The emancipation of business activities

THE EMANCIPATION OF BUSINESS ACTIVITIES

The decree of the President of the Republic of Belarus from November 23, 2017 No. 7 "On entrepreneurship"

Shall come into force on February 26, 2018.(except for certain provisions).

The decree of the President of the Republic of Belarus from November 23, 2017 No. 7 "On entrepreneurship" (hereinafter – Decree No. 7) was developed in order to development of business initiative and stimulation of business activity and elimination of excessive administrative barriers, obsolete and far-fetched requirements of the business entities.

It can be the result of a very close interaction of state bodies with the business community and citizens.

The decree is proposed to minimize the state intervention in the activities of business entities, while strengthening the mechanisms of self-regulation of business and its responsibility for safe operation to society.

To achieve these goals in Decree No. 7 based on the following approaches:

notification procedure of some of the most common types of economic activities listed in the Annex to the Decree No. 7;

Reference:

This list includes household, tourist, social services, activities in the sphere of trade and public catering, transportation of passengers and baggage (irregular communication), agricultural production, building materials and other common activities.

According to Ministry of economy, these are the spheres centered about 95 percent of small and medium-sized businesses.

To engage in these activities will be sufficient to submit one notice to the Executive Committee through the service of "one window" or using the unified portal of electronic services, and the next day, the person will be entitled to carry out the declared economic activity. Feeding such notification, the entity automatically assumes responsibility for the compliance of its activities with the legislation;

approval within the framework of Decree No. 7 of General (common) requirements of fire safety, sanitary-epidemiological requirements, requirements in the field of environmental protection and requirements in the field of veterinary medicine to the maintenance and operation of capital structures (buildings, constructions), isolated premises and other facilities owned by the entities;

These requirements are maximally systematized and reduced.

Reference:

So, today 586 of the existing rules of fire safety 7 applications and 13 tables stored only 58 points. A large amount of sanitary requirements for business (14 documents, including more than 1100 points) is implemented in the form of 81 points. Veterinary requirements, which currently has 15 papers and more than 2200 points, reduced to 207 points.

Avoid excessive use of reference rules in Decree No. 7 of General safety requirements set out most fully and consistently, in a simple and accessible language. After reviewing with them, any business entity will have a clear idea about all the requirements which it must comply in order to ensure the safety of its activities.

It is assumed that under Decree No. 7 of the list of requirements will be mandatory for compliance in the implementation of economic activities. Provisions other technical regulations will be worn for entity recommendation. All the mandatory technical regulations publicly available. They plan to publish on the National legal Internet portal and other information resources in global computer network Internet.

Reference:

For some of the most specific objects (e.g., the refinery), the functioning of which is associated with increased risk, requirements for operational safety will be determined by the Government;

maximum elimination of administrative barriers related to the availability of complex and lengthy procedures for obtaining certificates, approvals and other permits.

Reference:

For example, in the sphere of trade and public catering it is proposed to refuse the approval of the Executive committees of the operating mode of shops and catering facilities (with the exception of cases of their work from 23.00 to 7.00 hours).

Businesses will be able to organize and hold exhibitions on the territory of the Republic of Belarus.

Private garages are allowed to be used as a SRT without the consent of the members of garage cooperative.

In the field of transport activities it is proposed to refuse registration of waybills during road transport.

In the advertising sector will not have to agree on the content placed outdoor advertising and advertising on transport (excluding the advertising associated with the specific goods (works, services), due to the fact that the Law On advertising and Government regulations determined the necessary requirements to its contents and provides for liability in case of violation of these requirements. This will reduce the administrative burden on business, and also release the state bodies from such harmonization and use appropriate resources to the implementation of other necessary functions.

Significantly simplified the procedure of commissioning of construction objects in operation. Instead of requiring the approval of the authorities of the Ministry of emergency situations, sanitary services, and other instances of the entity will now simply submit the application with necessary documents to the Executive Committee in service "one window". There it within one month in the framework of the implementation of a complex administrative procedures will pass all stages of approval, the results of which will be decided on the possibility of input of object in operation.

approval at the level of the head of state of the unified list of administrative procedures for legal entities and individual entrepreneurs in order to ensure its stability and non-overgrowth;

Reference:

Under the current wording of decree of the Government of the Republic of Belarus from February 17, 2012 No. 156 in respect of legal entities and individual entrepreneurs in the country is more than 900 administrative procedures (for comparison, at the time of approval in 2012, the list included 716 procedures in the last five years the number of procedures increased by rot).

Changes to this document shall be made haphazardly. For example, in June of this year, a resolution was three times subjected to adjustments (the acts of the Council of Ministers were taken with an interval of a few days, -2, 5 and 8 June 2017);

establishing by 2020 a moratorium on increasing tax rates and introducing new taxes, fees (duties) that will contribute to the stabilization of the financial activities of enterprises;

> the abolition of the use of seals entities in the implementation of economic activities and their substitution by electronic means of authentication and identification (electronic signature) that will eliminate unnecessary bureaucracy in business and will correlate with best international business practices between business partners;

the establishment of administrative responsibility of the head for ensuring normal operation of the enterprise. In particular, the failure of the head necessary measures for the proper organization of activity of the enterprise, which caused harm state or public interests, environment, life, health, rights and legitimate interests of citizens (if there is no evidence of a crime), the stipulated penalties at the rate of ten to one hundred base units.

Thus, in the Decree No. 7, implemented one of the key approaches identified by the Head of state, minimal government interference in economic activities of a business entity while increasing the personal liability of its head.


The decree of the President of the Republic of Belarus from September 22, 2017 No. 345 "On the development of trade, public catering and consumer services"

Entered into force on 27 September 2017

Development of trade, public catering and consumer services in rural areas and small urban settlements with an average population of 10 thousand people, as well as creating additional jobs for the citizens living in these territories, 22 September 2017 Head of state signed the Decree № 345 "On the development of trade, public catering and consumer services" (hereinafter - Decree).

Decree from 1 January 2018 to 31 December 2022, provided the possibility of establishing in certain territories of the special regime of taxation in the sphere of trade, public catering and consumer services of the payment of the profit tax for enterprises 6% and the single tax for individual entrepreneurs in the amount of one basic unit, and other simplified modalities for the implementation of these activities.

In addition, provides for exemption of business entities from value added tax, property tax, land tax and rent for land plots in state ownership.

The Decree does not apply:

- for the retail sale of automotive fuels (diesel fuel, motor gasoline, gas, used as automotive fuel), motor vehicles, self-propelled vehicles, trailers (semi-trailers, trailers raspuskanie), jewelry and other household items made of precious metals and precious stones;

- rendering of household services for the maintenance and repair of motor vehicles.

Regional Councils of deputies to December 1, 2017, make the decisions on approval of the list of settlements and areas outside settlements relating to the territory of the rural areas and small urban settlements, which are subject to the above tax benefits established by decree.

Reference: pursuant to paragraph 4 of the Decree of the Gomel oblast Council of deputies decided: October 12, 2017 No. 229 "About measures for implementation of the Decree of the President of the Republic of Belarus from September 22, 2017 No. 345", which defines settlements of Gomel region, which are subject to the rules of the aforementioned Decree (1607 settlements rural areas and 17 smaller cities).

 

The decree of the President of the Republic of Belarus from September 19, 2017 No. 337 "On regulation of activities of physical persons" (carrying out activities without state registration as individual entrepreneur)

Entered into force on 22 October 2017(except for certain provisions).

Decree of the President of the Republic of Belarus from September 19, 2017 No. 337 "On regulation of activities of physical persons" expanded to 30 the List of activities (prior to this Special part of the Tax code of Belarus provided for the implementation of the 18 types), the conduct of which is not required to register as an individual entrepreneur.

In conducting such activity shall pay the single tax from individual entrepreneurs and other physical persons (further – the single tax). The legislation imposes no obligation on the said persons in the accounting of income and expenses and filing tax returns.

The list was supplemented by such activities as watch repair, footwear repair and restoration, including hauling, home furniture from the customer's materials; Assembly of furniture; set of musical instruments; sawing and chopping wood, loading and unloading of goods; manufacture of clothing (including hats) and footwear from materials of the customer; plastering, painting, glazing works, works on the device of coverings of a floor and facing of walls, pasting of walls by wall-paper, masonry (repairs) stoves and fireplaces; provision of services for developing web sites, installing (setting up) computers and software to repair computers after a crash, repair and maintenance of computers and peripheral equipment, training to work on a personal computer; hairdressing and beauty services, as well as services for manicure and pedicure;

Also, the decree granted the right to individuals to sell on the trading places in the markets and (or) other established by local Executive and administrative bodies of the ground made these individuals bakery and flour confectionery products (hereinafter – the sale of bakery and flour confectionery products).

The proposed activities do not currently require a special permit (license). As the development of skills in independent performance of activities not related to the business, an individual in the future may expand its operations by registering as a business entity and using the right recruitment of salaried persons.

 

The decree of the President of the Republic of Belarus dated 9 October 2017 № 364 "On the implementation of the individuals craft activities"

Enters into force 12 January 2018.

The decree of the President of the Republic of Belarus dated 9 October 2017 № 364 "On the implementation of the individuals craft activities" (hereinafter - the Decree) designed to further the development of craft activities, creating conditions for increasing employment, the preservation of folk craft traditions, ensure the legalization and development of relations in this sphere.

One of the most significant changes is the expansion of field implementation of the craftsmen-made products.

So, individuals engaged in the types of craft activities, in addition the right to sell their manufactured goods in the premises used for their production, the use of advertising in the global computer network Internet, by sending by mail (including international), by delivery at the specified user address by any means of transport.

Background: Earlier it was established that individuals had the right to sell their manufactured goods at the market places and (or) other established by local Executive and administrative organs of the field and on the basis of civil law contracts concluded with legal entities and individual entrepreneurs.

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Expand opportunities for Kuznetsov - shot introduced in 2010 restrictions on the production in the framework of handicraft activities gates and fireplace grates.

In connection with numerous appeals of citizens is simplified such activity as the manufacture of products in the patchwork technique.

Removed requirement to implement the activity by manual selection of the constituent elements in the folk art traditions of a particular locality (cloth, leather or other materials).

Significantly expanded the list of Handicrafts that individuals can produce in the framework of the exercise of handicraft activities by indicating kitchen tools, interior doll, wallets, bracelets, vases, pots and planters for flowers, Easter eggs-Easter eggs, gifts on a magnetic base, cover, covers for phone, tablet and glasses, wedding accessories (pads and coasters for wedding rings, garters for bride, boutonniere, bomboniere cards, place cards, postcards, envelopes, invitations, gloves, fans, handbags for the bride, bow ties, baskets, interior words, decorations on the car).

This removes the reference to the list of materials from which these products can be made (with the exception of materials not approved for use in craft activities, established by sub-item 1.6 of Decree # 225) that will allow to take into account the wishes of individuals in their use in the manufacture of Handicrafts salt dough, faux fur, dried flowers and other materials are not permitted for use in craft activities at the present time.

With the aim of preserving folk craft traditions introduced this kind of activity as "the production of national Belarusian costume (details, maintaining a traditional cut and embroidery)".

These innovations will draw in handicraft a certain part of individuals operating without official registration, permit to produce in the framework of handicraft new products that are relevant and demanded by the population.

 

The decree of the President of the Republic of Belarus dated 9 October 2017 № 365 "On the development of rural tourism"

Enters into force 12 January 2018.

Decree of the President of the Republic of Belarus dated 9 October 2017 № 365 "On the development of rural tourism" (hereinafter – Decree No. 365) improved rules for the implementation of activities in the field of rural tourism.

Reference:

Farm tourism - the activity aimed at familiarizing agroecotourist with natural and cultural potential of the Republic, national traditions in the process of recreation and temporary stay in agroecologia.

Currently, the rules of implementation of activities in the field of rural tourism is regulated by the decree of the President of the Republic of Belarus from June 2, 2006 № 372 "About measures on development of agroecotourism in the Republic of Belarus".

Decree No. 365 an updated list of the types of services provided by subjects of agroecotourism. These services include:

- provision of rooms in the Agroecology to accommodate agroecotourist. It was found the requirements for Agroecology;

ensuring agroecotourist food (usually using their own production);

- introduce agroecotourist natural, agricultural and architectural monuments, folk traditions of the respective location, the mass sports, fitness and cultural events;

- presentations, anniversaries, banquets;

- providing services of baths, saunas and showers;

- riding animals, except wild, and cartage;

- provision of equipment for sports and rest;

- transport services for agroecotourist.

Thus, by decree No. 365 detailed list of services provided by subjects of agroecotourism services for conducting activities under this activity.

Prior to the implementation of activities for rendering services in the sphere of agroecotourism subjects must:

1) to pay a fee for the implementation of activities for rendering of services in the sphere of agroecotourism;

2) send a written notice specifying the date of commencement of such activities to the district Executive Committee in the prescribed form.

Background: currently, the message about the intention to carry out such activities directed by the subject of rural tourism in the respective Council of deputies of the primary territorial level.

It is prohibited to carry out activities for provision of services in the sphere of rural tourism:

without payment of duty;

without written notice the district Executive Committee;

without a contract for the provision of services in the sphere of agroecotourism;

harmful to the environment and (or) historical and cultural values, material objects.

Decree No. 365 changed the bodies charged with consideration of appeals on the merits in the sphere of activities on rendering services in the sphere of agroecotourism. Responsible for the review of applications in this field are defined:

at the local level - village, town, city (cities of regional subordination) Executive committees; the departments of education, sport and tourism, local government districts in the cities; the departments of education, sports and tourism of the district Executive committees; the departments of education, sports and tourism of the city Executive committees (in cities of regional subordination);

at a higher level - management, management (departments) of sports and tourism of the regional, Minsk city Executive committees; the Ministry of sports and tourism of the Republic of Belarus.

Previously this responsibility was entrusted to the tax authorities.

Thus, on application principle without excessive administrative barriers, in particular, without state registration as individual entrepreneur, the legislation allows the citizens of the Republic of Belarus to carry out activities on rendering services in the sphere of rural tourism on the territory of the countryside, including presentations, anniversaries, banquets, provide services, baths, saunas, etc.

 

The decree of the President of the Republic of Belarus of October 16, 2017 No. 376 "On measures to improve control (Supervisory) activities"

Entered into force on 1 January 2018(with the exception of certain provisions).

16 October 2017 Head of state signed the Decree № 376 "on measures On improvement of control (supervision)" (hereinafter - Decree No. 376).

Decree No. 376 amended the Decree of the President of the Republic of Belarus from 16.10.2009 № 510 "On improving control (Supervisory) activitiesenosti in the Republic of Belarus" (hereinafter - Decree No. 510).

At the time order No. 510 was issued precisely to protect businesses from unnecessary inspections. But the presence of excessive sureguliuoti economic activity, a significant number of inspection bodies and spheres of their control (Supervisory) activities, as well as numerous changes and additions to this document, was unable to form in the Republic of Belarus enabling environment in the implementation of the control (Supervisory) activities.

Therefore, the requirement of the President to minimize the intervention of the controllers in the economic activities of business entities are reflected in the Decree No. 376.

Improvement of control (Supervisory) activities will contribute to the following innovations:

According to the Decree No. 376 of powers to exercise state control (supervision) from 1 January 2018 will be given only to state bodies (their structural divisions with the rights of a legal person, territorial bodies, subordinate organizations) and other organizations authorized by legislative acts or normative legal acts of the Government of the Republic of Belarus to exercise control (supervision).

- modified forms of control (supervision);

Note: After the entry into force of the Decree No. 376 of the state control (supervision) will be carried out only in the forms of:

- spot checks;

- unscheduled inspections;

- actions technical (technological, testing) nature.

- measures preventive and preventive measures, which include:

- monitoring, direction, recommendations on how to eliminate and prevent deficiencies identified in the monitoring result;

- carrying out explanatory works on compliance with legal requirements, the application of its provisions in practice;

- informing subjects (including the use of global computer network Internet, mass media) about typical violations detected in the course of inspections by control (Supervisory) bodies;

- conducting seminars, round tables, and other.

While maintaining public control. In the framework of inspections in cases and order established by legislative acts can only be performed by trade unions, their organizational structures, associations of such unions and their organizational structure.

- abolished the scheduled inspection;

Reference: decree No. 376 provides for a departure from the system of planned inspections. Instead, they will be carried out spot checks on condition of their inclusion in the plan for random checks, the formation of which is entrusted to the state control Committee.

- changed the order of appointment and unscheduled inspections;

Background: Significant changes have affected appointments and unscheduled inspections.

1. Limited range of questions that can be tested in the framework of an unscheduled inspection.

2. Limited frequency of unscheduled inspections.

In accordance with part 2 section to hold a few unscheduled inspections of the same inspected entity in the calendar year of regulatory (Supervisory) body, its parent body, their structural divisions (territorial bodies, subordinate organizations) is allowed only by decision of the President of the Republic of Belarus, Council of Ministers of the Republic of Belarus, Chairman of the state control Committee (Deputy chairmen of committees of state control of areas, chiefs of managements of Department of financial investigations of state control Committee for regions, for Minsk region and Minsk), the Prosecutor General (his deputies, prosecutors of oblasts, Minsk), as well as heads of other regulatory (Supervisory) bodies or one of their authorized alternates (with the exception of the additional checks).

3. Limited powers for the appointment of unscheduled inspections.

4. Reduced grounds for assigning unscheduled inspections.

- introduces the principle of the presumption of innocence of the audited entity and additional guarantees of its activities;

It means that:

- the audited entity is recognized faithfully performing the requirements of the law, until proven otherwise;

- in case of ambiguous or unclear provision of the law, decisions should be made in favor of the audited entity;

- checks should not violate the industrial and economic activities of inspected subjects.

- in defense of their rights every person has the right to appeal decisions of regulatory (Supervisory) bodies, the requirements (prescriptions) to eliminate violations, actions (inaction) of their officials, if such person believes such decision or action (inaction) violates the rights and (or) legitimate interests.

- establishes administrative liability for making official regulatory (Supervisory) body violations of requirements to the procedure of organization and conduct of inspections;

Background: Failure to make record of the inspection in the record book of inspections (log of production work) in presenting this book (journal) or violation of the established procedure of audit, including its unjust purpose, - shall entail the imposition of a fine in the amount from twenty to one hundred base units.

- the requirement for the use of check-lists all state bodies (organizations) carrying out the supervision in the form of inspections, with the exception of the prosecution;

- introduced a centralized accounting for the formation of regulations for testing and registration within the framework of the integrated automated system of control (Supervisory) activities in the Republic of Belarus;

- the number of state bodies (their structural divisions), other organizations and the number of areas of their control (Supervisory) activities are excluded from the list of regulatory (Supervisory) bodies authorized to conduct inspections.

As a result of optimization of the mentioned list of the authority to conduct inspections would lose a third of inspectors and the number of spheres of control (Supervisory) activities will be reduced by almost half.

- provides for the establishment of the state control Committee of the Interagency Council on the control (Supervisory) activities.

Background: the Council's Primary task will be the analysis of the state control (Supervisory) activities in the country and elaboration of proposals on increase of efficiency of activities of state bodies and other organisations carrying out functions of control (supervision).