Government draws up measures reducing shadow market share

03/28/17 15:28

Government draws up measures reducing shadow market share

Alexander Martynov: "Tax evasion is a serious crime because it affects the interests of every citizen"

Tiraspol, 28 March. /Novosti Pridnestrovya/. The chairman of the government, Alexander Martynov, held a meeting with heads of regional tax inspections and described the work of the commission drawing up a set of measures aimed at reducing the share of the shadow market.

As the government's press service reports, the government has reduced the tax burden on individual entrepreneurs in several sectors of the economy since 1 January. However, according to Martynov, taxes remain high, which is one of the reasons why investors are not seeking to invest in the Pridnestrovian economy.

«The concept developed by the government suggests lowering the tax burden. At the same time, the tax shortfalls which occur for this reason must be compensated for the decline in the share of the shadow economy," Martynov explained.

The fiscal policy concept is reconsidering approaches to tax audits.

«It is proposed to adapt the international experience dividing all taxpayers into several categories depending on the degree of tax risk," said the premier. It is important, at the same time, that different control measures should be applied to bona fide and unscrupulous taxpayers.

Alexander Martynov emphasised that «tax evasion is a serious crime because it affects the interest of every citizen.»

«The taxes the budget fails to obtain are the money that we can't allocate to pay pensions and salaries, to procure medicines and finance other social items," said the premier.

Heads of regional tax inspections will also put forward their proposals on the mechanism of tax checks and reduction of the share of the shadow economy.

According to the head of the Bendery Tax Inspection, Praskovia Kirichuk, there is another approach to control for public sector organisations.

«If we consider how much time we spend in this area, we'd rather give advice to all accountants so that they do not commit violations than waste time on such checks," she concluded. This mechanism of tax checks, according to her, should apply to NGOs, as well.

The interaction of tax inspections with government authorities, banks and the judicial community was also considered during the meeting, following which the head of the government gave a number of instructions.

 

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