The Ministry of Finance is preparing tax policy proposals for the coming years with business

The Ministry of Finance, together with business, is preparing proposals for the tax system in the coming years, said the head of the department, Anton Siluanov, at the VTB forum “Russia Calling!” This is how he responded to the words of Russian businessman Vladimir Potanin that “a properly structured and stable tax policy can be a significant incentive” for business.

At the forum, Mr. Potanin briefly presented his concept of using fiscal policy to stimulate structural changes in the economy. According to the businessman, entrepreneurs need “a certain period of stability for 5–7 years, primarily in the tax area.” “If current circumstances… require some kind of increase in the tax base, then it is better to do this according to very clear simple rules: impose income taxes, not turnover taxes, do this transparently and openly for 5-7 years. At the same time, so that this does not lead to a reduction in investment, it is necessary to stimulate investment in fixed capital,” said Mr. Potanin.

“As I understand it, Vladimir Olegovich is ready to share more with the state and pay taxes. This really makes me happy,” Mr. Siluanov said with a smile. “We agreed that we are now preparing proposals with business, we will discuss it, and in the spring we will present a united front on how to build the tax system for the coming years,” the minister added.

Formerly Chairman of the Board of Rosneft Igor Sechin criticized work of the Ministry of Finance for tax policy. He noted that the activities of his company “are greatly influenced by the constant change in the industry’s taxation system.”

Was in August a law was passed on excess profit tax for large companies whose average profit before taxes exceeds 1 billion rubles. It is set at 10% of the excess of the company’s profit for 2021–2022 over 2018–2019. The money must be paid by January 28, 2024. However, companies can only pay 5% if they deposit money before November 30th.

Leonid Uvarchev