Russia reduces export duty in July

According to a statement from the Russian Ministry of Economic Development, from 1-31 July 2024, the export duty on a wide range of goods in Russia will be reduced to 4,5% from 5,5%, which was valid from 1-30 June.

Recall that in September last year, the Russian government approved a decree, according to which from 1 October 2023 to the end of 2024, the export tax for a wide range of goods will be applied at a rate of 4% to 7% depending on the US dollar exchange rate. Thus, at an exchange rate of 80-85 rubles to the dollar, the rate will be 4%, and at an exchange rate of 85-90 rubles - 4,5%. At an exchange rate of 90-95 rubles - 5.5%, and at an exchange rate of 95 rubles and above - 7%.

The Ministry of Economic Development calculates the export tax at the arithmetic average rate for the monthly period from the 26th day of the previous month to the 25th day of the current month.

The largest tax payers include mining companies, exporters of iron, non-ferrous and precious metals, as well as coal and fertilisers. The export tax on coal was temporarily cancelled from 1 May to 31 August 2024. As previously reported, from 2025, simultaneously with a 5 percentage point increase in the income tax rate, "exchange rate" taxes will also removed.