The government passed a series of laws from the Ministry of Finance on August 16, 2017. Most of them related to tax issues. The Ministry of Finance announced that the government has approved draft legislation that would introduce measures relating to the EU Anti-Tax Avoidance Directive (Council Directive (EU) 2016/1164), as well as certain other BEPS-related measures. Important changes are being made to the Tax Administration Act to ensure greater transparency.
An increase in the basic deduction for research and development (R&D) costs from the current 25% to 100% was announced. Also, the possibility of increasing this basic deduction by an additional 100% of the adjusted year-on-year increase in R&D expenditure is provided by the amendment to the Income Tax Act.
In the context of increased tax transparency, the Financial Directorate will release lists of taxable persons with the amount of their excessive deduction and their own tax liability. In addition, FR will internally “mark” companies from 2018 on the basis of their tax obligations. Responsible entrepreneurs can count on a positive approach.
In the framework of the fight against tax evasion, the Finance Ministry also prepared changes in the excise duty regarding mineral oils. The law tightens the conditions for mineral oil traders and introduces the possibility of suspending activity if it is suspected that the entity is involved in violating tax and customs regulations.
Most government approved laws should start to apply from January 2018.
