Putin signs into law 10-year experiment on self-employed tax

MOSCOW, Nov 27 (PRIME) -- Russian President Vladimir Putin has signed into law bills on introduction of the professional income tax for self-employed people in Moscow, the Moscow and Kaluga regions, and the republic of Tatarstan in pilot mode for the period of 2019–2028.

The law introduces a 4% tax rate if services are provided to individuals and a 6% tax rate if services are provided to self-employed individuals and legal entities. The income limit for the tax is 200,000 rubles per month.

A person paying the tax must not hire employees. The tax rate shall not increase and the income threshold shall not be reduced during the 10 years of the experiment.

People paying the professional income tax will be freed from a 13% personal income tax.

(66.5072 rubles – U.S. $1)

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