The Ministry is discussing with chemists and metallurgists the possible withdrawal of additional revenues

MOSCOW, August 15. /TASS/. The Ministry of industry and trade consults with metallurgical and chemical companies on the possible withdrawal of the Federal budget of additional revenue received by companies due to prevailing market conditions. In the near future the Ministry will prepare its position, reported TASS the press service of the Ministry of industry and trade.

“In the framework of the elaboration of the orders of the President and the government, the Ministry consults with companies in the metallurgical and chemical industries. Considered the possible impact on the economy, including the investment plans of specific companies and the industry in whole, the potential measures to recover additional revenues received by the companies to the state budget. In the near future will be formed a consolidated position on this issue”, – noted in the Ministry of industry.

To withdraw from metallurgical and chemical companies 513,7 billion rubles of additional revenue earlier proposed by the Russian presidential aide Andrei Belousov in the letter to Vladimir Putin. Funds can be allocated for the implementation of the may decree of the President, said Belousov.

According to estimates of the Russian Union of Industrialists and entrepreneurs (RSPP), the capitalization of stock market of the Russian Federation as a result of these measures may fall by 3 trillion rubles. The Union also warned that the initiative Belousova will have a negative impact on the investment attractiveness of the country.

International rating Agency Fitch believe that the increased tax burden will put pressure on the profitability of companies and reduce the available cash flow and also will force companies to cut dividend payments, reduce capital costs or to increase leverage (the ratio of borrowed and own capital).