President of Russia Vladimir Putin: Mr Medvedev, we have discussed different aspects of implementing the Presidential Address [to the Federal Assembly], which I delivered at the end of last year. Consolidating budget resources and optimising this work is one of these aspects, all the more so in the present circumstances, when it is imperative to guarantee our budget revenue. I know that the Government had some proposals of its own regarding this matter. I would like to hear about what you have finally settled on in this regard.
Prime Minister Dmitry Medvedev: Mr President, the Government took the instructions set out in the Presidential Address as its guideline, and proposes the following steps to improve the current system of tax and non-tax payments administration.
The Finance Ministry is responsible for this area, and so we propose setting up a unified system for administering tax and non-tax payments (equivalent to tax payments) within the Finance Ministry system. This would be organised in such a way as to maintain the functions of the Federal Taxation Service, which is responsible for the general methodological direction and tax administration and collection. We also propose including in this system the Federal Customs Service, which collects customs payments, and set it on practically the same methodological track that the Federal Taxation Service uses. The same applies too to the Federal Service for Alcohol Market Regulation, which oversees the accounting system for production and sale of alcohol in Russia.
Vladimir Putin: We also discussed pension system payments.
Dmitry Medvedev: Yes. This is included in the draft executive order that the Government is submitting for your examination. We propose that payments to the pension system and social funds could also be included in the unified system so as to have the Federal Taxation Service oversee their administration and apply the same administration methods that are used for other taxes.
We would thus create a unified core system for administration, collection and subsequent use of all tax and non-tax payments in the country.
Vladimir Putin: Good, thank you.