UDC 336.22
Authors
Semenova G. N.
Abstract
The article states that raising the value added tax rate to 20% will cause an acceleration in the growth of prices for goods and services; increase in inflation; rising prices for housing and other real estate. Value added tax is paid by all organizations and individual entrepreneurs from the sale of goods, works and services. By increasing VAT from 18% to 20% (by +2 percentage points), the business will be forced to raise prices for goods, since no one will agree to reduce their profits, and it is possible for the business to lose demand for their goods, work and services.
Keywords
inflation, value added tax, price increases, tax revenues, profits, natural resources, oil and gas revenues, business, sales, loss of demand, federal budget.
