MOSCOW (Pakistan Point News / Sputnik - 12th May, 2021) On Wednesday, Russian Prime Minister Mikhail Mishustin called out companies for income withdrawals, stressing that businesses should pay additional taxes for their so-called greed.
"The very same greed, we talked about this today, can be in any person, but you need to pay for that greed with additional taxes and income in favor of the country's budget where these enterprises operate, where these people work. I believe that this is an absolutely justified approach," Mishustin told the lower chamber of the Russian parliament.
According to the head of the government, if a company is engaged in an aggressive withdrawal of income, including dividends, there should be appropriate progressive income tax rates.
Mishustin went on to address the issue of rising food prices, saying that one of the reasons was nothing but the greed of individual producers and retail chains.
"I want to remind you that the government has enough tools to curb the appetites of those who profit from the rush of demand in all spheres," the prime minister said.
In the meantime, Russian Presidential Commissioner for Entrepreneurs' Rights Boris Titov told Sputnik that businesses' goal to maximize profits does not speak of their greed.
"This is the law of the market economy, business always strives to maximize profits. The state must effectively regulate the rules of the game. But this must be done very carefully. If it becomes unprofitable for a business to produce or sell something, it will let go of it," Titov said commenting on Mishustin's statement.
Last December, the government rolled out price caps for staple goods such as sugar and sunflower oil to address the record surge in prices for food.
