Russia's military invasion of Ukraine is believed to have increased its military spending, and Reuters reports that its annual defense budget has almost doubled from its initial level. President Putin is expected to want to pass a law on additional taxes on companies and speed up tax revenues.
Reuters reported on April 2 that Russia's defense budget has swelled to 9.7000 trillion rubles, or more than 14.2000 trillion yen at Japan yen, about twice the initial amount.
This accounts for one-third of the total national budget.
As a result, budgets for schools, hospitals, roads, etc. have been reduced.
Russia's military spending is expected to increase due to its prolonged military invasion of Ukraine.
In addition, the US Treasury Department analyzes that the income obtained from oil exports is decreasing due to the imposition of sanctions by the G4 = 3 major countries and others to set a cap on Russian crude oil.
Against this backdrop, President Putin signed into law on April 1 to impose additional taxes on companies.
This law imposes a 7% tax on profits for companies that do not include energy-related businesses.
The deadline for payment is January 7 next year, but if it is paid by the end of November, the tax rate will be 4%, and Russia's leading newspaper "Kommersant" reports that "the government wants to receive the tax as soon as possible."