Saturday, August 19, 2017

Twenty-five percent of Sverdlovsk residents submit blank tax declarations

Twenty-five percent of the residents of the Sverdlovsk region submit blank tax declarations, according to Evgeny Kuivashev, the governor of the Sverdlovsk region.

Kuivashev made the statement at a meeting of the regional social security council, Ural Business Consulting reports.

"First of all, more and more taxpayers are now submitting 'blank' tax declarations," Kuivashev said, according to Ural Business Consulting. "In 2011, they made up about 26 percent of all the registered legal entities. Also, the number of loss-making organizations is also big enough. As for the taxes paid to municipalities, there are some problems there as well: the land tax debt keeps on growing and comes to over 707m RUR ($21.93 million) now."

More than 5,000 estates and 11,000 land allotments were used without official permission with no taxes paid in the first quarter of 2012.

In addition, the share of loss-making enterprises is more than 30 percent currently, causing the treasury of the region to lose profit tax revenues. Such a practice could be improved if the practice of business compartmentalization is removed, according to Ural Business Consulting.

In addition, people have been getting paid in cash for the purposes of tax evasion, which is another budgetary concern. The government is losing between $21.93 million and $62.05 million as a result of this evasion.