Another increase in fuel excise taxes: from January 1, 2019

27 August 2018

This factor will place an increased VAT

Many have become accustomed to the new level of fuel prices in Russia. A major jump occurred in may. The government came up with various excuses on this point: we talked about the fact that retail prices catch up with wholesale only, it pointed to the increasing cost of a barrel of oil, spoke about a "shift change" in the ministries, which made possible this rapid increase. To overcome this negative trend, the State Duma Committee on energy, even Rasil from 1 June to temporarily reduce the excise tax on gasoline and diesel fuel. The fall in retail prices was not out of the question, although in some weeks, the statistics recorded slight decrease. But not for long music played: now the government is again talking about raising the excise tax on motor fuel. The wait is long: new rates will become effective on 1 January 2019.

Excise duties on motor fuel will increase by 2.7–3.7 thousand rubles. About this Deputy Prime Minister Dmitry Kozak he said in an interview with RBC. However, he said that the government will not allow a jump in prices at the pump.

So, the excise tax on gasoline will increase to 2 700 rubles per ton, on diesel fuel — on 2 700 rubles. It is noteworthy that exactly the same amount they were reduced during the summer. a "the Excise tax will be restored in the volumes that were planned from July 1, 2018", — said Kozak.

From 1 January 2019 will begin the completion of the tax maneuver in the oil industry, which involves a gradual lowering of customs duties with a corresponding increase in the severance tax. This maneuver also provides a negative excise tax for oil refineries, which have a mission to fulfill marketing tool for deterring domestic fuel prices. Negative excise duty to compensate for the refinery, the reduction of export duties at the completion of the maneuver. If even with this fuel at filling stations will go up, the government will start to impose the export duties on oil and oil products.

Two weeks ago the head of the Russian fuel Union Evgenie Arkusha has warned the presidential administration about the risk of rising gasoline prices due to the increase in excise duty and VAT. The value added tax age from 18 to 20 % from 1 January 2019. According to experts, only two factors can increase the retail price of gasoline by 4.4 rubles per liter, i.e. approximately 10% from current levels.