. Last Updated: 07/27/2016

Putin Promises No Income Tax Rise

President Vladimir Putin promised Tuesday he would not raise Russia's 13 percent flat income tax rate any time soon.

Addressing a huge hall filled with uniformed tax police at a Moscow gathering, Putin praised their work in bringing in record revenues last year, a feat economists say had more to do with high oil prices than assiduous taxmen.

But his comments on the tax rate seemed aimed at the television audience watching at home.

"We guarantee that this 13 percent tax rate is serious and will remain in place for years. We guarantee it," Putin said.

One of Putin's main reforms in his first year in power was passing the 13 percent flat tax rate, a dramatic cut from a top rate of 35 percent, aimed at persuading the Russian public to stop hiding its wealth.

Some have suggested that the flat tax would be only a temporary measure and rates would be raised again as soon as more taxpayers got into the habit of declaring their income.