Russia’s Putin hints at higher taxes for the rich

President Vladimir Putin on Thursday hinted at higher taxes for wealthy individuals and companies, saying that a fairer distribution of the tax burden was needed as he urged Russian businessmen to invest in Russia.

“I propose thinking about approaches to modernising our fiscal system, to a fairer distribution of the tax burden towards those with higher personal and corporate incomes,” Putin said in a speech to lawmakers and other members of Russia’s elite.

“Conversely, lowering the tax burden on families through deductions is needed, stimulating businesses that invest funds in development, in the implementation of infrastructure and social projects.”

Putin ordered the government and the State Duma to submit specific proposals in the near future.

Businessmen who invest in Russia should havetheir assets and property rights protected, Putin said, andtaxes for small and medium-sized businesses in Russia should be reduced.
Source: Reuters (Reporting by Vladimir Soldatkin, Darya Korsunskaya, Alexander Marrow;Editing by Andrew Osborn and Gareth Jones)