The Ministry of Justice has developed and posted the draft Entrepreneurial Code. The draft Code is proposing the following:
- the code is a combination of 9 laws in force, two new draft bills and more than 10 by-laws aimed at regulating all processes from the start of business activities to its termination;
- based on the experience of advanced foreign countries, business entities are divided into small, medium and large;
- the organizational and legal forms of business entities are being streamlined, and the organizational and legal form “economic partnership” that is not popular among entrepreneurs is being abolished;
- the types of activities that self-employed cannot be engaged in are determined, they are given the right to carry out any types of activities that are not prohibited by law;
- the boundaries and forms of state regulation of entrepreneurship are being established;
- as an annex to the Code, 146 control functions of 43 state bodies and lists of 18 types of inspections carried out in order to notify the Business Ombudsman are approved. At the same time, all unregistered inspections will be carried out in agreement with the Business Ombudsman;
- 4 forms of state control are defined, of which it is planned to apply legal sanctions to the entrepreneur for violations identified during the analysis of data and inspections.
While:
- financial sanctions are applied by the court (with the exception of tax and banking sanctions);
- financial sanctions are applied only in cases where a financial sanction is applied to a business entity for the same type of offense, and administrative responsibility - to its official;
- financial sanctions are not applied to business entities that have committed offenses for the first time, provided that they comply with the order to eliminate this offense, as well as to compensate for the damage caused;
- formation and disclosure of a register of mandatory requirements in the field of entrepreneurship, including all requirements, and a unified register of benefits for business entities. At the same time, it is prohibited to establish liability for claims that are not included in the register of mandatory claims;
- amendments and additions to legal acts that provide for the imposition of additional obligations are prohibited within one year after their adoption (with the exception of mitigating norms);
The following procedure for introducing state subsidies to support entrepreneurship is established:
The subsidy is to be introduced by decision of the president, and the procedure shall be determined by the government;
- the main areas of subsidizing will be determined and distributed according to the "one stop" principle through the Single Interactive Portal of Public Services;
- in accordance with the recommendations of the European Bank for Reconstruction and Development, the Asian Development Bank, as well as international standards, a system of women's and youth entrepreneurship and their support is being introduced (based on individual programs);
- social entrepreneurship, social enterprise, a list of socially vulnerable groups of the population and mechanisms for their support, including people with disabilities, are determined;
- the legal status, goals and objectives of business incubators are determined;
- It is prohibited to provide state enterprises with direct tax, customs and other privileges and preferences that restrict competition.
According to representatives of the Ministry of Justice, the adoption of the Entrepreneurial Code will serve to consolidate disparate legislation into a single document, stabilize legislation in the field of entrepreneurship, reduce government interference in the field of entrepreneurship, and establish a unified approach in the field of business law.
When developing the bill, the experience of foreign countries (USA, UK, Germany, France, Estonia, South Korea, Turkey, Russia, Kazakhstan, Ukraine, Azerbaijan, etc.) with advanced experience in this area was studied.
The draft Entrepreneurial Code is posted on the portal for discussing draft regulations.
