VLADIVOSTOK — The Russian tax system is in need of changes aimed at developing small and medium-sized businesses, the chairman of the country's Supreme Arbitration Court said Friday.
Speaking at a forum of Asian-Pacific nations in Russia's Far East, judge Anton Ivanov reiterated a position regularly voiced by Russian officials: that the country must diversify its economy by focusing less on raw materials, like gas and oil, and stimulating the development of small- and, especially, medium-sized businesses.
Among concrete measures, Ivanov called for taxation based on "clear and easily understood parameters, first and foremost [on] the physical volumes of … [organizations'] activity."
He added that SMEs should not have to spend exorbitant sums on accounting costs, while large companies must be made more transparent.
At the same time, he said legal tax loopholes should be retained, but tax optimization should be strictly regulated by the state "so that funds do not get taken abroad, but stay here and can be invested in the development of the Russian economy" — another leitmotif in official rhetoric.
Ivanov also pointed out that Russia was atypical among developed countries in that taxes made up only about half of its budget revenue. As the country's high customs duties decline under new trade agreements, however, the share of taxes should rise, he said.
The one-day international forum, which brings together officials from courts dealing with business disputes, is focusing on tax regulations. In addition to Russia, participants hail from China, Japan, Kazakhstan, Mongolia, Thailand, the U.S. and Vietnam.
A Message from The Moscow Times:
Dear readers,
We are facing unprecedented challenges. Russia's Prosecutor General's Office has designated The Moscow Times as an "undesirable" organization, criminalizing our work and putting our staff at risk of prosecution. This follows our earlier unjust labeling as a "foreign agent."
These actions are direct attempts to silence independent journalism in Russia. The authorities claim our work "discredits the decisions of the Russian leadership." We see things differently: we strive to provide accurate, unbiased reporting on Russia.
We, the journalists of The Moscow Times, refuse to be silenced. But to continue our work, we need your help.
Your support, no matter how small, makes a world of difference. If you can, please support us monthly starting from just $2. It's quick to set up, and every contribution makes a significant impact.
By supporting The Moscow Times, you're defending open, independent journalism in the face of repression. Thank you for standing with us.
Remind me later.
