OREANDA-NEWS. November 21, 2011. Belarus has prepared a zero-deficit consolidated budget plan for 2012, Belarus’ Finance Minister Andrei Kharkovets told the Cabinet of Ministers.

“The 2012 budget plan has a zero deficit and is aimed at to secure financial balance and fiscal stability. The budget plan agrees with the government’s stand-by programme, which was secured with a loan by the EurAsEC Bailout Fund, and is in tune with the principles of the International Monetary Fund, which may give rise to a new partnership programme with the IMF,” Kharkovets said.

Next year’s revenues of the consolidated budget are expected at Br138.9 trillion (USD 16 billion at the central bank’s exchange rate). The present structure of budget revenues will remain unchanged in 2012. The bulk of budget revenues will fall on the value-added tax, the income tax, profits from foreign economic activities, and the property tax, the finance minister said.

The budget plan suggests reducing the tax burden and encourage income reinvestment. With the income tax reduced from 24% to 18%, Belarusian enterprises will be able to accumulate Br5.6 trillion in additional resources.

To promote competition and expand exports, the Finance Ministry suggests amending the Tax Code to make revenues from innovative products exempt from the income tax, the minister said.

To simplify the tax system, the Finance Ministry suggests allowing taxpayers to choose their income tax payment schedule.

As was previously reported, Belarus posted a consolidated budget surplus of Br5.5 trillion in Jan-Sep 2011 (2.9% of the GDP).