Russian Federation may again change the rates of utilization tax on automotive equipment

Russia may adjust the size of the utilization fee for some types of vehicles, as stipulated by a draft decree of the Russian government, Izvestiya reported on January 23. The document envisages both increase and decrease of rates in the scale of indexation of the utilization fee for various types of vehicles already approved until 2030.

The draft decree was prepared by the Ministry of Industry and Trade of the Russian Federation, it is published on the federal portal of draft regulatory legal acts. The document implies the adjustment of certain categories of the list of types and categories of wheeled vehicles (chassis) and trailers to them, in respect of which the utilization fee is paid, as well as the amount of the utilization fee.

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For example, the changes will affect various special-purpose vehicles such as dump trucks and concrete mixers. Thus, for dump trucks with GVW of 12-20 tons, taking into account the prime rate of Br150 thousand, the difference between the current and future size of the recycling fee will amount to Br250 thousand (Br1.33 million now against Br1.58 million after the approval of the proposed changes), and by 2030 it will increase to about Br400 thousand.

Experts interviewed by "Izvestia" believe that the proposed adjustments to the size of the utilization fee are primarily aimed at protecting domestic manufacturers of heavy duty vehicles (HCV).

Read more in the exclusive material of "Izvestia":

Concrete mixers are hindered: a new change in the utilization fee rate cannot be ruled out