Ministry of Finance Excludes Key Metals from Windfall Tax
The Russian Ministry of Finance proposed excluding the extraction of manganese, chromium, tungsten, and molybdenum from the tax on excess income.
Consensus
- The Ministry of Finance proposed excluding manganese, chromium, tungsten, and molarbden from the windfall profit tax.
- The proposed exclusion is based on the fact that these minerals are primarily used for state defense orders and are not significantly exported.
- The draft law on the windfall profit tax for mineral extraction was adopted in first reading by the State Duma.
- The proposal was presented by Deputy Minister of Finance Alexey Sazanov at a State Duma committee meeting on budget and taxation.
- The law would apply to mining of certain ores, complex ores, and materials containing precious metals.
Points of divergence
- The law would not apply to minerals and components with a combined NPDI (mineral extraction tax) below 10 million rubles in 2025. — interfax
- The Ministry of Finance discussed the draft law with business representatives and reached a compromise, which was a concern for entrepreneurs. — vedomosti
- The proposed tax rate is 30% in general, and 20% for gold, with a cap of 15% of revenue per mineral type after deducting NPDI. — interfax
Coverage (4 sources)
- Russian Ministry of Finance proposed excluding manganese and chrome mining from the tax on excess income — Коммерсантъ
- From the tax on excess income, the extraction of some minerals may be excluded — Ведомости
- Ministry of Finance proposed exempting extraction of a number of metals from the tax on excess income — Вести
- Cabinet proposed to exclude manganese, chromium, tungsten, molybdenum from the list of metals subject to windfall tax — Интерфакс
Key entities
- Alexey Sazanov
- Ministry of Finance
- Russia
- Moscow
- State Duma
- INTERFAX.RU
- TASS
- Cabinet of Ministers
- Ministry of Finance