PRESS: Ministry opposes tax change for West Siberia's new oilfields

MOSCOW, Dec 4 (PRIME) -- The Finance Ministry has turned down oil companies’ proposal to expand the additional oilfield income tax to new deposits in West Siberia, business daily Kommersant reported on Monday.

The tax, unlike the currently applied mineral extraction tax, is based on revenue minus costs rather than the production volume, which, according to the oil producers, could support new deposits and brownfields.

The ministry said that the tax change would undermine budget income and pledged to consider tax incentives for the oil and gas industry from 2027 if financial and economic justifications are provided.

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