03.07.08

Deputies in the Duma want to increase the ceiling for loan disbursements that corporate bodies can classify as expenses, thereby lowering their profit taxes.

Currently, according to the Tax Code of the Russian Federation, an enterprise can classify credit payments as an expense if the interest rate is less than 1.1 the rate of refinancing in rubles (right now the maximum is 11.8 percent) and 15 percent in other currency.

If the cost of credit is higher, the company should take into account the difference between the actual interest rate and the standard in the tax base of the Tax Code, having paid from it the profit tax at a rate of 24 percent.

The realization of this initiative should stimulate the credit activity of small and mid-sized businesses. The bill already has favor within the government. Anatoly Aksakov led preparation of the amendments.

Read More about Legal Services from Alinga Consulting Group

Source: "Клерк.Ру"