Taxation of income from international transportation in the Russian Federation: collisions of Article 309 of the Tax Code of the Russian Federation, judicial practice, and legislative perspectives

This paper analyzes the legal collisions within Article 309 of the Tax Code of the Russian Federation (RF TC), which governs the taxation of income from international transportation, as well as the issues concerning income sourcing and double taxation avoidance agreements. The research investigates conflicts between the provisions of the RF TC and international agreements. After the suspension of double taxation avoidance agreements with “unfriendly” countries, income from international transportation began to be taxed in Russia under the general rules of the RF TC, which increased the tax burden on foreign carriers and heightened the risks of tax disputes. Particular attention is paid to the analysis of recent (2023–2025) judicial practice, which demonstrates a trend towards stricter taxation of income of foreign carriers and an evolution in the interpretation of Article 309 of the RF TC. The analysis reveals a contradiction between clauses 1 and 2 of Article 309 of the RF TC, leading to uncertainty in the taxation of income of foreign carriers. It is shown that courts and tax authorities interpret these provisions differently, creating risks of double taxation and tax disputes. The study considers prospects for legislative changes, including draft federal law No. 1026190-8, aimed at eliminating the broad interpretation of preferential norms. Using comparative legal, formal legal and systemic methods, the authors propose pathways to resolve the identified legal collisions to ensure compliance with the principle of the economic basis of taxation. It is substantiated that the current system for taxing international transportation income requires adjustments at both the legislative and judicial practice levels.