16 January 2020 in the framework of the Gaidar forum will be held panel discussion “Taxes in the digital world”. The head of the Federal tax service of Russia Michael Mishustin will deliver her keynote speech. The head of the tax Department will talk about the impact of the digital transformation of the economy to changes in international taxation and in tax administration. It is reported that the debate will be broadcast live on TV channel “Russia 24”.
Over the past 20 years the face of the economy has changed. Technology development challenges to the tax systems and underscored the need for speedy reform, because in the modern world it is increasingly difficult to track financial flows and transnational value chain, which creates risks for tax revenues. To meet the challenges of the digital economy, the tax administration should be transformed into an adaptive digital platform, developing modern business technology, the use of which allows to build the economy of knowledge and trust.
currently, the digitalization and globalization has given rise to new business models, creating new threats to the budget revenues. Barely the international community managed to agree on the solution to the problem of tax transparency of offshore companies in the material world, as the business began to go into the virtual world and once again become invisible to the tax authorities. The world’s tax administrations are developing new approaches to taxation in a digital world that will move away from the concept of permanent establishment to reconsider the attitude to the principle of arm’s length and provide States with new rights in the field of profit taxation.
Thanks to the introduction of digital technology in tax administration over the last five years the Russian tax authorities managed to increase revenues by almost half, and also make the process of paying taxes more convenient for taxpayers. FTS creates a virtual transaction environment. It is closedI’m a digital ecosystem in which all entities will conduct transactions that will make the economy transparent by default. You will not have to file tax returns. The FTS will be able to automatically calculate and withhold tax at the time of the transaction.
Also one of the main trends of the tax administrations today is quick and contactless bona fide taxpayers, who will be able to meet its obligations in a couple of clicks, without being distracted from routine.
the Development of digital technologies will get rid of outdated reporting forms for taxes and to create in Russia a system of contactless taxation.
Priorities for tax authorities in the medium term is to improve transparency and trust companies through the introduction of automatic mechanisms of tax compliance. This will require development of automated systems of artificial intelligence, integration of ecosystem-based taxpayers and providing them with personalized proactive services.
According to the head of Federal tax service mishustina, “tax administration is ideal for the role of operators in this environment, but it is still a lot of change in personnel and organisational terms, we should not forget the continuous strengthening of international cooperation”.
the panel also will include representatives of business. Managing Director of group of companies “Yandex” Tigran khudaverdyan will report on the role of digital platforms in the modern economy and the main directions of cooperation of Yandex with the FTS of Russia. Co-founder of the service YouDo.ru Alexey Gidirim will talk about the transformation of the labour market and the concept of employment in the digital economy and founder of the service “Edadil” Natalia Gagarina – the targeting of target groups for advertisement and sales and transparency as a means of countering unfair competition and the informal economy.
the Annual Gaydarovskuyu the forum will be held January 15-16 at the Russian Academy of national economy and state service under the President of the Russian Federation. The participants will discuss the challenges of the coming decades in the areas of economy, health, sports, public administration, education, ecology and many other topics.
there will be 85 discussion platforms — panel and expert discussions.