On Introducing Amendments and Additions to Decree No 119 of the President of the Republic of Belarus of 9 March 2007

This document aims to make the simplified taxation system more attractive, and help level off the tax burden between organizations and individual entrepreneurs, improve the conditions for investment and business activities.

In this respect, in accordance with the document, the tax rates levied under simplified taxation schemes will be reduced from 1 January 2009:

from ten to eight per cent of gross receipts in case VAT is not paid;

from eight to six per cent of gross receipts in case VAT is paid;

from twenty to fifteen per cent in case gross revenues are used as the tax base.

The tax reductions will make it possible to reduce the tax burden on small and medium-sized businesses, as well as to level off the taxation conditions under the common and simplified taxation schemes.

As a whole, the implementation of the provisions of the Decree will help improve the conditions for applying the simplified taxation system, making it more attractive for small and medium-sized businesses.