Russia’s Finance Ministry has prepared a draft law imposing a tax on luxury cars, according to a document posted on the ministry’s website on Thursday.
The luxury car tax will be levied as a transport tax. The bill sets the minimum transport tax rate for cars with an engine of over 410 horsepower at 300 rubles ($9) per 1 horsepower. Russia’s regions have the right to increase the rate but are not empowered to reduce it.
Then-Prime Minister Vladimir Putin suggested in January raising taxes for people who own luxury apartments, a lot of valuable land, planes, yachts and luxury cars from 2013.
The new tax will not apply to cars used solely in sports events and also cars produced before 2000.
The Finance Ministry has previously reported the luxury car tax will apply to about 20,000 cars, of which 7,000 are used in Moscow and 1,000 in Moscow Region. The tax will cover such luxury brands as Maybach, Lamborghini, Ferrari, Maserati, Bentley, Aston Martin, Rolls Royce, Chevrolet Corvette, and also 6-liter Mercedes and BMW 7 series cars.