The new threshold value is planned to be introduced in January.
Illustrative photo: MMK.
Amendments to the Tax Code are already in the works to index the cut-off of slab prices from January 1, 2026, below which the excise tax on liquid steel is not paid, and now the parameters of this adjustment are being worked out, Anton Alikhanov, Minister of Industry and Trade of the Russian Federation, told Interfax.
"Unfortunately, the current exchange rate of the national currency is actually a barrier for exporters. In this situation, we believe it is right to work on optimizing the fiscal burden on the metallurgical industry and reducing regulatory costs."The Ministry of Industry and Trade said in the spring of this year that the Russian government could introduce automatic adjustments to the parameters of calculating the excise tax on steel, taking into account raw and non-raw components.
The Ministry has repeatedly noted that it supports the adjustment of the excise duty threshold for liquid steel, which currently stands at 30 thousand rubles.
Illustrative photo: Severstal.
This cut-off level is set for vertically integrated steel producers at the end of 2022. According to the approved formula, the excise tax is reset provided that the value of the Cblb indicator (export price for slabs per calendar month) multiplied by the average value for the calendar month of the exchange rate of the US dollar against the ruble turned out to be less than 30 thousand rubles. In 2024, the threshold value for calculating excise tax, as well as since the beginning of this year, remained above this mark.
At the end of last year, sources told Interfax that metallurgists want to raise the price threshold for a slab, above which an excise tax on steel will be levied, to 60 thousand rubles from the current 30 thousand rubles. Alexey Sentyurin, President of Russian Steel, stated in January of this year that the association had provided calculations according to which the minimum level for zero excise duty on steel should be increased to at least 54 thousand rubles.
The Ministry of Finance of the Russian Federation systematically opposes the adjustment of the excise tax. At the end of February, Deputy Finance Minister Alexei Sazanov confirmed this position, saying that "the budget for three years has been formed, there is no potential to reduce the revenue base, and the budget is already in deficit."
Electrometallurgists have a different formula.: it is calculated
