25.09.07

In a policy statement addressed to the Perm Economic Forum, Sergey Shatalov expressed the Ministry of Finance’s new position on tax reduction. According to him, because government expenditures have been steadily rising of late (in spite of the Ministry’s efforts to control spending), any further reduction of taxes right now is “impossible.”

The deputy minister explained the specifics of the current official strategy: “I hope when we finish the election cycle, we will be able to develop and carry out a more realistic fiscal policy which will present an opportunity for further tax reduction. The new prime minister, Victor Zubkov, during his appearance at the State Duma on Wednesday declared that tax reductions will be a priority for his administration.

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