Monday, March 28, 2016

Ministry of Energy proposes to modify the proposal on excise taxes oil companies – RIA Novosti

MOSCOW, March 28 -. RIA Novosti Ministry of Energy believes that the postponement of the payment of excise taxes on fuel from refineries to gas stations could lead to decreased income budget and increase the turnover of low-quality fuels, offers to modify the proposal oil companies, a source in the economic bloc of the government who is familiar with the revocation of the Ministry of Energy.

The decision on the establishment of excise taxes on fuel and their mechanism of charging prepares the Ministry of Finance. The rate of excise tax on gasoline in Russia on April 1, increased by 2 rubles per liter, on diesel fuel – by 1 ruble per liter, also increase rates of excise duties on gasoline and middle distillates. At the same time the Ministry of Finance called the idea of ​​oil companies not acceptable.

The heads of a number of major Russian oil companies appealed to the country’s President Vladimir Putin to levy excise duty not to fuel sold to refineries and a fuel sold at petrol stations , told RIA Novosti source in the oil companies and departments. They consider such a transfer logical, since the excise duty, in fact, is a sales tax.

According to sources, oil companies argue such a proposal so that the transfer of excise payments put on an equal footing of all market participants, as now Refinery paying excise duty on fuel is not sold to the end customer, in fact lend budget. In addition, the development of an automated accounting system implemented fuel at the gas station will simplify administration of levying excise duty.



Energy Review

According to the source in the economic bloc of the government, the Ministry of Energy has considered treatment companies. “The Ministry believes that in the event of such a transfer, there are risks associated with the complexity of tax administration because of the increase in the number of taxpayers,” – he said,

In addition, the risk factor is the possibility of the implementation of the refinery fuel to third parties, which, without being. TZS and without obligation to pay excise duty, will be able to sell fuel to customers at low prices. “The result could be a shortfall in budget revenues, increasing the turnover of low-quality fuels and worsening economy TZS”, – he said in the economic bloc of the government.

“Another risk factor is related to the fact that refineries may keep the price level” before the payment of excise duty, “if necessary of its increase by the amount of excise duty on TZS. This can lead to an increase in fuel prices for consumers, higher transportation costs and . create in additional inflationary factor economy Finally, the formation of the center arrived at the “refinery – large wholesale” may help to reduce the level of competition “, – he added

The position of the Ministry of Finance

Ministry of Finance as well. not in favor of Russian oil companies on excises. “To postpone the payment of excise duty on petrol stations is not possible”, – the press-service agency

The case against the Ministry of Finance innovation basically coincide with the arguments of the Ministry of Energy.. The Finance Ministry believes that the transfer of payment of excise duties from the refinery to gas station will result in a significant increase in the taxpayers, and will bring out of that part of the fuel excise tax, which does not fall on refueling. “Secondly, the levying of excise duty only after refueling, even technically impossible: not all the fuel sold at the pump – part can be procured by large consumers (carpool, farmers, etc.) directly in bulk, that is, avoiding refueling”, – the Ministry’s press service .

“the proposal to levy excise duty only at the pump allows you to withdraw from the excise tax that part of the fuel, which does not fall on refueling This is unacceptable.” – noted there

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