Saturday, August 1, 2015

Cabinet approved the petroleum profit tax instead of the MET – Russian Oil

«Oil of Russia», 02.08.15, Moscow, 00:09 The Russian government supported the introduction of a tax on profits from realization of crude oil instead of mineral extraction tax for certain fields.

The draft federal law “On Amendments to Parts One and Two of the Tax Code of the Russian Federation and the Budget Code of the Russian Federation” to the State Duma in late 2014, the Legislative Assembly of the Khanty-Mansiysk Autonomous Okrug – Yugra.

The Russian government will consider the draft federal law in the context of financial and economic feasibility.

The bill introduces a new special tax regime: the system of taxation in the form of income tax from the sale of crude oil.

The bill provides for the right of organizations to voluntarily make the transition to a system of taxation in the form of income tax from the sale of crude oil for a period of 5 years instead of paying tax Mineral extraction.

Also, have the right to return to the MET.

In addition, the bill provides to the taxpayer the right to order their duties related to the calculation and payment of tax, the organization – to the operator on the basis of Agreement for the provision of operator services, and defines the requirements that must comply with the specified operator.

Among the requirements for subsoil plots for the purposes of income tax from the sale of crude oil (up to 60% of profits) – is including setting the lower limit of the proportion of initial recoverable oil reserves in the segment (s) of mineral resources in the total amount of initial recoverable hydrocarbon reserves at the site subsoil of 70%.

“The bill stipulates that the transition to a system of taxation in the form of income tax from the sale of crude oil costs associated with production and (or) sales related to the work in progress at the date of transition and incurred prior to the transition to a system of taxation in the form of income tax from the sale of crude oil, taken into account when determining the tax base tax on profits from the sale of crude oil in the reporting (tax) period of manufacture of the finished product, “- the document says.

Along with the bill provides for the right for organizations in the transition to a system of taxation in the form of income tax from the realization of oil produced during the four tax periods taken into account in addition to the depreciation charges to be included in expenses taken into account when calculating the tax expenses in the amount not exceeding 10% of the original value of fixed assets used directly in the activities of production of hydrocarbons.

“The introduction of the tax system in the form of income tax from the sale of crude oil will allow the removal of state income profits from the development of highly profitable stocks that are in the current tax system has a relatively low tax burden and the profitability of the development of both traditional and more expensive hard-stocks (stocks, not the provision of infrastructure) “, – emphasized in the draft law.

The government conceptually supported the bill, however, the bill needs to be improved, including with regard to the inclusion of selection criteria subsoil areas in respect of which can be applied this approach to the taxation of the oil industry in a pilot mode, as well as granting the Russian government the authority to approve the list of subsoil areas.

The bill proposes amendments to the Tax Code and Budget Code of the Russian Federation. “The government notes that in accordance with the third paragraph of Article 2 of the Budget Code amendments to the Budget Code of the Russian Federation is carried out by separate federal laws.

The Russian government supports the bill, subject to finalization in accordance with the above comments “- said in the conclusion of the Cabinet of Ministers. Read more on http://www.oilru.com/news/472156/

LikeTweet

No comments:

Post a Comment