The head of the RSPP, Shokhin, urged to finalize the bill on excess profit tax

President of the Russian Union of Industrialists and Entrepreneurs (RSPP) Alexander Shokhin said that his organization as a whole supports the draft law on excess profit tax developed by the Ministry of Finance, but calls for a number of details to be finalized in the document. According to Mr. Shokhin, the business community has a number of proposals to amend the bill.

“We support the current basic parameters for calculating the excess profit tax set out in the draft law, and we consider it important not to change them at the further stages of the passage of the bill,” said Mr. Shokhin RBC.

In particular, the document does not clearly formulate the rules that allow you to pay the tax ahead of schedule at a reduced rate of 5%, Alexander Shokhin believes. Returning or offsetting at least one penny of this payment will lead to an increase in the tax rate to 10%, he said. Also, the document does not contain rules regulating the impact of the subsequent clarification of income tax obligations for 2018-2022 on excess profit tax, the head of the RSPP emphasized. He did not specify when and in what format business representatives are going to discuss possible amendments to the bill with the Cabinet.

Formerly Ministry of Finance informedthat the government commission approved a draft law on the introduction of a tax on excess profits of past years (the so-called windfall tax).

According to the bill, a one-time mandatory fee will affect large Russian enterprises with revenues of more than 1 billion rubles. per year, provided that profit in 2021–2022 was cumulatively higher than profit in 2018–2019. Its rate will be 10% of the difference in profits when paid in 2024, but can be reduced to 5% if the company pays the tax in 2023. The authorities expect that the collection will replenish the country’s budget by 300 billion rubles. It is expected that in the very near future the draft law will be sent to the State Duma for consideration.

More details – in the material “Kommersant FM” “Windfall tax outlined the criteria”.

Alexander Kislov