The experimental phase will last in the four federal subjects until 2028
Russia has introduced a new tax that will affect self-employed babysitters, tutors, translators and other freelancers in Moscow and three other regions starting on Jan. 1, 2019.
Under the new law, self-employed Russians will be subject to a 4 percent tax on their income, while those who provide services to companies or individual entrepreneurs will be charged 6 percent. The new law is part of an effort to raise tax revenues and legalize the under-the-table income of an estimated 20 million self-employed Russians who do not currently pay taxes.
The new law, which was signed by President Vladimir Putin on Tuesday, will be rolled out in an initial “experimental” phase in Moscow and the Moscow region, as well as the Voronezh region and the republic of Tatarstan starting next year.
