How income tax works in Russia
Russian tax residents are generally taxed on worldwide income. The 2025 and 2026 NDFL scale is progressive, with the rate rising as annual income grows. Non-residents are generally taxed only on Russian-source income.
Employers usually withhold NDFL from salary and bonuses. Individuals still need a 3-NDFL return for many self-assessed items, including rental income, sale of property before the holding period ends, gifts from non-close relatives, and some foreign-source income.
Russia also taxes certain income from sale of property, securities and crypto under NDFL rather than a separate capital gains tax regime.
Income tax brackets in Russia
| Bracket | Rate | Notes |
|---|---|---|
| Up to RUB 2.4 million | 13% | Applies to the first tier of resident income. |
| RUB 2.4 million to RUB 5 million | 15% | Applies to the part above RUB 2.4 million. |
| RUB 5 million to RUB 20 million | 18% | Applies to the part above RUB 5 million. |
| RUB 20 million to RUB 50 million | 20% | Applies to the part above RUB 20 million. |
| Above RUB 50 million | 22% | Applies to the part above RUB 50 million. |
Tax rates at a glance
- Personal income tax
- 13%-22%Progressive
- 2.4m to 5m rubles
- 15%
- 5m to 20m rubles
- 18%
- 20m to 50m rubles
- 20%
- Over 50m rubles
- 22%
- Nonresident general rate
- 30%
Who benefits most
These profiles tend to benefit most when the rules match their real residence, payroll and business setup.
Russian residentsEmployeesContractorsExpatsProperty owners
Watch out for
- Residency matters. Russia treats individuals as tax residents if they spend at least 183 days in Russia in a calendar year.
- The 30% non-resident rate is the general rule, but some remote-work and special-category income is taxed at reduced rates.
- Sale of property and other self-assessed income usually needs a 3-NDFL return by 30 April, with tax due by 15 July.
- Rental income, securities gains and crypto gains can all fall into NDFL, so recordkeeping matters even when payroll withholding does not.
Frequently asked questions
Does Russia still have a flat income tax?
No. Russia moved to a progressive personal income tax scale from 2025, with rates from 13% to 22% for residents.
How are non-residents taxed in Russia?
Non-residents are generally taxed at 30% on Russian-source income, although some work categories and special income types use reduced rates.
Do salary earners need to file in Russia?
Usually not for ordinary wages if the employer withholds tax, but many other income types still require a 3-NDFL return.