Mishustin urged not to abuse the self-employment regime

The self-employment regime continues to operate, but it should not be abused. This was announced on October 21 by Russian Prime Minister Mikhail Mishustin.

"It is also necessary to close loopholes in the regulation of the labor market so that there is no substitution of labor relations when a legal entity employs the self—employed, thereby reducing tax deductions for social insurance," he said during a strategic session on improving economic efficiency and ensuring equal business conditions.

He also noted that it is necessary to combat illegal lending, which contributes to the flow of borrowers and lenders into the gray zone.

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On October 9, the Federation Council proposed to the government of the Russian Federation to analyze the experiment on professional income tax and consider the possibility of its early completion in 2026, rather than in 2028, as originally planned. The decision to review this experiment, as specified, was made in the context of the ongoing structural transformation of the Russian economy, based on targets and objectives.

On the same day, the press service of the Government of the Russian Federation noted that the experiment on the mode of work of the self-employed has been conducted since 2019 and will end in 2028, during these years the conditions for taxation of their income remain the same. There are no plans to change the working hours of the self-employed before the experiment expires.

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