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Govt to make decision on higher taxes in gas development soon - minister

The rates will increase by 15% on June 1, 2012, and will grow by the same percentage in the consequent years, Siluanov said

WASHINGTON DC, April 22 (Itar-Tass) —— The federal government will shortly make a decision on higher taxes in gas development, according to Anton Siluanov, Finance Minister, head of the Russian delegation to the meeting of finance ministers and Central Bank heads of the G20 and the session of the World Bank/International Monetary Fund (IMF) ruling bodies in Washington DC.

“We plan to raise taxes in the gas industry due to the gradual leveling of domestic and external gas prices in the upcoming years,” he said on Saturday. “The rates will increase by 15% on June 1, 2012, and will grow by the same percentage in the consequent years,” Siluanov said.

The Russian Finance Ministry proposed to levy “80% of extra revenues of the gas industry, i.e. the difference between the 15% price increase, inflation rates, transportation costs and expenditures the gas industry may face with the end of corporate property tax benefits,” he said. “The funds will be levied through the mineral development tax.”

“The question is yet to be discussed with Gazprom, but the government has basically supported the proposal and a decision will be made soon,” Siluanov said.

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