Increase in excise taxes and deductions for sports: new laws that will change the life of Russians from January 1

Russian legislation will face a few shocking legal developments next year, each of which is related to various spheres of life.  The new regulation will affect both the work of Internet giants and large IT companies, as well as small businesses.  The changes will also affect the lives of ordinary Russians, if we talk about sick leave payments, getting a job or using instant messengers in cell phones.

Bad news

Let us start with bad news.  From January 1, housing and communal services tariffs will increase throughout the country.  Utilities should rise in price by 3-5%.  The maximum limits of payment for a communal apartment have already been approved by the Government of the Russian Federation.

Traditionally, excise taxes on alcoholic beverages and cigarettes will also rise in price from the new year.

In general, for those who like to drink alcohol beverages (including beer with more than 0.5% ethyl alcohol) and smoke (not only tobacco, but also bidis, cigarillos, e-liquids for electronic nicotine delivery systems), life will become more expensive.

This will also affect motorists, since the excise taxes on cars with engines of more than 90 horsepower, motorcycles, motor oils and fuels (both motor gasoline and diesel) will also grow.  In addition, from March 1, motorists will have to bear administrative responsibility (a fine of 2 thousand) if the vehicle they drive was not allowed to participate in road traffic (for this, a diagnostic card must be issued to a driver).

Good news

Now let us talk about good news.  Public sector employees, whose salary level depends on the size of the minimum wage, should find an increase in their well-being by 8.5% (by the way, the figure roughly corresponds to the official inflation rate for 2021).  Instead of 12,792 rubles, which was the size of the minimum wage in December 2021, from January, the salaries, accruals for pregnancy and childbirth, as well as benefits for caring for children up to 1.5 years, will be determined by the amount of 13,890 rubles.

The unemployed will be able to receive benefits ranging from 1.5 thousand rubles to 12.792 thousand rubles (in the first three months of unemployment).

Sick leaves filled out on paper should gradually become a thing of the past; from January 1, they should be replaced by ELN (‘electronic sheets of incapacity for work’).

In 2022, the state decided to encourage those who actively support healthy lifestyles.  Visitors of swimming pools, fitness centers and sports and recreation activities will be able to apply for a social tax deduction for payment of these services within 120 thousand rubles.

From this or less amount, it will be possible to return 13%, thereby receiving back up to 15,600 rubles of personal income tax.

From January 1, the changes should also affect such giants of the digital society as Google, Meta and Apple.  The law that came into force obliges those foreign Internet companies, the audience of which exceeds half a million Russians, to open their legal entities in Russia, register on the Federal Service for Supervision in the Sphere of Telecom, Information Technologies and Mass Communications’ website and post a feedback form for citizens.  Otherwise, such organizations (at the moment there are 13 of them) run the risk of being sanctioned by the government.  In addition, in this case, they will not be able to accept payments from individuals and organizations of Russia.