The Ministry of Finance proposed to oblige mutual funds to pay income tax on passive income

The Ministry of Finance of Russia in the framework of the budget package proposes to establish for mutual investment funds (PIF) the obligation to pay income tax on passive income at a rate of 15%. At the same time, when taxing shareholders, the paid income tax of the mutual fund will be credited.

Now the PIF does not pay income tax, and taxation occurs at the time of payment of income to shareholders, which can be postponed for a long time. This creates prerequisites for tax optimization by structuring the ownership of various assets using mutual funds, the Ministry of Finance noted.

In addition, it is proposed to increase the income tax rate on dividends paid in favor of non-residents to C accounts to 35%, as well as unify the taxation of passive incomes of citizens at personal income tax rates of 13-22%, including income from dividends, interest from deposits, securities transactions in the main tax base.