Federation Council: Exempt sanctioned Russians from taxes

Federation Council: Exempt sanctioned Russians from taxes

Such amendments to the law may be beneficial, in particular, to billionaire Gennady Timchenko, who had paid taxes in Switzerland for many years, but has to live in Russia due to the American sanctions.

The Federation Council voted for a bill that allows Russians under sanctions not to declare their income and not to pay taxes in Russia in special cases. 132 senators voted for the document, nine abstained. Broadcast was conducted on the website of the upper house of parliament.

During the discussion, Senator Vitaly Shuba confirmed that the law would come into force retroactively from January 1, 2014. If any of the sanctioned Russians wants to take advantage of it, the ‘overpaid’ taxes for two years (2014 and 2015) will be refunded to him/her.

“So it appears that today the law protects a certain caste. <…> It is aimed at material support for people who do not need it,” Senator Vyacheslav Markhaev has commented on the new provision.

The amendments adopted by the Federation Council had been proposed by the United Russia Deputy Andrey Makarov. They allow Russians to maintain a foreign tax residency, even if they are forced to permanently live in Russia due to sanctions.

Makarov attributed the need for such changes to the fact some Russians had left their business and property abroad. He did not specify who exactly needed this provision. According to Meduza, such amendments to the law may be beneficial, in particular, to billionaire Gennady Timchenko, who had paid taxes in Switzerland for many years, but lives in Russia due to the American sanctions.⁠

Discuss

Recommended

1 / 3