+7 925 966 4690, 9am6pm (GMT+3), Monday – Friday
ИД «Финансы и кредит»






National Interests: Priorities and Security

Progressive tax as a requirement for the sustainability of the national systems of income distribution

Vol. 15, Iss. 9, SEPTEMBER 2019

Received: 23 July 2019

Received in revised form: 7 August 2019

Accepted: 22 August 2019

Available online: 16 September 2019


JEL Classification: G28, H24, H31

Pages: 1604–1616


Ermakova E.R. National Research Ogarev Mordovia State University (MRSU), Saransk, Republic of Mordovia, Russian Federation


Subject The article studies the taxation of personal income as part of the national system for income distribution.
Objectives The research provides the rationale for implementing the progressive tax on personal income in Russia so that the fiscal system could ensure the equality principle.
Methods In addition to scientific abstraction, unity of logic and history, analysis and synthesis, deduction and induction, comparison, generalization, etc., the research also involves special methods, such as the index method and modeling of economic processes.
Results I provide the rationale for the progressive tax on personal income in Russia and suggest introducing a five-tiered progressive tax scale. The article assesses additional fiscal proceeds, which will be remitted consequently. This is proved to reduce the disparity of people’s income, which is showed by the resultant Gini index. I plotted the possible curve of income distribution by quintile of population.
Conclusions and Relevance Reforming the personal income taxation and introduction of progressive tax rates will gradually even the socio-economic inequality of the Russian people and double fiscal revenue. The findings can be used to articulate key aspects of the economic (fiscal) policy.

Keywords: socio-economic inequality, national income distribution system, State redistribution policy, progressive tax


  1. Harvey D. [The Crises of Capitalism]. Vol'naya ekonomika = Free Economy, 2018, no. 7, pp. 78–83. (In Russ.)
  2. Kuznets S. Economic Growth and Income Inequality. The American Economic Review, 1955, vol. 45, no. 1, pp. 1–28.
  3. Piketty T. Kapital v 21 veke [Le Capital au XXIe siècle]. Moscow, Ad Marginem Publ., 2015, 512 p.
  4. Stiglitz J. Tsena neravenstva. Chem rassloenie obshchestva grozit nashemu budushchemu [The Price of Inequality: How Today's Divided Society Endangers Our Future]. Moscow, Eksmo Publ., 2015, 512 p.
  5. Stiglitz J. Neverno otsenivaya nashu zhizn'. Pochemu VVP ne imeet smysla? Doklad Komissii po izmereniyu ehffektivnosti ekonomiki i sotsial'nogo progressa [Mismeasuring Our Lives. Why GDP Doesn’t Add Up: The Report]. Moscow, Gaidar Institute Publ., 2016, 216 p.
  6. Zucman G., Saez E. Wealth Inequality in the United States since 1913: Evidence from Capitalized Income Tax Data. Quarterly Journal of Economics, 2016, no. 131, pp. 519–578. URL: Link
  7. Zucman G. The Hidden Wealth of Nation. University of Chicago Press, 2015, 142 p.
  8. Shevyakov A.Yu., Kiruta A.Ya. Neravenstvo, ekonomicheskii rost i demografiya: neissledovannye vzaimosvyazi [Inequality, economic growth and demographics: Unexplored relationships]. Moscow, M-Studio Publ., 2009, 192 p.
  9. Kapelyushnikov R.I. [Is economic inequality a universal evil?]. Voprosy Ekonomiki, 2019, no. 4, pp. 91–106. (In Russ.) URL: Link
  10. Auten G., Splinter D. Income Inequality in the United States: Using Tax Data to Measuring Long-Term Trends. Washington, DC, Joint Committee on Taxation, 2018.
  11. Murashov Ya., Ratnikova T. Under-Reported Income of Russian Households. Russian Journal of Economics, 2016, vol. 2, no 1, pp. 56–85.
  12. Grigor'ev L.M., Pavlyushina V.A. [Intercountry inequalityas a dynamic process and the problem of post-industrial development]. Voprosy Ekonomiki, 2018, no. 7, pp. 5–29. (In Russ.) URL: Link
  13. Teteryatnikov K. [Russia experienced a similar inequality only before the revolution]. Vol'naya ekonomika = Free Economy, 2019, no. 9, pp. 88–97. (In Russ.)
  14. Schwab K. Chetvertaya promyshlennaya revolyutsiya [The Fourth Industrial Revolution]. Moscow, E Publ., 2017, 208 p.
  15. Alekhnovich A., Nikitin K. [Discussing the tax reform]. Vol'naya ekonomika = Free Economy, 2018, no. 5, pp. 50–57. (In Russ.)
  16. Kokhno P. [An advanced economy needs progressive tax rates on personal income]. Ekonomist = Economist, 2017, no. 11, pp. 40–50. (In Russ.)
  17. Kormishkina L.A., Koroleva L.P. [On the thresholds of income inequality and efficiency of the governmental redistribution policy in Russia]. Natsional'nye interesy: prioritety i bezopasnost' = National Interests: Priorities and Security, 2018, vol. 14, iss. 10, pp. 1872–1889. (In Russ.) URL: Link

View all articles of issue


ISSN 2311-875X (Online)
ISSN 2073-2872 (Print)

Journal current issue

Vol. 20, Iss. 5
May 2024