Legal entities doing business in Russia are subject to a corporate profit tax, assets tax and road fund tax. Capital gains are included in the corporate profit tax base. A value added tax (VAT) is applied to the sale, exchange, transfer or import of most goods and services. Employers must pay payroll taxes to the Pension Fund, the Social Insurance Fund, the State Employment Fund and the Compulsory Medical Insurance Fund, plus a transportation tax and an education tax that are also based on wages. Withholding taxes are imposed on dividends, interest on debentures and payments to nonresidents for services.

    Other local and regional taxes such as housing, advertising and militia taxes, are also imposed. These taxes may use a basis other than profits, such as sales, turnover, or the amount of payroll or advertising expenses.