The Ministry of Finance of the Russian Federation proposed to exempt Russians from tax on interest income from deposits for a period of one year or more. The Ministry announced its stance on this issue with the 2024 Budget, Tax and Customs Tariff Policy Main Directives and the 2025 and 2026 planning periods.
Document published on the ministry’s website.
The Ministry of Finance considers that income from deposits for more than one year should be included in the tax-exempt base “during periods when interest accrues on deposits”.
As of January 1, 2021, there is a law on interest tax on bank deposits in Russia. This year, for the first time, such a tax must be paid. According to the law, bank customers whose deposit interest income exceeds a certain limit during the year must pay income tax. The limit depends on the key rate of the Central Bank of the Russian Federation. It is calculated as follows: 1 million rubles is multiplied by the maximum value of the key rate for the year in which the person receives income. For interest income exceeding this amount, you must pay personal income tax at a rate of 13%. An increase in the Central Bank interest rate leads to an increase in the tax-free tax base on deposit interest income. Now this amount is 130 thousand rubles.
According to these rules, tax will have to be paid if you keep more than 1.35 million rubles in your deposit.
The Central Bank increased the policy rate by 100 basis points to 13% annually on September 13.
Previously “socialbites.ca” said Regarding the increase in deposit and loan interest rates following the decision of the Central Bank.