Limiting the reduction in Russian Urals oil to Brent, the reference oil of the North Sea, when calculating the taxes of oil companies in the Russian Federation, entered into force on April 1. We are talking about applying a discount to the Brent price in the calculation of mining extraction tax (MET), value added tax (ATD) and SCT on oil. The discount for April will be $34.
The relevant law was signed by Russian President Vladimir Putin at the end of February.
“For calculation (taxes in the oil industry. – socialbites.ca), it is recommended to use Ural oil prices in the real amount, which should not be lower than the price of Brent: in April – by $ 34 per barrel, in May – $ 31 per barrel, in June – $ 28 per barrel, in July – $ 25 per barrel, ”says from the law.
The Federation Council supported the law on February 22. It was developed on behalf of Russian President Vladimir Putin.
According to the instruction, the methodology for determining the prices of oil and petroleum products used in the taxation of oil companies in Russia until March 1, 2023 will be clarified.