Russian taxi companies are seeking state support to avoid potential bankruptcies, a shift to informal operations, and increased safety risks for passengers. The industry is facing significant financial pressures due to rising costs of new cars, high leasing rates, inaccessible credit resources, and increased VAT burdens.

The Public Council for the Development of Taxis has formally appealed to the Ministry of Economic Development and the Ministry of Finance, requesting a 50% reduction in VAT, similar to that granted to the catering sector. Without such support, the council warns of potential bankruptcies, fragmentation of enterprises, and a move towards unregulated, “gray area” operations.

According to industry representatives, the current tax system poses a major challenge to profitability. The increased tax burden can amount to 30-40% of net profit, leading to a decline in profitability.

The shift to informal operations raises concerns about reduced revenues for government budgets and minimal safety and quality control over transportation services. This poses risks to passengers.

Although existing laws allow for deducting input VAT on expenses like fuel, auto parts, and leasing, industry experts say that there are practically no companies that own the cars. Taxi companies primarily rent vehicles to drivers who are registered as individual entrepreneurs or self-employed.

To prevent a rapid increase in tariffs, potentially reducing taxi service availability for passengers, taxi companies are asking for state support. The letter emphasizes that Russia risks losing the legal segment of passenger taxis. Targeted support measures can prevent this.