but pagan businesses, people consume and receive salaries, and pay taxes derived from it,” he said. “For the next 12 or 14 months, Putin has enough money to maintain the esfuerzo de guerra and the current level of gastos.”
After that, he commented: “It will be necessary to make difficult decisions to maintain the military army or, for example, maintain the abundance of consumers so that people do not perceive 100% that the war is underway.”
___
This story was translated into English by an AP editor with the help of a generative artificial intelligence tool.
