Finance Ministry to present 0.1 pct real estate tax draft in 2010

Russia's Finance Ministry will present amendments to the country's Tax Code this year to replace the land tax and an individual property tax with a 0.1 percent tax on real estate tied to market prices.

Russia's Finance Ministry will present amendments to the country's Tax Code this year to replace the land tax and an individual property tax with a 0.1 percent tax on real estate tied to market prices, the ministry's head of tax and tariff policy department Sergei Razgulin said on Thursday.

"The tax will appear as early as 2013. We plan to introduce certain amendments to the Tax Code. We are considering a rather low rate of 0.1 percent," Razgulin said.

Economic Development Minister Elvira Nabiullina has supported the idea a gradual introduction of the tax from 2013 with a decreasing coefficient for people with low income owning expensive property.

MOSCOW, September 9 (RIA Novosti)