Privatization, oil and gas revenue, reserves could offset insurance tax shortfall - Medvedev
GORKI. June 29 (Interfax) - Russian President Dmitry Medvedev said a shortfall in budget revenue from a reduction in social tax contributions might be offset by privatization, oil and gas revenue and reserves.
"We have sources of compensating lost revenue. There are opportunities to raise additional funds by disposing of federal property, that is with privatization, and there are oil and gas revenues, that is reserves. Perhaps, finally, other sources," Medvedev said in his address on budget policy for the next three years.
"It is for the government to decide in what ratio to use these sources in the course of the budgetary process," he said.
The top social insurance tax rates will be lowered from 34% to 30% in 2012-2013, and the rates for small business from 26% to 20%.
Deputy Prime Minister Alexei Kudrin, who is also the country's finance minister, told reporters that the shortfall from the social tax reduction would be "approximately 400 billion rubles."