The Ministry of Finance opposed the excess profit tax for oil and gas companies – Kommersant

The Ministry of Finance, in its draft opinion on the draft law on excess profits tax for oil and gas companies, recommended that the government not support the initiative. This was reported “News” with reference to sources. Authors bill stated that they do not agree with the Ministry of Finance’s review.

The government’s conclusion states that taxes for this business have already been increased in 2021-2023. The Ministry of Finance draws attention to the fact that previously a damper mechanism was already introduced for oil and gas companies, as well as the withdrawal of excess income through adjustments to the mineral extraction tax.

In the document, the Ministry of Finance also draws attention to the fact that from October 1 to November 30, companies can make a security payment for excess profit tax – this will reduce the tax amount by almost half. It is noted that the adoption of the bill after this period will put companies in unequal conditions in comparison.

In August, a law was adopted on an excess profit tax for large companies whose average profit before taxes exceeds 1 billion rubles. The tax amount is 10% of the excess profit for 2021-2022 over the figure for 2018-2019. Currently, small and medium-sized businesses, agricultural producers, as well as companies engaged in the production of oil, gas, coal and hydrocarbons do not have to pay the tax.

Anastasia Larina