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. Last Updated: 07/27/2016

Tax Breaks Cost $20Bln

MOSCOW -- Tax breaks cost the state budget $20 billion a year, Interfax quoted First Deputy Finance Minister Sergei Shatalov as saying Monday.

"The tax breaks are my biggest concern. Groups lobbying for tax breaks crop up against us every step of the way. These groups have a lot of money playing against us," Interfax quoted him as saying in Novaya Gazeta.

Nevertheless, Shatalov said the 2001 state budget would be fulfilled, even if tax rates are radically lower. This would partly be due to strong economic growth, he said.

"We expect huge amounts of income to be declared for the first time. But we are not counting on it."