Volozhin Region
Executive Committee

The draft law on amendments and additions to the Tax Code of the Republic of Belarus suggests increasing the income tax rate from 12% to 13%, First Deputy Finance Minister Vladimir Amarin said at a meeting of the Presidium of the Council of Ministers on 2 September, BelTA has learned.

The draft bill also provides for the increase of the excise duties for all groups of excisable goods. For example, the document suggests raising the duties on alcohol drinks by 10%, tobacco by 15-30% within the three price segments, which will increase the tax burden on more expensive cigarettes, on motor fuel by an average of 10% with differentiated rates depending on the environment class. The other group of excisable goods may face an increase equal to the average inflation forecast which is 12.5%. The excise beer duty will remain at the 2014 level for the sake of keeping the brewing industry financially stable.

The draft law proposes to index the tax rates set in Belarusian rubles to adjust to the inflationary processes. This applies in particular to the land and environmental taxes, and flat tax for self-employed businessmen.

Plans have been made to increase the tax on profits for banks and insurance companies from 18% to 25%, the land tax and property tax for the inefficiently used state property. In order to expand the resource base of the budgets, proposals have been made to introduce special fee for the right to export of crude oil produced in Belarus.

These and other tax policy measures scheduled for 2015 are aimed at ensuring the stability of the tax system and enhancing the sustainability of the budget. The level of the tax burden in 2015, excluding customs duties, will amount to 23.6% of GDP and will not increase compared to 2014, said Vladimir Amarin.

Belarus President drew attention to the need to wisely design motorways and avoid excessive and unwarranted spending

The construction of the second ring road around Minsk has to be completed by early 2017. Belarus President Alexander Lukashenko gave the relevant instructions as he visited the construction site of the second ring road in Minsk District on 3 September, BelTA has learned.

“This ring road has to be commissioned within three years at most. One year has already passed. The ring road has to be ready by 1 January 2017,” said the President.

The head of state was informed about the progress of the construction of the second ring road. A modern concrete pouring technology is used to build it. The construction project will involve several phases. The ring road will include both existing motorways and new ones as well as upgraded roads. At present work is in progress to bridge the gap between the motorway M3 Minsk-Vitebsk and M6/E28 Minsk-Grodno – the Polish border. The section will be over 46km long and will include several phases. “The entire road till the motorway to Grodno has to be built next year,” said the President. “Then you will have one year or 1.5 years at most to build the road to reach the Moscow motorway”.

Alexander Lukashenko drew attention to the need to wisely design motorways and avoid excessive and unwarranted spending. Auditing agencies have been instructed with this in mind. The agencies are supposed to verify the real cost of the work during the construction phase. “You have to audit the construction process and correct errors instead of doing it when the road is ready. Go along and make calculations,” stressed the Belarusian leader.

"In Minsk region growth rate of income payments from individual entrepreneurs in the seven months of the current year remain positive trend. From individual entrepreneurs in Minsk region for 7 months of the current year, the budget received 297.1 billion rubles payments. The growth rate of payments made in comparable prices 106.1%. The greatest amount of revenue payments to the budget provided individual entrepreneurs applying the simplified taxation system - 146500000000. Rubles. The share of income payments to the budget of this category of entrepreneurs was 49.3%. In this case, the growth rate of payments from this category of entrepreneurs in constant prices was 124.3%. " "In Minsk region increases the number of small and medium-sized businesses. As of August 1, 2014 in the Minsk region recorded 58.4 thousand small and medium-sized businesses. For seven months of this year the number had increased by 2.2 thousand. In January-July 2014 this sector payers paid to the budget of 4.3 trillion. rubles of taxes and non-tax payments. The share of their payments in revenues of the consolidated budget of the region was 39 percent, increased in comparison with the same period last year by 6.8 percentage points."