The newspaper Vedomosti, citing the Russian Ministry of Finance, reported that in 2022, under the progressive taxation system, wages paid to wealthy Russians reached 1.013 trillion rubles. This figure marked an increase from the previous year, when the total amounted to 636 billion rubles, underscoring a notable shift in income realization among the affluent. According to official data, the rise reflects both higher earnings and a broader application of the tax rules that govern personal income for higher earners.
Russia has employed a progressive personal income tax structure since 2020, when President Vladimir Putin introduced a scheme where income surpassing 5 million rubles per year is taxed at 15 percent. In this regime, only the portion of income above the 5 million ruble threshold is taxed at the reduced rate, while the remainder is assessed at levels below the standard rate applicable to most taxpayers. These changes, implemented to align tax obligations with varying income levels, have shaped how high earners contribute to public finances.
According to the Ministry of Finance, the 2022 tax intake amounted to 1.013 trillion rubles into the consolidated budget, with 132 billion rubles allocated to the federal budget. Officials noted that this outcome exceeded the planned revenue target on a staggered scale by about 70 percent, highlighting a stronger-than-expected generation of income within the tax framework during that year. The ministry also attributed roughly 60 percent of the overall increase to the rise in personal income tax on dividends, a consequence of higher dividend payments and related revenue streams during the period.
Earlier discussions in the State Duma explored ways to replenish the budget through additional contributions from wealthy Muscovites, reflecting ongoing political attention to the distribution of tax obligations among different income groups. The authorities had previously approved measures envisaging a budget replenishment of around 300 billion rubles, indicating a broader effort to align fiscal planning with actual revenue performance and to stabilize macroeconomic indicators amid evolving economic conditions.
In summary, the 2022 data illustrate how the progressive tax framework in Russia influences the flow of funds into both consolidated and federal budgets, driven by higher earnings, dividend taxes, and policy decisions aimed at strengthening public finances. Officials stress that the interaction between income levels, dividend payments, and tax rates continues to shape the revenue landscape, with year-on-year changes reflecting both economic activity and policy adjustments that affect the tax burden on higher-income groups and the overall fiscal outlook for the country. This assessment aligns with statements from the Ministry of Finance, which emphasizes the role of these taxes in revenue generation and budget planning for future years.