The Ministry of Finance has developed measures to combat the migration of companies and individual entrepreneurs (IP) to regions with low rates under the simplified tax system (STS). The deputy head of the department, Alexey Sazanov, sent the corresponding amendments to the authorities of the constituent entities for consideration, RBC writes with reference to the document. Its authenticity was confirmed by a source familiar with the contents, and receipt of the letter was confirmed by a source in one of the regions.
Author:
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The amendments introduce a three-year period during which moving companies and individual entrepreneurs will have to pay taxes at the rate in force in the previous region, if conditions are more favorable in the new one. The Ministry of Finance believes that this will reduce unjustified profits through the reregistration of companies.
The standard rate under the simplified tax system is 6% on income and 15% when taxing income reduced by the amount of expenses. Until the end of 2024, higher rates will be in force for the most profitable companies: 8% and 20%. However, regions can reduce them to 1% for income and up to 5% for income less expenses. This right was used in Chechnya, Ingushetia, the Kurgan region, Udmurtia and other regions.
The preferential rates encourage entrepreneurs to formally register in such regions, but the companies do not actually operate there, which “leads to unreasonable deficits in the consolidated budgets of the constituent entities,” says the explanatory note of the modifications.
The changes are expected to come into force a month after the publication of the law, but not earlier than the first day of the new tax period (for those who work in the simplified tax system, this is a calendar year). If the amendments are adopted before the beginning of December, they will come into force on January 1, 2025.
According to a study by Fintablo, 67% of businessmen in Russia have a negative attitude towards changes in tax legislation for small and medium-sized businesses, which are expected in 2025. Only 7% of businessmen responded positively; 26% of respondents rated the changes as appropriate, the company reported.
Author:
Nikolai Tikhonov
Source: RB
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