The Russian Ministry of Finance is leaning towards not changing the residency status for Russians working abroad. Thanks to this, they will be able to pay taxes at the same rate as employees in the Russian Federation – 13%. This was announced by the Minister of Finance Anton Siluanov.
“We are considering this issue and, of course, we are inclined to not change here, which means the status of residence, and we provide that such a type of activity that is carried out in our country from abroad is also taxed at a rate similar to and for residents of the Russian Federation, i.e. 13%. We are now also working on such proposals with the parliament,” Mr. Siluanov said on the air of the Vesti program on the Rossiya-1 TV channel.
In October, the minister called the idea of imposing personal income tax on the salaries of Russians who left the country and continue to receive income from Russia, “a matter of fair taxation.”
Now non-residents (those who are outside the Russian Federation for more than 183 days a year in total) pay tax at a 30 percent rate, and at the end of the year, such employees must independently submit a 3-NDFL tax return to the Federal Tax Service. In July, the Ministry of Finance prepared a draft law, according to which the employer of the “remote worker” will be able to withhold the tax himself. Experts said that in practice, not all companies can indicate the place of work of their employees in the documents provided by the tax authorities.
Read more about the initiative of the Ministry of Finance – in the publication “Kommersant” “You can’t get away from personal income tax.”