How Much Taxes Increased on high-earning citizens?

Syed Umarullah HussainiWeb Editor

24th Jun, 2020. 11:37 am
Taxes

Russian President Vladimir Putin has increased taxes on the top earners due to the corona virus.

Vladimir Putin has announced a 2% increase in taxes on high-earning citizens.

He said that from January 1, the rate of earnings practice will be 13 to 15 percent and will be applicable to those earning more than $73,000 per annum.

The move will generate 60 billion rubles ($875 million) in extra revenue for the government, Putin said.

By imposing taxes on the rich before the elections, the Russian president has attracted voters because the majority of the poor in Russia want to increase taxes against the elite.

The proposal of the flat income tax one of Putin’s first flagship financial reforms, introduced in 2001 in a bid to reduce tax evasion and ensure a more constant stream of income for the Russian budget.

Families will receive a 10,000 ruble ($145) payment in July for every child under the age of 16, and another 100 billion rubles ($1.5 billion) will dished out in government-backed cheap business loans for companies to pay employees — loans which can written off if firms don’t cut employee numbers.

Meanwhile, the number of deaths due to corona virus in Russia has exceeded 8,300. The number of people infected with Corona in Russia has risen to more than 599,000.

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