Commercial minerals extracted from the subsurface in the territory of the Russia Federation at a subsurface site, including from a hydrocarbon reservoir, are considered taxable objects in the Russian tax code (Art 336). These include oil shales, coal, gas condensate, and natural fuel gas.
Article 339 lays out the procedure for determining the quantity of an extracted commercial mineral to be taxed; this is determined by the taxpayer independently. For oil, net weight means the quantity of oil less separated water, associated petroleum gas and other impurities.
Article 342 dictates tax rates levied on various extracted minerals. A tax rate of 0 percent is levied on associated gas, as is natural fuel gas injected into a formation to maintain formation pressure.
Article 343.1 discusses means for reducing tax collected on coal mining activities through ensuring safe working conditions and occupational protection. The maximum amount of a tax deduction that can be applied takes into account the subsurface methane level of the coal mining site.