Duma approves bill on flat tax rate for remote workers in 1st read

MOSCOW, Jun 20 (PRIME) -- The Russian parliament’s lower house State Duma on Tuesday approved a bill setting the flat rate of the personal income tax at 13 to 15% for the employees working for the country’s firms remotely both in the country and abroad.

The bill submitted by the government determines, in particular, the order of taxation of incomes of the employees working remotely under labor contracts or other contracts for Russian companies.

The flat rate is set at 13% and 15% for the incomes exceeding 5 million rubles a year regardless of the tax residence status.

The measure is supposed to come in force from 2024 for corporate employees and from 2025 for freelancers.

To become law, the bill must be approved in two more readings by the State Duma, in one reading by the upper house Federation Council and be signed by the president.

(83.9866 rubles – U.S. $1)

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