Russia's Finance Minister Alexei Kudrin has announced plans for an increase in social security tax and a redistribution of oil revenues to bolster the state pension, with demands on the system expected to grow strongly over the coming years.
Under the draft proposals unveiled by Kudrin on Sunday, the unified social tax, which currently underpins the state pension system, will increase to 24.7% from its current level of 21.5%. In addition, a 3% 'social tax' could be levied on personal income.
The proposals form part of a long-term fiscal strategy that will seek to guide the Russian government's budget policy through to the year 2023.
The plan also calls for a proportion of oil revenues to be diverted from the Reserve Fund, which currently tops up the government's budget, to the National Welfare Fund, to make provision for both an increase in the level of pensions, and a rise in the number of persons claiming pensions, expected to reach over 37 million by 2010.
.
Network Tweets
Network BlogsContent
provided by
|
Archive | Resources | Partners | Site Map | Links | Newsletter Archive | Contact | RSS Feeds | About | Syndication | Advertising & Marketing | Recruitment | Terms & Conditions | Privacy & Cookies
Copyright © 2012 - All Rights Reserved - Tax-News.com
IMPORTANT NOTICE: Tax-News.com has taken reasonable care in sourcing and presenting the information contained on this site, but accepts no responsibility for any financial or other loss or damage that may result from its use. In particular, users of the site are advised to take appropriate professional advice before committing themselves to involvement in offshore jurisdictions, offshore trusts or offshore investments.
Write a comment