Tax burden of LNG producers in Russia grows

The government plans to increase the profit tax to 32% for LNG producers in order to cover the budget deficit in 2023. According to expectations of the Ministry of Finance, this will bring additional 200 billion rubles to the budget.

The projects Yamal LNG and Sakhalin-2 will be most affected by this measure. The distribution of tax payments will be as follows: 15% of 32% to the federal budget and 17% to the regional budget.