Tax revenues to the Russian Federation’s budget system rose by 31% in the first half of 2024, reaching RUB26.9 trillion ($315bn) compared to the same period last year, the head of the Federal Tax Service (FTS), Daniil Egorov, reported during a meeting with Prime Minister Mikhail Mishustin on August 6.

"The revenues of the consolidated budget of the Russian Federation increased by 28.4%, or RUB4.6 trillion," Egorov stated as cited by Vedomosti.

There were substantial gains in several tax categories: personal income tax receipts surged by 34%, VAT by 23%, and the revenue indicator of cash registers for January to June 2024 rose by 23.7%, or 14% excluding inflation.

Egorov emphasized the government's ongoing support for families with children, noting that "more than 18mn people will receive additional financial opportunities for social support and about 35mn for deductions."

Starting January 1, 2025, families with two or more children and an average per capita income of less than 1.5 times the minimum subsistence level will be eligible for compensation for part of the taxes paid in the form of a social tax payment. This measure aims to reduce the effective personal income tax rate for these families to 6%.

"We are seriously changing our information systems today," Egorov explained. "We are preparing a technology that will allow, if a person has not applied for a standard deduction to the employer, the tax service itself will proactively prepare everything for him in electronic form. And the person will only have to choose the account to which this deduction will be transferred."