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ECONOMY
- Belarus
Belarus proposes new approaches to taxation of self-employed, individual entrepreneurs and microorganizations-BELTA.BY

(Read the full article on BELTA.BY)

New approaches to taxation of self-employed persons, individual entrepreneurs and microorganizations are proposed in Belarus. First Deputy Minister of Finance Dmitry Kiyko told reporters today, BelTA has learned.

The Ministry of Finance, together with interested parties, has prepared a draft law on amendments to the Tax Code. A separate block concerns systemic changes in business taxation. “This is due to a number of circumstances. At present, our individual entrepreneurial activity can be applied in various organizational and legal forms. These are self-employed citizens, individual entrepreneurs, partly microorganizations. All of these entities use different taxation systems. As a result of this diversity, there is excessive competition between by the subjects themselves, as well as the use of individual entrepreneurs in tax optimization schemes.In addition to the unequal competitive environment, this is also reflected in the budget revenues.

Therefore, a concept has been developed, the purpose of which is a clear delineation of the subject composition (self-employed, individual entrepreneurs, microorganizations). In accordance with this concept, the code provides for approaches to change taxation.

The main changes concern self-employed citizens. “It is proposed to significantly expand opportunities for activities in this form. This expansion will take place from 2023. It is assumed that the declarative principle will be implemented. The types of activities that the self-employed will not be able to engage in will be determined. activities should be carried out without the involvement of employees, “- said the first deputy minister.

There are plans to develop a digital mobile application for the self-employed. It will be designed to register and pay all tax liabilities. “By installing and using this application, a self-employed citizen can conduct business activities without additional administrative procedures, without providing any additional reporting. The digital product will allow self-employed people to work using non-cash payments. Their interaction with both individuals and organizations with The basic rate is assumed to be 10% of the income received. The calculation of tax liabilities will be carried out automatically through a digital application. An important innovation: this aggregate rate will include, among other things, deductions to the Federal Tax Service, “- explained Dmitry Kiiko.

In connection with this expansion of opportunities for the self-employed, from 2023 it is also expected to reduce the types of activities that can be carried out by individual entrepreneurs. “The opposite approach will be implemented here: several types of activities will be determined, in the implementation of which it will be possible to register as individual entrepreneurs with the involvement of hired persons of no more than three people. terms of taxation for individual entrepreneurs. Starting from 2022, for certain types of activities, the possibility of applying the simplified taxation system is limited, the scope of application of the single tax is reduced.

Oct 4, 2021

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