PECULIARITIES OF CALCULATION OF MINERAL EXTRACTION TAX IN MAGADAN REGION

Abstract

This article examines the key stages in the development of the legal system regulating subsoil use and provides a general description of the mineral extraction tax (MET) with a detailed description of its calculation. The authors identify the specifics of mineral extraction tax (MET) calculation for subsoil users in the Magadan Region, taking into account the latest amendments to the Russian Tax Code. The authors also provide a tax review of judicial practice in both the Magadan Region and the Far Eastern region. Particular attention is paid to the formation of the mineral extraction tax base in the Magadan Region and the challenges associated with its calculation. One of the challenges faced by mineral extraction taxpayers in the precious metals industry is the accurate calculation of the mineral value for the purpose of calculating the MET. One of the key challenges in administering the MET for precious metals, which is typical for the Magadan Region, is the correct determination of the tax base. Another challenge in MET taxation for mining companies in both the Magadan Region and other regions of the Russian Federation is determining the taxable object for the MET. Based on an analysis of the regulatory framework and judicial practice, it should be noted that there is a pressing issue of determining the value of extracted mineral resources, and for mineral extraction tax purposes, this issue is often resolved at the level of each constituent entity of the Russian Federation. Much depends on the prevailing judicial practice in each constituent entity, which is completely incorrect. To resolve this issue, it is necessary to amend the Tax Code of the Russian Federation to systematize regional practices and ensure consistency across the entire Russian Federation.