Russia’s first-half budget gains and tax policy talks shape fiscal outlook

In the first half of the year, Russia’s budget receipts rose by about 31 percent, totaling 26.9 trillion rubles, according to data referenced by Interfax from the head of the Federal Tax Service, Daniil Egorov. The growth was driven by a tangible lift in personal income tax receipts and value-added tax collections, alongside a strong performance from Russia’s energy sector. PIT revenues climbed roughly 34 percent over six months, while VAT receipts expanded by about 23 percent. Oil and gas revenues surged by around 43.4 percent in the same period, underscoring the combined effect of macroeconomic resilience and sector-specific dynamics. These figures point to a healthier budget trajectory for the year, with officials projecting budget execution on track and no obvious systemic risks, even as fiscal policy remains responsive to evolving conditions. [Citation: Interfax, quoting Daniil Egorov, head of the Federal Tax Service]nnIn another development, a debate surfaced in the State Duma over increasing the personal income tax for foreign workers to 30 percent. A coalition of deputies led by Leonid Slutsky proposed aligning foreign specialist incomes with the needs of the national budget, arguing that higher tax payments would support public finances given the contemporary economic context. The proposal reflects ongoing discussions about how to balance competitive labor markets with fiscal sustainability. [Citation: State Duma proceedings]nnEarlier commentary from analysts highlighted how businesses could mitigate potential tax pressures if new rates were adopted, pointing to strategic planning around payroll, compliance, and incentive structures. Such considerations are central to understanding how firms navigate shifts in tax policy while maintaining competitive operations. [Citation: industry analysis]n