Russian taxes will not increase in 2015

Moscow, RUSSIA - The Russian government will try to handle its budgetary problems through spending cuts rather than increasing taxes in 2015, Russia's deputy finance minister said Monday

Sergei Shatalov called not raising taxes a "strategic decision," in an interview with Russian business daily Vedomosti.

"The president's message gives, if not absolute certainty, at least a firm hope that the current tax legislation in the coming years will not be reconsidered,” Shatalov explained. “New fiscal initiatives will not appear and the current taxes will remain within the already adopted legislation. The government has reiterated the need to maintain the stability and predictability of the tax system."

The Russian economy has taken a severe blow namely because of the fall in oil prices and a sudden decrease in value of the ruble.  

"In times of economic uncertainty it is essential to maintain an island of stability and confidence. Today, private business finds it extremely difficult to make investment decisions due to currency, political, and numerous other risks. If there are added tax risks, business activity may drop to zero," the deputy finance minister said.

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