Putin called for a tax deferral for SMEs

He said this during an appeal to citizens because of the situation with coronavirus.

“I propose for those enterprises, for those industries that are most affected in the current difficult situation, to provide the following support measures: small and medium-sized enterprises need to be granted a deferral of all taxes, with the exception of VAT, for the next six months, and for micro enterprises, except tax deferrals, and also a deferral of insurance contributions to social funds, ”the Russian leader said.

Previously, Putin had proposed taxing dividends and interest at a rate of 15%.

Lazar Badalov, an assistant professor at the Department of World Economy and World Finances at the Financial University under the Government of Russia, in an interview with FBA Economics Today assessed the need to support the banking sector.