Belarus plans to reduce profit tax from 18% to 15%

Suggestions have been voiced in Belarus to reduce the profit tax from 18% to 15%. This suggestion and the proposal to increase the VAT from 20% to 22% have been included in the draft law on amendments and additions to the Tax Code of the Republic of Belarus,BelTAlearned from Spokesperson for the Finance Ministry Irina Komar.

She explained that the document has been discussed with all stakeholders. It has been sent for consideration to the special commissions at the Council of Ministers. "This is still a draft law. What the final version will look like is still unknown, she said, adding that the draft law will be submitted to the parliament where it may also undergo some changes.

The Taxes and Duties Ministry, in turn, said that they were not yet consulted as to the possibility to increase the VAT rate.

The draft law contains several other important novel concepts. For example, it suggests exempting from VAT the sale of unregistered medicines, medical equipment, instruments, products which are allowed to be sold and used in Belarus. Moreover, such items must be in the list approved by the President. In addition, it is proposed to exempt from VAT the sale of the property rights on inventions, utility models, industrial samples, selection achievements, topologies of integrated circuits, trade secrets (know-how).