Entrepreneurs’ problems to become consumers’ problems
The stumbling-block of the state and entrepreneurs is article 1.1 of the act of law, according to which private entrepreneurs can employ only their relatives. The head of the “Belarusian Union of Entrepreneurs” Alyaksandr Patupа comments on the situation.
Alyaksandr Patupа: “Article 1.1 should be abolished — it will not be possible to stick to it starting from January 2008. There will not be any so-called “nullification” of employees. It is technically impossible… It’s purely technically impossible.
There are 190 thousand private entrepreneurs. Even if 100 thousand decide to reregister our registration system will not cope with them. It cannot deal with more than 10 thousand people per year. Maybe the authorities wish to decrease this number but it is also dangerous.
If we stick to the regulation there will appear some 300 thousand unemployed — this is a very serious argument not to do so”.
Representatives from the President’s Administration met entrepreneurs to discuss decree # 760 on February 14. Entrepreneurs proposed the idea of micro-enterprises as an alternative to article 1.1.
Still, there are a lot of questions concerning micro-enterprises while almost everything is already clear with the “nullification” of employees. Alyaksandr Patupа, the only person who seems to clearly understand the phenomena, is trying to explain it:
Alyaksandr Patupа: “You could employ up to 30 people till 2003. Those were real micro-enterprises.
The problem is that such process should not look like violation. If the system looks inviting private entrepreneurs will eagerly reregister”.
Micro-enterprises will be able to employ up to 15 people and will be subjected to the principle of limited liability. I think business people are going to like this plan.
Still, Anatol Shumchanka, the leader of the civil organization “Perspectiva”, thinks that the authorities discussed problems of medium-sized and big business on St. Valentine’s Day. He thinks they forgot about the needs of private entrepreneurs.
Anatol Shumchanka: “There were no private entrepreneurs at that meeting. It will be the state that will make a fool of itself if insufficiently considered measures are taken. People can adapt to anything.
Many people will retreat into the shadow. False invoices, bringing of goods… If that’s what the state wants then this is the state’s role, function and purpose”.
First victims of decree # 760 are entrepreneurs selling household appliances, fur clothing and perfumes.
According to the decree the retail sale of household appliances and fur clothing will no longer be considered as activities subjected to single tax.
“Perfumers” will have to get licenses for selling products containing spirit — that’s almost all kinds of expensive perfumes. A license for a year costs 17 base amounts — it is not much for big enterprises but it is rather expensive for private entrepreneurs.
Entrepreneurs selling perfumes at Minsk market “Impulse” are rather skeptical.
Entrepreneurs:
“Guess what? I worked at “Dinamo” for 10 years and we had a tax of 7 USD per month. And what’s going on now? And it is still not enough for them… Now they have decided to deal with perfumes”.
“It will be like in Soviet Union when people sometimes brought “Black Magic” or whatever from abroad…”
“It must be profitable for somebody. We’ve been selling perfumes for so many years and now… Are they going to implement documentary stamps or what? Perfumes at markets will cost as much as in shops”.
“Everything can be perceived in comparison with something else. You have to continue selling your goods or just…wash your hands of it”.
The “Belarusian Union of Entrepreneurs” proposed to delay the new regulations for household appliances, fur clothing and perfumes till the beginning of the next year. The civil organization “Perspectiva” is sending open letters to officials.
The hopeless struggle of private entrepreneurs with the merciless state continues. This report is to be continued too.
Photo by photo.bymedia.net