Belarus introduces environmental tax on oil transit through its territory

13.01.202007:27

On January 10, Alyaksandr Lukashenka signed a decree #9 “On Taxation,” BelTA informs.

It follows from the decree that the income tax rate of 50% is set for organizations involved in the transportation of oil and petroleum products.

According to the document, this is done “in order to form a source of funds for the elimination of possible environmental consequences in case of an accident on the main oil pipeline or other emergencies associated with the movement of oil and petroleum products in Belarus.

In addition, the taxable item subject to an environmental tax is transportation of oil and petroleum products through the territory of Belarus by main pipelines.

Joint stock company “Mozyr oil refinery” is seen near the town of Mozyr, Belarus January 4, 2020., Vasily Fedosenko / Reuters / Forum

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On January 1, Russia stopped supplying oil to refineries of Belarus because Moscow and Minsk had not signed new contracts. Belarusian refineries continued to operate, but capacity utilization was reduced to a minimum technological level. Due to the lack of oil supplies from Russia, Belarus temporarily suspended exports of oil products on January 1.

On January 4, oil supplies to the Belarusian refineries resumed – an agreement was reached with the companies of oligarch Mikhail Gutseriyev, who is friends with Alyaksandr Lukashenka. The first batch was purchased at a price that excludes a premium for Russian suppliers (previously, the supply cost was calculated as the market value plus a premium of about $ 10).

No agreement on oil supplies at the state level has been reached.

belsat.eu

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