The main provisions of the entrepreneurship development ordinance came into force in Belarus as of 26 February, BelTA has learned.
The ordinance is the key one in the package of regulations designed to liberalize business operation terms in Belarus. Piotr Arushanyants, Director of the Entrepreneurship Department of the Belarusian Economy Ministry, explained during a roundtable session in BelTA that the ordinance is designed to simplify the terms for starting up a business and running a business. It minimizes the interference of government agencies with the operation of commercial entities. “In the course of preparing the draft document virtually the entire legislation was inventoried. All the special considerations were taken into account. After discussions and disputes, after looking for a compromise they came up with a document, which truly strips away excessive regulations without damaging one branch of the economy for the benefit of another,” explained the official.
The ordinance is designed to radically change the way government agencies interact with private companies. It minimizes the interference of government officials with the operation of commercial entities. It gives more leeway to private companies in how they manage their affairs while cranking up the responsibility of private companies before the public. The minimal level of state oversight remains in place.
To reach these goals, the ordinance allows starting up a private business by notifying the authorities about the intended lines of business. The list includes consumer services, tourism, social services, trade and public catering, transportation of passengers and luggage, merchandise production, production of construction materials, and some other popular types of business. Thus, the document is designed to cover the spheres where about 95% of Belarusian small and medium private companies are concentrated. In order to start such a business, a private entrepreneur will have to notify the local executive body using the one-stop principle. The notification can be sent by mail or via the digital services web portal. The entrepreneur will be authorized to pursue the chosen activity starting the next day.
The ordinance also specifies general requirements for fire safety, sanitary and epidemiological requirements, environmental protection requirements, veterinary requirements for placing, equipping, erecting, maintaining, and operating capital structures and isolated premises. These requirements have been systematized and abridged as much as possible. They are mandatory for all commercial entities.
Other technical regulations for this sphere will be recommendatory until they are annulled.
The ordinance scraps the administrative barriers based on complicated and lengthy bureaucratic procedures, a large number of certificates, approvals, and permit documents. For instance, retail and public catering companies no longer have to get municipal government agencies to approve the working hours of shops, restaurants, and cafes. Outlets, which are open at night (from 23:00 to 7:00), are an exception. Transport manifests for transporting passengers and luggage as irregular service are no longer required.
Excessive and costly requirements and restrictions for businesses specializing in manufacturing, civil engineering, transportation, retail, and some other spheres have been scrapped.
Meanwhile, the ordinance introduces the administrative responsibility of the company head for the smooth operation of the enterprise. In particular, if the executive fails to take measures to prevent harmful consequences, he or she will pay a fine of 10-200 base amounts, provided the failure is not classified as a crime or an administrative offense. This measure is supposed to increase the responsibility of private companies before the society and the state while the business requirements are relaxed.
Current tax rates will not be raised, new taxes, duties, and levies will not be introduced till 2020.
Written by belta.by
