Bulletin "THE EMPLOYER" #12 (78)

#12 (78)
May
2001
special release

The information message of the Strike Committee of the businessmen of the Republic of Belarus

18.05.2001 in the Republic of Belarus the national political strike of the businessmen took place. More than 40.000 businessmen and approximately of 50 thousand persons working on hiring (about 40 % from general number) took part in the strike.
The greatest number of people taking part in the strike as for 10.00 hours was observed at two largest markets of Belarus: "Southern", Grodno – 95 % (representative of the Strike committee – A. Vasiliev), "Zhdanovichy" (90 % of people taking part in the strike, representative of the Strike committee – À. Shumchenko)
More than twice of planned number of the citizens of the Republic of Belarus (20 % was predicted by us) took part in the strike. It is necessary to take into account that it is the first political strike in history of the Republic of Belarus when A. Lukashenko is at the office. Despite of the strongest counteraction in realisation of the strike, the Strike Committee of the businessmen puts it "good". Nobody in Belarus has organised a political strike with the total number of participants 90.000 men yet. Two years ago we even didn’t dream of it and today it is a reality.
The businessmen put forward only two basic requirements: resignation of A. Lukashenko and Government of the Republic of Belarus. The day of the strike – day of realisation of the so-called second all-belorussian national (vertical) assembly – was specially chosen.
The strike was spent under uneasy conditions:
- The representatives and leaders of the Strike Committee were repeatedly arrested;
- The bulletin "Businessman" was everywhere withdrawn;
- The false bulletin "Businessman" ¹12 in which they informed that the strike of the businessmen is transferred as the talks of V. Levonevsky and prime minister Ermoshin had begun was issued. The distributors of the false bulletin were detained by the businessmen of the market "Dynamo". But the employees of militia refused to make the protocols on those distributors.
However the active workers of the Strike committee and vice-president of the Belorussian Trade union of the Businessmen Leonid Kalitenya were repeatedly arrested and were not allowed to distribute the information of the Strike committee.
- The leaders of administrations and executive committees visited markets threatening that those who would take part in the strike would be deprived of the right to trade on rented places.
Due to this strike the Strike Committee of the businessmen has begun to get experience of political struggle. And it is only the beginning. The Strike Committee of the businessmen plans to carry out still two national political actions of the protest with the requirement of resignation of A. Lukashenko as a minimum.
The Strike Committee of the businessmen is sincerely grateful to all businessmen who have supported the strike. Our special gratitude is to all journalists and chiefs of mass media which were not afraid and published the information on realisation of the political strike by the businessmen.

The chairman of the Strike Committee of the businessmen of the Republic of Belarus
Valery Levonevski

Decree of the President of the Republic of Belarus from May 17, 2001 ¹ 12

About introduction of the single tax from the individual businessmen and other physical persons realising goods, works (services), and about some questions connected with the specified activity.

To create favourable conditions for the development of individual business, to maintain social guarantees to the individual businessmen, other physical persons, to improve the order of their taxation and according to the third part of article 101 of the Constitution of the Republic of Belarus I order:

1. To enter the single tax: from the individual businessmen, foreign citizens and persons without citizenship at realisation of works (services) to the physical persons and at retail realisation of goods specified in the applied List of kinds of activity realising which the individual businessmen and other physical persons pay the single tax and base rates of the single tax to them through items of sale* (except for shops);

From the citizens of the Republic of Belarus who are not individual businessmen, at single (not regular) realisation of the goods made, advanced or acquired by them for realisation at the markets according to the List named in the second paragraph of this item.

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* With the purposes of the present Decree items of sale are:
Items small retail trade network (tents, stalls, pavilions which do not have trade halls, mini-cafe, summer cafes and parting and carrying trade network);
The detached trade places at the markets outside of a stationary trade network;
The detached places given to juridical or physical persons to trade in the order established by the legislation;
The detached places on the trade areas belonging to the individual businessmen on the property right.
2. To ratify the applied List of kinds of activity realising which individual businessmen and other physical persons pay the single tax and base rates of the single tax (further - List).
3. To establish that:
3.1. The payers of the single tax from the individual businessmen and other physical persons realising goods, works, services (further – single tax) do not pay (as soon as it has been established):
Income tax from physical persons on the incomes received by them at realisation of activity indicated in the second and third paragraphs of item 1 of this Decree;
The value added tax except for the tax paid by the individual businessmen on the goods imported to the customs territory of the Republic of Belarus;
The tax for the use of natural resources (ecological tax);
The local taxes and dues paid by the individual businessmen realising the activity indicated in the second paragraph of item 1 of this Decree;
3.2. Regional and Minsk municipal Councils of the deputies establish rates of the single tax (further - established rates of the single tax) within the limits of base rates of this tax indicated in the List applied to this Decree depending on:
The locality in which the activity of the payers of the single tax is carried out (Minsk, cities of regional, district submission, settlements of am urban type, rural locality);
Places of realisation of activity of these persons within the limits of the locality (centre, suburb, transport outcomes etc.);
Remoteness of this place from stops of transport;
Mode (changes) of work of the payers of the single tax;
Type of a point of sale;
Other features and conditions of realisation of activity;
3.3. The established rates of the single tax are lowered:
For the citizens for the first time registered as the individual businessmen (earlier not included in The Single state register of the juridical persons and the individual businessmen) - on 25 percents per first three months from the date when they get the certificate of the state registration;
For the individual businessmen - pensioners on age or physical inability - on 20 percents.
If several bases mentioned in the present sub-item are found at the individual businessmen simultaneously, the established rate of the single tax is lowered on 45 percents;
3.4. The individual businessmen and other physical persons realising production of animal industries (except for breeding of animals for fur), bee-keeping and plant-growing are released(exempted), except for flowers and seeds of flowers, do not pay the single tax if they present the certificate given out by a local executive and efficient body confirming that the production sold by these citizens is made on the ground area given by him according to the legislation of the Republic of Belarus to organise a personal part-time farm, gardening, market-gardening (concerning production of bee-keeping – if they present the veterinary-sanitary passport of a bee-garden) and medicinal plants, berries, mushrooms, nuts, another wild production;
3.5. Payment of the single tax is made on that kind of works (services) on which its highest rate is established at realisation of several kinds of works (services) indicated in the List applied to this Decree.
If the physical persons under the labour or civil-law contract are involved to the realisation of works (services), the tax at the rate of 60 percents from the established rate of the single tax is additionally paid on each involved physical person on the appropriate kind of works (services) carried out by him. Thus, if a physical person carries out some kinds of works (services), the payment of the tax at the rate of 60 percents is made on that kind on which the highest rate of this tax is established.
The payment of the single tax is carried out on that kind of the goods on which the highest rate of the tax is established if several kinds of the goods indicated in the List applied to this Decree are realised. If goods which made not in the Republic of Belarus (except for the goods which are the subject to be marked by the excise marks) are realised the tax raising factor 1,3 irrespective of densities of these goods in trade assortment is applied.
If the goods indicated in the List applied to the present Decree are realised in several points of sale the single tax is paid on each item of sale;
3.6. The individual businessmen who are carrying out activity indicated in the second paragraph of item 1 of this Decree independently estimate the single tax which should be paid in view of rules of the sub-items 3.3 and 3.5 of this item taking into account the rates of the single tax established in a locality in which the activity is carried out and if the activity is realised outside the Republic of Belarus – taking into account the rates established in a locality in which the individual businessman is registered as the tax payer.
If the activity indicated in the second paragraph of item 1 of this Decree is realised less than 15 days in a calendar month the size of the single tax is determined by multiplication of the established rate of the single tax to factor 0,04 and on quantity of days during which the activity is realised.
The individual businessmen who are carrying out activity less than 15 days in a calendar month, are obliged to present the application with the indication of the period of realisation of activity to a tax body in a place of registration as the tax payer before the beginning of its realisation. If the application is not represented or if the activity is realised more than 15 days in a calendar month the single tax which is the subject to be paid is estimated by an individual businessman not taking into account the rules of the second paragraph of this sub-item;
3.7. The citizens of the Republic of Belarus who are individual businessmen, foreign citizens and persons without citizenship are calculated the single tax by the state tax bodies in view of rules of sub-item 3.5 of this item taking into account the rates of the tax established in a locality in which the activity is carried out. If the activity is realised less than 15 days in a calendar month the size of the single tax is determined in the order indicated in the second paragraph of sub-item 3.6 of this item;
3.8. The single tax is paid in the Belorussian roubles proceeding from the rate of euro to Belorussian rouble established by the National bank working on the first of a month in which the payment of the tax is carried out:
By the individual businessmen - monthly, not later than the 28-th of a month previous to a month of realisation of activity indicated in the second paragraph of item 1 of this Decree, and if the activity is realised less than 15 days in a calendar month - prior to the beginning of its realisation. The individual businessmen registered for the first time pay the single tax for the first month not later the day previous to the day of when the realisation of activity is begun;
The citizens of the Republic of Belarus who are not individual businessmen, foreign citizens and persons without citizenship - before the beginning of the realisation of activity.
The single tax is paid in a place where one is registered as the tax payer or in a place of the realisation of activity.
The individual businessman shows the document on payment of the single tax on which the tax body makes the appropriate mark to a tax body where one is registered as the tax payer or in a place of the realisation of activity.
The individual businessman in the document on payment of the single tax specifies a kind of the activity which is carried out, period of the realisation of activity, place of its realisation (where points of sale are found, assortment of the sold goods, quantity of the involved persons who directly participate in the realisation of works (services)).
The document (its copy) confirming the payment of the single tax with the appropriate mark of a tax body is showed if the authorised officials of supervising bodies demand;
3.9. The recalculation (return or offset) of the single tax is made in the following cases:
Temporary invalidity - on the basis of the documents or copies confirming invalidity certified in the established order given out by the authorised bodies;
If a tax payer lost the right to use points of sale, fixed capital, including rooms (buildings) used to realise the activity indicated in the second paragraph of item 1 of this Decree - on the basis of the copies of the documents confirming loss of this right certified in the established order;

If the activity is not realised because of decisions accepted by the state bodies which prevent to realise it except for the cases when such decisions are caused by wrongful activity of individual businessmen - on the basis of the copies of the decisions of these bodies or other documents certified in the established order;
If the activity is not realised because of the extreme situations;
If the activity is not realised temporary by an individual businessman (duration no more 30 calendar days in one year) - on the basis of his application submitted to a tax body.
The sum of the single tax which is the subject to return or offset is determined by multiplication of the sum of the single tax which should be paid to factor 0,04 and to quantity of days during which the activity was failed on the bases mentioned in this sub-item.
4. The individual businessmen realising activity mentioned in the second paragraph of item 1 of this Decree keep account the proceeds in any form and at the end of a calendar year (not later February 1 of the year which follows the accounting one) present the report on the size of the proceeds received in an accounting calendar year on the form confirmed by the State tax committee to a place where they are registered as tax payers.
The individual businessmen who pay the single tax according to this Decree have the right to store the goods realised in the points of sale without the documents confirming their purchase.
The individual businessmen realising the activity mentioned in the second paragraph of item 1 of this Decree have not the right to apply other order of the taxation.
5. The individual businessmen realising the activity mentioned in the second paragraph of item 1 of this Decree can carry out reception of cash money resources without the use of fly-off coupons and cash summing devices.
The reception of cash money resources without the use of fly-off coupons and cash summing devices does not release the individual businessmen from distribution of the commodity check or other document confirming purchase of the goods, fulfilling of works (rendering of services) to the consumers of the goods, works (services).
Regional executive committees, Minsk municipal executive committee as agreed with the Ministry of business and investments can determine points of sale which realise the goods only with the use of cash summing devices or the list of kinds of the goods which are realised only in the specially located places with the use of cash summing devices.
6. Realising the activity indicated in the second paragraph of item 1 of this Decree, without payment (incomplete payment) of the Single tax the individual businessmen is applied the economic sanctions in the double size of the rate of the single tax established in a locality in which the activity is carried out.
The authorised officials of bodies of the State tax committee are given the right to apply the economic sanctions mentioned in this item.
7. Fulfilling property bargains and declaring the incomes from realisation of the activity indicated in item 1 of this Decree as the sources of money resources the actually received incomes are reflected in the declaration. In these purposes the income appropriate to the paid single tax is determined by multiplication of the sum of this tax to 10. Declaring the incomes in the sizes exceeding the income which corresponds to the paid single tax as the sources of money resources the single tax at the rate of 10 percents is paid in addition from the sum of such excess. The payment of the single tax is made in a month's term from the date of receiving of the appropriate payment notice from a tax body.
8. The sums of the single tax are completely enlisted in the budgets of regions and Minsk.
9. The goods made in the third countries and put in free circulation in Russian Federation (except for the goods which the subject to be marked by the excise marks) are not the subject to customs registration when imported to the territory of the Republic of Belarus by the individual businessmen who are carry out the activity mentioned in the second paragraph of item 1 of this Decree.
10. To give the Ministry of Trade the right to explain some questions on belonging of the trade objects to points of sale and separate goods to commodity groups indicated in the List applied to this Decree
11. To recognise that Decree of the President of the Republic of Belarus from February 16, 2000 ¹7 "About some questions on collection of the values added tax from the individual businessmen" (National register of the legal acts of the Republic of Belarus, 2000, ¹ 20, 1/1009) has lost its force
12. Regional and Minsk municipal Councils in a month term should establish the rates of the single tax within the limits of the base rates of the single tax indicated in the List applied to this Decree and taking into account local conditions and features of the realisation of activity.
13. Regional executive committees, Minsk municipal executive committee in 3-month term should develop and ratify the programs providing questions of development of the markets, organisation of places of trade for the individual businessmen, their stage transition into well-furnished rooms with granting of a complete complex of services, and first of all account-cash.
14. The Council of Ministers of the Republic of Belarus in 6-month term should ensure the fulfilment of the legislation according to this Decree and accept other measures directed to realise this Decree.
15. This Decree is not distributed to the individual businessmen who are the part of the contract of a simple company (contract about joint activity).
16. This Decree has got its force since May 1, 2001, except for items 9, 12, 13, 14, which has got its force from the date of its official publication, it is temporary and according to the third part of article 101 of the Constitution of the Republic of Belarus is represented to be discussed to the National assembly of the Republic of Belarus.

The president of the Republic of Belarus A. Lukashenko.

IS AUTHORIZED
Decree of the President of the Republic of Belarus
17.05.2001 ¹ 12

THE COMMENT TO THE DECREE OF THE PRESIDENT OF THE REPUBLIC OF BELARUS from May 17, 2001 ¹ 12

The purpose of the decree of the President of the Republic of Belarus from May 17, 2001 ¹ 12 "About introduction of the single tax from the individual businessmen and other physical persons realising goods, works (services) and about some questions connected with the specified activity" is to perfect the order of the taxation and to simplify the procedure of the businessmen’s activity. The single tax replaces the payment of the income tax from the incomes received through the realisation of the goods, works (services) indicated in the Decree, value added tax (except for the tax on the goods imported to the customs territory of the Republic of Belarus), tax for the use of natural resources (ecological tax), local taxes and payments which should be paid by the individual businessmen in connection with the realisation of activity connected with the realisation of the goods, works (services) indicated in the Decree. Thus the persons who pay the single tax should not receive cash money resources at realisation of the goods, works (services) to the citizens with use of fly-off the coupons and cash summing devices, the order of conducting the account of the businessmen’s activity - becomes simpler, only account of the proceeds and the order of granting of the reporting in tax bodies (report on the size of the received proceeds is given once a year) are established as obligatory that essentially reduces both material and temporary expenses to conduct activity. At the same time, the cancellation of fly-off coupons mentioned by the Decree does not bring in any changes to the legislation on protection of the rights of the consumers. The consumers under their requirement should receive the documents confirming purchase of the goods (rendering of service, performance of work).
The Decree stipulates the cancellation of customs registration of the goods made in the third countries and put in the free circulation in Russian Federation (except for the goods which are the subject to be marked by the excise marks).
Regional and Minsk municipal Councils of the deputies should establish in a month's time the concrete sizes of the rates of the single tax (in euro) proceeding from the base rates mentioned by the Decree and in view of local conditions and features of the realisation of activity influencing the income.
To protect the domestic manufacturers the Decree stipulates application to the established rate of the tax of raising factor 1,3 at realisation of the goods (except for the goods which are the subject to marked by the excise marks) not made in the Republic of Belarus. Thus the application of factor will be carried out irrespective of densities of these goods in trade assortment.
The size of the single tax does not depend on the circulation of goods and actually received incomes from kinds of activity carried out according to the Decree. Accordingly, with introduction of the single tax the application of raising factors is also cancelled depending on the size of the proceeds to the rates of the tax, the necessity of control on the part of tax and other supervising bodies over the reception of cash money resources disappears, the bases for application of the financial sanctions and administrative fines to this category of the individual businessmen are excluded. Besides the sums of the incomes received from realisation of kinds of activity mentioned in the Decree are not the subject to be included to the declaration on the combined revenue.
The decree establishes privileges under the uniform tax for separate categories of the physical persons (citizens for the first time registered as the individual businessmen and individual businessmen - pensioners on age or physical inability). As comparing with the working Decree until this one gets its about calculation of the fixed sums of the income tax, the list of cases of return of the single tax (at temporary non-realisation of the activity by the individual businessman, temporary invalidity, including persons involved on the labour and civil-law contracts to realise the goods, works (services), loss of the right to use points of sale, fixed capital (including rooms (buildings) used to realise the activity by the tax payer, non-realisation of activity because of the decisions of state bodies, except for the cases when such decisions are caused by wrongful activity of individual businessmen, and because of extreme situations) is extended.
The individual businessmen realising the goods, works (services) to the subjects of businessmen’s activity and carrying out kinds of the activity which has been not indicated in the Decree use the generally accepted order of the taxation.
To legalise the incomes the Decree stipulates the excess fare of the tax from the sum of the increase of the income declared at fulfilment of the property bargains over the income from which the single tax was paid.
Besides the Decree establishes that the single tax on the rates established by regional and Minsk municipal Councils of the deputies is paid by the citizens of the Republic of Belarus who are not the individual businessmen at single (not regular) realisation of the made, advanced or acquired goods by them to realise at the markets and by foreign citizens and persons without citizenship who temporarily live in the Republic of Belarus and carry out the activity in the Republic of Belarus.

The head of the department of economics of social sphere of economic management of Administration of the President of the Republic of Belarus A. G. Belyai

The list of kinds of activity realising which the individual businessmen and other physical persons pay the single tax and base rates of the single tax

Kind of activity	Base rate of the single tax for one month (euro)
Retail trade (except for retail trade through objects of public catering):
By beer, tobacco products	50-150
By bread and bread products, milk and dairy production, potatoes, vegetables, fruits, berries, water-melons, melons, grapes	15-45
By other articles of food (except for alcoholic production)	25-75
By clothes from natural fur and natural leather, furniture, carpets and carpet products, complex household electro-goods, tele-, radio-goods (except for cassettes of all kinds, compact discs, dry batteries, spare parts and accessories to these goods, devices of remote wireless management)	50-150
Auto-, moto vehicles	60-180
By spare parts to automobiles	40-120
By products of medical purpose	20-60
By the printed editions	10-30
By other non- food articles of (except for precious metals and jewellery and products from them, goods of special purpose, petroleum through refuelling stations)	25-75
Retail trade through objects of public catering concerning to small retail trade network (except for retail trade by alcoholic beverages)	25-75
Retail trade through objects of public catering concerning to small trade network (including retail trade by alcoholic drinks)	80-240
Maintenance service and repair of automobiles, motorcycles and motor scooters; restoration of protector of rubber tire covers	25-75
Repair of the household goods and subjects of personal usage	12-36
Manufacture of clothes, footwear and head-dress by the orders of the citizens	15-45
Activity in the field of photo	20-60
Manufacture of cinema and video-production by the orders of the citizens	25-75
Services of hairdressing saloons and other services of beauty salons	15-45
Services of taxi and other passenger overland transport within the limits of the Republic of Belarus	20-60
Services of cargo overland transport within the limits of the Republic of Belarus	25-75
Services of passenger and cargo overland transport outside the Republic of Belarus	45-135
Activity on cleaning of buildings	8-24
General construction of buildings, isolation of work, metal-works and water works, plaster works, installation of joiner's elements, covering of floors and walls, painting and glazing	20-60
Services in area of growing plants (except for operation of irrigation and drainage systems)	5-15
Manufacture of other products from concrete, plaster, cement; is sharp, fashion and furnish of stone; manufacture of other metal products by the orders of the citizens	10-30
Activity in the field of education	20-60
Concert activity	30-90
Medical and dental surgery practice	15-45
Activity connected with the maintenance of physical comfort	15-45
Rent of property, machines and equipment; hire of the household goods and subjects of personal usage	10-30
Reproduction of the written down materials (sound - and video-recordings, machine carriers of the information)	15-45
Activity in the field of packing	10-30
Day time care of children (children's day nursery)	8-24
Services in storage of vehicles belonging to the citizens	25-75
Other kinds of works sold to the citizens, services determined by the regional and the Minsk municipal Councils of the deputies	25-150