Tax officials: Fines for “social parasites” should significantly exceed taxes

Tax officials from Hrodna propose to significantly increase fines.

Lidziya Siamashka, the head of the Hrodna regional department of the Tax Ministry, made this statement commenting on Lukashenka's instructions to work out a package of measures to eliminate social parasitism in the country, BelTA reports.

According to her, tax bodies have necessary tools to influence those involved in illegal business, for example, internet trade, taxi services, construction services, etc. Tax bodies checked 4,500 persons in January-September 2014. It was figured out that expenses of 1,300 people exceed their income. Tax agencies revealed more than 40 cases of illegal business activities, including 150 repeated facts. A total number of fines issued was over Br200 million.

Lidziya Siamashka thinks the most effective tool of struggling against illegal business is a significant increase in fines for tax evasion. She suggests that tax dodgers and their children should be charged with the full payment for social services (education and medical services).

“I think the size of fines should significantly exceed taxes in order to make people think what is more profitable for them – paying taxes or paying fines. Pay the double size of the concealed income if you conceal your income. Another effective measure is as follows: If a person doesn't work officially, doesn't pay taxes and make contributions to the Social Protection Fund, he or she must pay in full for a kindergarten or a school for his child and pay in full for medical services. If he does it once, he will understand that it is more profitable to work legally and pay taxes,” Lidziya Siamashka said.

She emphasised the importance of fostering tax culture and civic responsibility since childhood and promoting the image of a responsible tax-payer at school. “It is a very important issue. We work hard with people to form a positive attitude towards taxpaying and make them proud of their contributions to the country's development,” she says.

According to preliminary calculations, 45-50,000 people in the Hrodna region do not work.