According to The Bell, citing informed sources in government and Kremlin circles, Russian authorities are considering increasing VAT from 20% to 22%. This proposal is linked to the budget deficit, exacerbated by military spending, and envisions maintaining benefits for socially essential goods.
As one informed interlocutor reported, "taxes will definitely be raised," and final discussions are already underway. In particular, budget issues were discussed at a meeting with Prime Minister Mikhail Mishustin on September 10.
Another source from the publication called this measure logical, explaining that raising taxes is preferable to increasing the structural deficit and abandoning the budget rule to ensure price stability. Without additional fiscal revenues, even with a reduction in defense spending, the country will struggle to make ends meet.
Alternative options are also being discussed, including raising the profit tax and personal income tax. One interlocutor emphasized: "Taxes are better than printing money. Inflation is also a tax, only it hurts the poor more."
According to estimates by an economist cited by The Bell, a VAT increase could bring the budget about 0.5% of GDP or 1 trillion rubles annually, excluding potential exemptions for certain categories of goods.