Monday, November 23, 2009

Insatiable Treasury

To compensate for falling on one third of tax revenues, the Finance Ministry has found new sources of replenishment. Among them are increased severance tax on gas, excise taxes on tobacco and alcohol, as well as state tax
The volume of collected taxes on the basis of the first five months dropped by about 32% compared to the same period last year, said yesterday, Deputy Finance Minister Sergei Shatalov. So in January - May in the consolidated budget received 2.39 trillion rubles. According to Shatalov, falling due to the fact that "the economy has become a little bit different, but not with the poor performance of tax specialists.
Given such statistics, the Finance Ministry does not see opportunities to reduce taxes, explained the official. He believes that the state has done everything that could: 700 billion rubles. remained in the economy due to transport in 2011 raising premiums from 26% to 34%, another 250 billion rubles. - Due to change in the order of payment of export duty on oil since December 2008
But to raise the tax burden the Finance Ministry intends. The Ministry proposes to increase tax collection in 2010 amounting to about 115 billion rubles. by raising rates, said Shatalov. Of these, 50 billion rubles. Finance Ministry hopes to get from raising the severance tax on gas. This is 60% of all charges of this tax in 2008 (83 billion rubles.). What should be the new rate is not yet known, Shatalov said: "We need to receive 50 billion rubles. And the rate we calculate, based on that amount. Earlier this issue was postponed until 2011, but the Finance Ministry proposes to increase the rate since 2010, he explained. "This is the position of the MOF, not approved by the [government]", - explained Shatalov, it to be worked out with Gazprom and independent mining companies. Earlier, the Finance Ministry has included this increase in the basic directions of tax policy for 2010-2012.
Given the forecast growth in gas prices for 2010 (up 27,7%) payment of severance tax from Gazprom will grow to a maximum of 22 billion rubles. It is just 0,6% of the proceeds of the gas monopoly. Representatives of Gazprom and Novatek (2 nd place for the extraction of gas) had no comment.
Another 50 billion rubles. budget will increase in all types of state duties, which have not been revised since 2000, said Shatalov. This is more than all the revenues of the consolidated budget of the state tax in 2008 (47.9 billion rubles., According to the Federal Treasury).
Also, the budget will help manufacturers of tobacco and alcohol. According to Shatalov, 10-15 billion rubles. MOF plans to obtain the additional indexation of excise taxes on alcohol and tobacco. What kind of rates would be raised and by how much, not Shatalov said. The relative increase in the burden on them the most insignificant: the state receives from the excise taxes on alcohol and tobacco more than 140 billion rubles., Including 63.8 billion from tobacco (data from the Treasury).
Since 2010 in the Tax Code, and so laid increase of excise duties on alcohol, said Deputy predpravleniya Union of Alcohol Producers Dmitry good: up to 210 rubles. a liter of ethanol against 191 rubles. this year. The new increase will lead to the fact that the legal minimum price bottles of vodka to exceed 100 USD., He says: this will increase sales of illegal products, which is true, even according to official statistics, up to one third of the market. In the tobacco market share of illegal production of less than 1%, if there is a sharp increase in excise duties, it could lead to an increase in the shadow of the market, worried representative of JT International Russia, Anatoly Vereshchagin: as a result of the increased excise tax will bring lower output.
For advanced
The government can begin to introduce a single tax on real estate in some subjects with 2012, said Shatalov, but only "in the advanced regions." New tax to replace the land tax and property tax.

Tuesday, March 17, 2009

Cigarettes

A cigarette is a product manufactured out of cured and finely cut tobacco leaves, which are rolled or stuffed into a paper-wrapped cylinder (generally less than 120 mm in length and 10 mm in diameter). The cigarette is ignited at one end and allowed to smolder for the purpose of inhalation of its smoke from the other (usually filtered) end, which is usually inserted in the mouth. They are sometimes smoked with a cigarette holder. The term cigarette, as commonly used, refers to a tobacco cigarette but can apply to similar devices containing other herbs, such as cannabis.
A cigarette is distinguished from a cigar by its smaller size (hence the name), use of processed leaf, and white paper wrapping; cigars are typically composed entirely of whole leaf tobacco. Cigarettes were largely unknown in the English-speaking world before the Crimean War, when British soldiers began emulating their Ottoman Turkish comrades, who resorted to rolling their tobacco with newsprint.