Budget execution, tax revenues and VAT: Alexander Ankvab held a meeting

The meeting was attended by First Deputy Prime Minister Beslan Dzhopua, Deputy Prime Minister, Minister of Finance Vladimir Delba, Deputy Prime Minister, Minister of Economics Kristina Ozgan, Minister of Taxes and Dues Daur Kurmaziya.

Sukhum. June 8. Apsnypress. Prime Minister of the Republic of Abkhazia, Alexander Ankvab, at a meeting attended by First Deputy Prime Minister Beslan Dzhopua, Deputy Prime Minister, Minister of Finance Vladimir Delba, Deputy Prime Minister, Minister of Economics Kristina Ozgan, Minister of Taxes and Dues Daur Kurmaziya discussed the implementation of the budget and tax revenue plans, as well as improving the tax system.

  Daur Kurmaziya reported on the work of department following the results of 5 months of 2020: “In May, the republican budget received 266 million rubles in the form of tax revenues. With the plan for 5 months, 871 million rubles were raised 849 million rubles. Thus, the performance over 5 months is 97%.”

At the same time, minister explained that as of June 1, the current tax debt was reduced to standard amounts, passing from month to month, and amounted to 102 million rubles. This means that the so-called tax reserve created by debts for previous periods has decreased, and there is no need to wait for overfulfillment of the plan by paying off debts in the coming months including for 2019. “In case we can mobilize all current debt and the amount of accruals in June will not be lower than the level of the same month last year, we will collect no more than 170 million rubles. However, today there are prerequisites that the amount will be seriously reduced in comparison with the accruals in previous months. The plan for June 2020 is 190 million rubles, ”said Kurmaziya.

In this regard, the meeting participants noted that it is possible to predict problems with payment of wages to public sector employees.

  In addition, the meeting dealt with the effectiveness of value added tax. It was emphasized that when analyzing the effectiveness of VAT, it is important to take into account not only the role of tax in the formation of the country's budget, but also the redistribution of financial resources of the state in support of business.

Alexander Ankvab instructed the heads of relevant departments to analyze the work of the tax system in terms of paying VAT, its fiscal efficiency, as well as risks in budgeting with and without VAT.