The state Duma adopted a bill to raise fuel excise duties

13 November 2017

Rate changed from 1 January 2018

The state Duma in the first reading discussed the draft of several amendments to the Tax code of the Russian Federation.
In particular, they affect the increase in excise duties on middle distillates, excise rates
fuel and cars.

The bill provides for the increase from January 1, 2018 excise tax rates on gasoline
and diesel fuel by 50 cents per 1 liter, and 50 cents from 1 July 2018. Will also increase the cost of the owners of the cars, the engine power exceeds
200 horsepower.

Under the project, the rate of excise duty on petrol fifth grade will be indexed in the first half of 2018, 6.4 %, and in the second half and 2020, 12.9 %, 12.4% and 11.9 percent, respectively. Diesel rates will rise accordingly first at 8.4% and then to 16.8 %, 16.1% and 15.5 per cent.

In addition, instead of a single rate of excise duty on cars with engine power over 150 horsepower will be installed in gradation depending on engine power: 200-300, 300-400, 400-500 and more than 500. Excise rates will be, respectively, 897, 925, 965 and 1 084 ruble
for horsepower. Now there is a single rate of 420 rubles per 1 HP with capacity of over 150. Thus, the amount of payments for, for example, 240-horsepower car will increase from 100 800
to 215 880 rubles. In the segment of more powerful machines, the growth is even more impressive.

It is assumed that new entry to the budget for the development of the road sector of the country. This fact is underlined Ilya Trunin. "The additional revenues that will receive a budget system, which is slightly less than 55 billion rubles in 2018, nearly 80 billion rubles in 2019
and slightly more than 80 billion rubles in 2020, will go entirely to the needs of road construction, including funds from the road Fund in the regions", — noted in the plenary session, Deputy Minister of Finance of the Russian Federation Ilya Trunin.