17 October 2003 09:12
Russian cabinet agrees new classification system for small business
Moscow, 16 October: The Russian government has approved the requirements for the classification of small businesses
proposed by the Ministry of Antimonopoly Policy and Enterprise Support, Antimonopoly Policy and Enterprise Support
Minister Ilya Yuzhanov told reporters Thursday [16 October]. Currently there is no single definition of a small business
in Russian law.
The ministry proposed that a company with less than 10 staff and a turnover of R15m or less per year be defined as a
microenterprise. Companies employing 100 people or more [should presumably read "less"] or individual
entrepreneurs employing 99 or less people would be defined as small companies. No turnover ceiling would be set for such
companies yet, Yuzhanov said. Companies which employ 250 or less people and have an annual turnover of R500m or less
would be deemed middle-sized companies.
The new classification is likely to be adopted in the first quarter of 2004, Yuzhanov said.
The government rejected the ministry's proposal that companies with an annual turnover of R100m or less be
allowed to use the simplified taxation system. Currently, companies with an annual turnover of R15m or less can take
advantage of such a system. However, in one-and-a-half months, government bodies will calculate the new ceiling figure
at which the simplified taxation could be applied, Yuzhanov said.
[Prime-TASS news agency] |
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