Finance Ministry discusses cancellation of tax breaks for monopolies
KRASNOYARSK. Feb 18 (Interfax) - The Russian Finance Ministry continues discussing the issue of canceling the tax breaks the natural monopolies receive on infrastructure property.
"I am engaged in a polemic with the natural monopolies, which receive 130 billion rubles a year in tax breaks on infrastructure property," Kudrin said at the Krasnoyarsk Economic Forum.
Kudrin said he has so far been unable to "change attitudes at the monopolies themselves and at certain ministries."
The monopolies say that if their tax bill increases, they will raise rates faster. "However, I believe we can find a golden mean," Kudrin said.
Cancelling the tax breaks might cause rates at the natural monopolies to rise 1%-1.5% over five years, Kudrin told journalists later.
The Finance Ministry has proposed phasing out the tax break on infrastructure property over five years, which would boost rates at monopolies such as Gazprom and Russian Railways (RZD) by 1%-1.5%, he said.
RTS$#&: GAZP, RZHD
