Revenue from simplified business tax continues to rise
Small companies and self-employed individuals who have opted to pay the Simplified Business Tax (EVA), rather than the regular corporate tax, paid Ft 24 billion in the tax in July, compared to Ft 21.6 billion in the same month a year earlier, the Finance Ministry said on Friday.
EVA payments in January-July came to Ft 78.3 billion, compared to Ft 66.2 billion in the same period a year earlier. The Finance Ministry targets total revenue of Ft 107 billion from the tax in 2006. In 2005, the tax brought in Ft 91.4 billion, in 2004 it generated Ft 67 billion and in 2003, the year it was introduced, the state took in Ft 31 billion of revenue from EVA.
Companies and self-employed individuals who opt for EVA pay 15% of their gross revenue, excluding any deductions, in taxes. They also have to pay the local business tax. From September 1, the EVA rate will rise to 25%.
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