OREANDA-NEWS. January 27, 2014. Based on the proposal of the Ministry of Finance, the Government discussed the problems concerning the preparation of the list of non-profit organisations and foundation eligible for income tax incentives and proposals to amend the terms and conditions.

According to the state, the main problem related to the list of income tax incentives lies in different interpretation of the exemption from income tax and lack of social guarantees, for example, for youth coaches. In practice, the scholarship has been paid as remuneration for work, avoiding the payment of labour taxes.

The Government decided that the terms and conditions on the exemption from income tax for scholarships paid by non-profit organisations and foundations added to the list of eligible for income tax incentives should be specified.

As the definition of charity and its strict fitting in the practice of tax authority have raised questions in preparing the list, the Government decided to make the definition of charity more flexible.

The cabinet made a proposal to the Ministry of Finance in co-operation with the Ministry of Culture to find additional funds to the state budget for youth sports in order to solve the youth coach remuneration issue and ensure that youth coaches receive necessary social guarantees.