Expert of Tax Compliance Yulia Pavlova forecasts favorable changes for small business

Expert of Tax Compliance Yulia Pavlova forecasts favorable changes for small business

The resumption of the simplified taxation system for small businesses will have a positive effect on the economy. This was reported to a correspondent of REGNUM news agency on July 8 by the chief tax adviser of law firm TAX COMPLIANCE Julia Pavlova.

The expert recalled that the government has decided to update the conditions for small businesses to return to a simplified tax regime.

"To support small businesses, from the next calendar year the authorities will update the terms of return to the simplified tax regime at rates of 6% and 15%. The new amendments will give small businesses the opportunity to return to these rates, if the company's performance has decreased, for example, the number of employees has decreased, the revenue required to apply the simplified tax regime has fallen," said Pavlova.

According to her, the pandemic and the restrictions imposed have led to cuts in companies and reduced revenues. Therefore, at the moment it is important to provide clear rules of return to the simplified tax system for those companies whose performance has changed. And the return will take place in automatic mode without the need to provide additional documents.

"This is a small business-friendly change that will continue to work in the future. So, if there is a new wave of pandemic or another crisis, companies will already have a mechanism that will optimize the tax burden in accordance with the changed business performance," said Pavlova.

To find the full text of the article you can Regnum

profile profile

Yulia Pavlova

Major specialisations

Construction, FMCG

Chief Tax Consultant