08.10.08

The Ministry of Finance examined the question of taxing tax refunds in accordance with the Simplified Taxation System (STS). The Ministry answered this question in a letter to a taxpayer on September 2008 # 03-11-04/2/130.

Citing the law that “everything that is not mentioned in article 251 of the Tax Code of the Russian Federation is to be taxed,” the Ministry decided that tax refunds, which are not mentioned as an exception in Article 251, should be included in the tax base. If taxes were overpaid before the tax base calculations, the case for not taxing the overpayment would be more convincing. However, as it stands, the Ministry of Finance is unlikely to change its ruling.

Read More about Accounting Services from Alinga Consulting Group

Source: Российский налоговый портал