Shuvalov admitted the rejection of the tax changes

The draft tax manoeuvre “22/22”, implying a reduction in premium rates while increasing the rates of value added tax, was criticized by business, reminded the first Deputy Prime Minister Igor Shuvalov during his speech at the Collegium of the Ministry of economic development, reports .

“When I was presented this tax maneuver “22/22″, we heard at the Congress of entrepreneurs, the largest entrepreneurs: what you don’t change a thing, we have a very good tax system, we are so used to it, and the biggest achievement will be if you leave everything as it is”, — said Shuvalov.

The first Vice Prime Minister noted that the main discussion is yet to come, but one of variants of development of events may be the failure from changes in taxes.

“If we really understand that economic growth can and will need to manage the overall tax proposal, which is now… maybe it will be one of [options],” added the official.

Shuvalov praised the Ministry of economic development for the fact that the maneuver was proposed “not by draining [in the media],” and through the government. However, he noted that the three-year plan for the budget is “tough enough”.

“For several years, when the government proceeds to discuss the forecast, we have one such trick: we consider the costs under the baseline scenario, and want the results was according to the optimistic scenario”, — said Shuvalov, adding that “often make it difficult, sometimes impossible.”

A discussion of the tax maneuver, “22/22” continues for several months. In mid-March 2017, Finance Minister Anton Siluanov has proposed to increase VAT to 22%, and together with the lower insurance premiums to the same level. He said that contributions should be lower to reduce the informal sector in the economy. According to Finance Ministry estimates, the increase in VAT will cause a one-time “contribution to inflation” at 2 percent.

Deputy Finance Minister Vladimir Kolychev explained that such a tax reform should help to reorient the tax system that it has led to more rapid and sustainable economic growth.

In mid-April 2017, the sources of “Vedomosti” reported that at a meeting with Prime Minister of Russia Dmitry Medvedev it was decided to postpone discussion of maneuver “22/22”.