THE PERIOD OF TAX HOLIDAYS FOR BUSINESS MIGHT BE EXTENDED FOR 6 MONTHS

The government plans to extend the tax holidays for SMEs until April 1, 2021. The exemption is expected to influence most of taxes and insurance premiums for March and first quarter of 2020.

According to Izvestia newspaper, the corresponding discussion took place at a meeting with Deputy Prime Minister Andrei Belousov. At the same time, the extension will not affect the payments of VAT and self-employed citizens. Another interesting fact is that if previously, representatives of the 12 most affected business areas could count on the tax holidays, now only a few of them will be able to receive the support of the state.

According to preliminary data, the list includes cultural and catering enterprises, consumer services to the population, conferences and exhibitions, the organizations of leisure and entertainment area, physical culture, health and sports activities (except for sanatoriums).

We should recall that small and medium-sized businesses from the affected categories received a right for the tax holidays in April 2020 - the companies were exempted from payments for March and the first quarter of the year. Later, the measure was extended for the second quarter.