The Treasury Department is poised to soften the tax changes for some closed-end investment funds, two federal officials said. The current regime may be reserved for closed-end mutual funds that distribute almost all income less operating expenses within a year of receiving it. According to one of the interlocutors, the relaxation will affect about a tenth of the closed mutual funds in the market - used by retail investors. From 2027, the government proposes to tax the passive income of closed mutual funds and income tax at a rate of 15%. Now the tax is created when income is paid to the shareholders. The business house warned that the project does not provide consideration for the associated expenses: according to calculations by the Russian Union of Industrialists and Entrepreneurs, with a profitability of 20%-30%, the burden on the fund's profits may reach 50-75%. Read exclusive material in full by subscribing to Max | Telegram | Newsletter | iOS app | android.

The Treasury Department is poised to soften the tax changes for some closed-end investment funds, two federal officials said. The current regime may be reserved for closed-end mutual funds that distribute almost all income less operating expenses within a year of receiving it. According to one of the interlocutors, the relaxation will affect about a tenth of the closed mutual funds in the market - used by retail investors. From 2027, the government proposes to tax the passive income of closed mutual funds and income tax at a rate of 15%. Now the tax is created when income is paid to the shareholders. The business house warned that the project does not provide consideration for the associated expenses: according to calculations by the Russian Union of Industrialists and Entrepreneurs, with a profitability of 20%-30%, the burden on the fund's profits may reach 50-75%. Read exclusive material in full by subscribing to Max | Telegram | Newsletter | iOS app | android.