The State Duma Unity faction adopted on Tuesday an appeal to the Cabinet expressing its concern about possible slowing down the tax reform rate, according to acting head of the faction Vladislav Reznik.
He explained that the faction was in particular "concerned about the Cabinet intention to slow down the work aimed at the alleviation of the tax burden, which threats to slow down the achieved rate of the Russian economy's growth." The faction emphasises that the reduction of certain taxes envisaged by the on-going tax reform did not bring them nearer to the efficient level at which the subjects of economic activity are ready and can pay taxes to the budget.
The faction believes that in order "to maintain and increase" the rate of economic growth and to provide equal tax load on all economic subjects, the Russian government needs to reduce the single social law to the efficient rate - 20%, reduce VAT to 17% preserving the benefits of to 15% eliminating them, and bring the profits tax, 24% now, to its efficient rate - 21%.
At the same time, the Unity faction stands for "co-ordination of the state expenditure and capabilities." On February 6, the Cabinet plans to examine the ways of further implementation of the tax reform. "We call on the Cabinet to take a constructive stance, to be more resolute in tax stimulation of the Russian economy and business - this is the only way to achieving high rates of economic growth about which the President has repeatedly said in his messages to the Federal Assembly," Reznik stressed.
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