28 March 2024, Thursday, 17:57
Support
the website
Sim Sim,
Charter 97!
Categories

It Became Known What Changes in Taxes Will Be Introduced for Individual Entrepreneurs in Belarus

6
It Became Known What Changes in Taxes Will Be Introduced for Individual Entrepreneurs in Belarus

Business is shocked.

They want to introduce tax innovations for individual entrepreneurs by 2023, the Minsk city executive committee reports with reference to Minsk-Novosti.

The draft changes have not yet been made publicly available for discussion. According to information from business unions, it is planned to abolish the simplified taxation system with VAT for individual entrepreneurs. In this situation, business is afraid of possible emigration due to tax changes of some economically active population.

Earlier, a draft of amendments to the Tax Code, which provides for significant innovations in taxes, was leaked to the Internet. For example, single tax and simplified taxation can be abolished for individual entrepreneurs. Also, the possibility of gradually eliminating preferential fees for artisans and owners of agro-households (before that - to raise taxes markedly) is also considered. Other potential innovations include raising taxes for those living beyond their means. Judging by the project, which appeared in the Network, in 2022, the income tax on rented apartments and garages, land tax rates, and excise taxes on tobacco and alcohol will also be raised.

On September 17, the Day of National Unity, officials in Minsk organized a discussion of tax changes for individual entrepreneurs. Officials plan to change the taxation of individual entrepreneurs by 2023. “The purpose of the adjustments is to stimulate the economic activity of business entities. The innovations will be the establishment of a clear gradation of categories of small and medium-sized businesses and the use of an appropriate mechanism for tax exemptions. At the same time, we should not talk about raising taxes themselves but about increasing the participation of payers in their payments. The amount of tax deductions should be proportional to the income received - this is the red thread of all the upcoming changes,” the website of the Minsk City Executive Committee says.

No other details of possible changes were announced.

According to the Minsk Metropolitan Union of Entrepreneurs and Entrepreneurs, we are talking about the abolition of the simplified taxation system with the payment of VAT - through setting a low value of the marginal revenue when applying the simplified tax system without paying VAT. It is also planned to "harmonize tax legislation for small and medium-sized businesses between Belarus and Russia."

In this situation, business unions raise the issue of measures to counteract immigration of the economically active part of the population in connection with changes in tax legislation. They are also worried about measures to maintain a competitive environment and stabilize the consumer market due to possible changes.

Who is discussing change for entrepreneurs

Judging by the videos and photos from the discussion posted in the state media, there were about 50 people at the meeting on September 17. Among them were officials from the Ministry of Finance, the Ministry of Economy, and the Minsk City Executive Committee, deputies. It is reported that there were also representatives of business unions, as well as "entrepreneurial structures." The meeting was attended, for example, by the General Director of the Belarusian-Russian joint venture AZSindustria, Petr Rabitski, who is a member of the Council on Entrepreneurship Development at the administration of Frunzenski district of Minsk. At the same time, it was not reported whether individual entrepreneurs themselves were involved in the discussion of possible changes. Earlier, the public association Perspektiva, which was recently liquidated at the suit of the Ministry of Justice, reported that the organization was not brought to trial.

Write your comment 6

Follow Charter97.org social media accounts