Prime Minister Dmitry Medvedev has ordered the Finance and Economic Development ministries to introduce a luxury tax by Oct. 15, two weeks ahead of schedule, according to a statement published on the government's official website Tuesday.
During his annual TV call-in show last month, President Vladimir Putin supported a tax on luxury cars, calling it "more a moral issue than a fiscal one," and an additional property tax. He subsequently ordered the government to establish a luxury tax by Nov. 1.
An existing proposal calls for doubling taxes on cars that cost more than 5 million rubles ($160,000) and tripling taxes on cars worth more than 10 million rubles, Putin told TV viewers.
Putin first called for a tax on elite cars and real estate in his state-of-the-nation address in December. He said at that time that the luxury tax should be introduced in the first half of 2013.
A Message from The Moscow Times:
Dear readers,
We are facing unprecedented challenges. Russia's Prosecutor General's Office has designated The Moscow Times as an "undesirable" organization, criminalizing our work and putting our staff at risk of prosecution. This follows our earlier unjust labeling as a "foreign agent."
These actions are direct attempts to silence independent journalism in Russia. The authorities claim our work "discredits the decisions of the Russian leadership." We see things differently: we strive to provide accurate, unbiased reporting on Russia.
We, the journalists of The Moscow Times, refuse to be silenced. But to continue our work, we need your help.
Your support, no matter how small, makes a world of difference. If you can, please support us monthly starting from just $2. It's quick to set up, and every contribution makes a significant impact.
By supporting The Moscow Times, you're defending open, independent journalism in the face of repression. Thank you for standing with us.
Remind me later.
