Unified social tax: tax rate.
The social tax is calculated by an employer separately for each employee or worker.
The tax rates are: annual tax base is up to 280,000 roubles - 26%; next 320,000 roubles - 10%; amounts above 600,000 roubles - 2%.
From January 1, 2010 the unified social tax will be abolished. Instead, employers will make contributions to separate funds: the state pension fund, the social security fund, and the medical insurance funds.
The laws introduce a flat rate of social duties and only the first 415,000 roubles (app. USD13,400), or 135% of an average salary in Russia, will be taxable. In 2010 the rate will remain 26%, the same as in 2009; in 2011 it will go up to 34%. For small companies, the introduction of the flat scale will mean a heavier burden as early as in 2010, because salaries in the range 280,000 - 415,000 roubles will be taxed at the rate 26% instead of 10%, in 2009.
According to the new law the payroll taxes on the salaries of foreigners temporarily working in Russia are not payable. With income tax only 13% Russia, therefore, will remain an attractive destination for the foreign labour. Small and medium domestic enterprises on the other hand will feel a dramatic, some experts say triple, increase of the tax burden.
