- Title: Russia mulls taxation changes to boost revenues
- Date: 22nd November 2016
- Summary: MOSCOW, RUSSIA (NOVEMBER 22, 2016) (REUTERS) RUSSIAN FINANCE MINISTER, ANTON SILUANOV, ON STAGE VARIOUS OF AUDIENCE (SOUNDBITE) (Russian) RUSSIAN FINANCE MINISTER, ANTON SILUANOV, SAYING: "Yes, maybe we should not stay at the same place in terms of the tax system. We will prepare suggestions on how to improve the tax system. But this won't be an offer to increase the tax burden but a proposal to optimise a balance between direct and indirect tax burden on business". PHOTOGRAPHER (SOUNDBITE) (Russian) RUSSIAN FINANCE MINISTER, ANTON SILUANOV, SAYING: "We see that current direct tax levy on businesses is rather high, especially on payroll funds. And this is very painful for enterprises and inspires a number of them to stay in shadow economy without avoiding tax". AUDIENCE
- Embargoed: 7th December 2016 15:38
- Keywords: budget tax finance minister finance ministry Anton Siluanov
- Location: MOSCOW, RUSSIA
- City: MOSCOW, RUSSIA
- Country: Russia
- Topics: Budget/Taxation/Revenue,Government/Politics
- Reuters ID: LVA00159J2HL9
- Aspect Ratio: 16:9
- Story Text: Russian finance ministry is looking at ways to get more tax revenues without raising taxes on businesses, Finance Minister Anton Siluanov said on Tuesday (November 22).
"We will prepare suggestions on how to improve the tax system. This won't be an offer to increase the tax burden but a proposal to optimise a balance between direct and indirect tax burden," he said.
Siluanov said that current direct tax levy businesses is rather high, especially on payroll funds. He wants to pull firms out of shadow economy by lowering the direct tax burden in favour of increasing other duties.
The finance ministry had previously considered increasing a value added tax, while also imposing new taxes such as excises on soft drinks that contain sugar.
Other proposed changes to the tax system included scrapping the current flat rate income tax of 13 per cent in favour of a system of progressive taxes.
Though the current government has pledged not to increase the tax burden on businesses and households, Moscow is under pressure to find new revenue channels as low oil prices and Western sanctions make it harder to fill state coffers.
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