Tiraspol, 25 February. /Novosti Pridnestrovya/. Amendments to the draft law «On additional measures aimed to stabilise the economy» were discussed at a special working meeting with the participation of lawmakers, government members and entrepreneurs.
According to MP Alexander Korshunov, most of the amendments have been worked out based on businessmen's proposals. The amendments aim to provide assistance to Pridnestrovian entrepreneurs to prevent their bankruptcy amid difficult economic environment.
The efficiency of anti-crisis amendments (about 50 of them were worked out in 2015) and their ability to address economic challenges amid reduced tax revenues to the budget has been brought into discussion.
As was noted by the minister of finance, Irina Molokanova, it is impossible to pass anti-crisis measures without certain financial losses, and it is necessary to get a clear understanding of the total amount of such losses.
It was proposed thus to make a range of amendments to the law «On corporate tax». One of the amendments aims to set an income tax rate at 1.7 for a period of two years (instead of the existing 2.0) for light industry enterprises manufacturing goods on commission.
This measure is supposed to help these organisations maintain their production volume and prevent job cuts.
In the meantime, according to the Ministry of Finance, the reduction of the rate may result in a drop of budget revenues, which is why this measure requires special provisions binding enterprises to maintain income levels and the number of jobs. Besides, according to Irina Molokanova, an individual approach should be taken to each enterprise as all of them have different financial and production figures.
Another amendment proposes to exempt newly established industrial enterprises from an income tax in the first 5 years. It is specified, however, that this benefit will not be applied to «newly established organisations that were formed after the reorganisation of previously existed enterprises».
When discussing the amendment, a deputy minister of economic development, Natalya Sokolova, noted that the present legislation already provides for benefits for newly established businesses. Thus, special income tariffs are set for the organisations manufacturing agricultural and food products, medical equipment and medicine: 0% of the established rate in the first year, 25% in the second year and 50% in the third year.
«The current law is sufficient to support enterprises. The 5-year tax exemption will lead to even greater budget losses," explained Natalya Sokolova.
MP Korshunov believes that «the existing law does not attract as many investors as it is supposed to». The lawmaker has proposed to adjust the amendment based on the current statutory wording and set a 0% income rate for a period of three years.
«In order that the businessman who established a new business can plan and develop production during the crisis," said Korshunov.
The participants also discussed the amendment according to which shoemaking and chemical factories will benefit from a 50% income tax reduction provided certain conditions are observed: these enterprises must not transfer dividends abroad and are obliged to reinvest 100% of their income in production.
The discussed amendments have been submitted to the corresponding parliamentary committees which will finalise them with regard to the opinions expressed by the government members during the working meeting.
