A self-employed citizen is a concept that has become of interest to many people in Russia. This term is usually used in relation to individual entrepreneurs who do not have employees and conduct private activities. In fact, these are those who work "for themselves." It is often difficult for such people to run their own business, in particular, due to tax fees and paperwork. Therefore, at the moment in Russia it was decided to create a separate law that would help self-employed citizens work for the good of society and at the same time earn money. This idea was actively developed in 2016. What should citizens know about this innovation? What are the planned working conditions for those who work for themselves?
Self-employment is ...
What does "self-employed citizens" mean? This question interests a lot of people. Especially those who plan to open their own small business. It has already been said that a similar term, as a rule, characterizes people (at the moment - entrepreneurs) who work for themselves. They have neither employees nor staff.
To some extent, these are citizens who are their own bosses and subordinates. In Russia, such activities are quite common. Only at the moment, a self-employed citizen is obliged either to apply for a job officially (as, for example, an employee), or to register himself as an individual entrepreneur. Quite often, the USN system is selected. Not very convenient. Therefore, Russia began to consider laws that help citizens who belong to the category of self-employed to work normally.
Discomfort with IP
Now that it’s clear who refers to self-employed citizens in general terms (more on this later), you can figure out why the country decided to come up with a new law. After all, as already mentioned, the population should, in the event of self-employment, register their activities as entrepreneurship.
This is not suitable for any activity. In addition, it is worth paying attention to one rather interesting fact - taxes and contributions for individual entrepreneurs, even if “simplified” is chosen in the form of taxation, are quite high. And so most self-employed simply do not take shape. They conduct, as already mentioned, shadow activities, in fact violating the established legislation. Only often prove this fact is very problematic.
That is why in Russia they thought about issuing the law "On Self-Employed Citizens." He should help all people who work "for themselves" without employees to work without fear for violating the established legislation in the country. But what awaits the studied category of persons? What are the pros and cons of the proposed system? What should the population prepare for?
Patents
The first thing that you are invited to pay attention to is that the current tax system for this category of people will be patented. Often this scenario is very pleasing. Why?
The activities of self-employed citizens in certain cases can be formalized using a patent. From the advantages of the system:
- Lack of insurance premiums and taxes. People just buy a patent and conduct their business for the period set by the document.
- No paperwork. No unnecessary reporting, no additional declarations of profit. A patent for the self-employed is also promised to be simplified.
- Lack of desk audits of tax inspectorates. Perhaps one of the most significant moments. It is planned that a self-employed citizen who works under a patent is exempted from tax audits.
Disadvantages of this system are also available. But they are most often considered as nuances, not minuses. For example, the following points are distinguished:
- Limited patent validity. The maximum document life is 12 months. Minimum - 30 days. Every year you will have to buy a new patent to continue operations.
- Not all work can be framed as self-employment. In some cases, you still have to open the IP.
- Different cost of a patent for activities in the regions. The price tag will set each city independently. But the highs and lows are planned to be regulated anyway.
There are no more significant features. However, laws on self-employment so far have a predominantly positive effect on the population. People are happy to wonder what they should expect.
Tax break
A huge advantage is the idea of exempting self-employed citizens from taxes. Such statements are made very often. After all, the studied category of people, as a rule, must first “spin up” the business so that it generates income, and then pay taxes. Otherwise, the person closes the IP and ceases to conduct activities officially, often leaving the shadow. These are losses for the state treasury.
For this reason, the government of the Russian Federation proposed to completely exempt self-employed citizens from tax revenues and arrange tax holidays for them. For what exact period? For 3 years. That is, a person can not pay taxes for 36 months. Very interesting perspective.
This proposal was also made in relation to entrepreneurs who work only for themselves, without bosses, managers and employees. 3 years from the date of registration, this category of persons will not pay taxes to the state treasury. It will only be necessary to transfer assessed contributions to the FSS.
No taxes at all
What else should people pay attention to? Russia provides for the complete exemption of self-employed citizens from taxes. How will this happen?
The thing is that citizens must acquire patents. Their cost fully covers the estimated costs. In fact, a self-employed person pays in advance. The cost of a patent is both taxes and all mandatory contributions.
Thus, it can be said that no additional payments will be required during the entire duration of the patent. For this reason, the law on self-employment is of interest to the population. The main problem that people hide their income on is taxes. And she, as promised in the government, will be exhausted.
Differences from IP
What types of activities do self-employed citizens distinguish? It should be noted that entrepreneurship and the type of work being studied are somewhat different things. Therefore, you need to clearly understand what differences they have from each other.
How is a self-employed citizen different from an individual entrepreneur? If you do not take into account the new opportunities that are offered in Russia for the first category of workers, then the following features are distinguished:
- Self-employed can only be patented. It is impossible to combine taxation.
- Wage workers with self-employment are prohibited. Individual entrepreneurs can hire employees and pay them salaries.
- Self-employment is work only in certain areas of activity. They must be indicated in the patent.
- There are no tax reporting for those who decide to work only for themselves. IE at least once a year submit relevant documents on income and expenses.
Accordingly, one cannot assume that an entrepreneur is a self-employed citizen. This term may be used only in certain cases.
Who can work as a self-employed
And now a little about the activities of the studied category of persons. It has already been said that not all businesses without employees require a patent for the self-employed. So who exactly will have the right to draw up this document?
Now the following individuals are singled out, who from 2017 will have to work under a special patent as self-employed:
- seamstresses at home;
- babysitting
- housekeepers and governesses;
- tutors and home teachers;
- photographers and videographers;
- Drivers
- Journalists
- freelancers (in particular copywriters and rewriters);
- jewelry repair people;
- masters in the repair of household appliances.
This also includes people who manufacture handmade goods, as well as handmade soaps and sweets. A huge advantage of the adopted law is that now the activities of copywriters, which for a very long time caused a lot of questions, will be formalized without any problems.
About cost
Perhaps the only significant drawback is that patents for the self-employed will cost money. Normal, but it makes many think. It has already been said that each city will determine its cost relative to a specific activity. For example, a nanny in Moscow will have to pay more for a patent than in Kaliningrad. On the one hand, everything is fair. On the other hand, it is not clear how much you will have to pay for your activities in advance.
Nevertheless, as indicated in the government, a self-employed citizen will have to pay at least 10,000 rubles for a patent. Some sources indicate that the amount due to be paid will be 20 thousand. This cost is calculated for a year. This, as already mentioned, includes both mandatory contributions and tax fees. In principle, not as much as it seems. Given the complete exemption from taxes when working with patents, this is perhaps a huge advantage over individual entrepreneurs.
Register Registration
Another caveat - a little with the documents the self-employed will have to run around. The thing is that every person who works "for themselves" must be entered in a special register. It will record all citizens who work for themselves.
Now they say that you will have to pay a little for entering into the registry. The approximate cost of this action is 100 rubles. A trifle, but it will have to be taken into account.
Summary
Now it’s clear what constitutes a category of self-employed citizens, as well as what they expect in Russia in the near future. In fact, the proposed changes are really interesting. But experts still express their concerns. Some self-employed may remain in the shade.
This applies to people with low or unstable income. It is simply not profitable for them to open an IP or to buy a patent. And to prove their activities is very problematic. Therefore, the adopted laws, although they will help, do not completely rid the country of the shadow business of self-employed citizens.