07 December 2010, Tuesday, 10:22

“The Support of Russia” comes out against the rise of insurance payments in 2011

author: Lubov Kolokolova

The all-Russian public organization “The Support of Russia” appeals to the leadership of the country with the open letter. “January 1, 2011, will become the “black day” for small business of Russia because since that moment the fiscal load on the wage fund for the business structures, using the simplified taxation system and the unified tax on imputed earnings – and this is 90% of the Russian small business – will be increased 2,4 times. Such situation leads to quite logical reaction of the business – the radical increase of the “shadowy” constituent in Russian economics, lowering of wages, the returning to the “grey” labor payment systems and to mass dismissals of the workers in the small and medium business sectors. But one has to understand that such actions of the business people represent the extreme measure because for many of them the reform of the unified social tax in its present state means the end of their business. At the same time the supervisory boards already start threatening the business people with the future inspections” – said in the letter.

“We are sure the rise of the amount of the insurance payments will certainly lead to reduction of the output and, as a consequence, to the substantial cutback of the budget revenues. The increased self-cost of the goods and services will entail the rise of prices and all these economic after-effects will cause the rise of social intenseness in the country” – “The Support of Russia” warns.

Such position of the business is a consolidated one: “The Support of Russia” has held regional conferences, where the problem of social-economic consequences of such step was under discussion, in more than 60 Russian regions.

“The opinion of Russian business is unanimous: the reform throttles business activity and the discussion of this problem with the regional authorities shows they understand the whole complexity of the situation and the necessity to make solutions and these solutions should be quick and adequate. Business people understand the necessity of the state to fulfill its social obligations but consider it is unfair that the load on execution of the social guarantees is laid exclusively on the small business”.