Effective 15 September 2026, the Ministry of Finance of Belarus has set fixed purchase prices for precious metals contained in jewelry, industrial products, and scrap purchased from individuals by licensed pawnshops, banks, and specialized enterprises. The order (No. 84 dated 14 September 2026) specifies gram-price rates for gold (375, 585, 750, 958 fineness), silver (800, 925 fineness), platinum (950 fineness), and palladium (950 fineness). These prices are mandatory for calculating the taxable base for personal income tax (PIT) on the sale of precious metal items by individuals, as well as for VAT on the subsequent resale by businesses. The measure implements Article 214 of the Tax Code regarding deemed income from property sales and Decree No. 714 on the procedure for purchasing precious metals from the public.
Key Takeaways
- Deemed Income Determination: For individuals selling scrap or jewelry, the taxable income is now calculated as the difference between the Ministry’s fixed purchase price and the documented acquisition cost (if available). If no documentation exists, the full fixed price is treated as taxable income subject to 13% PIT.
- VAT Compliance for Buyers: Licensed purchasers must issue VAT invoices based on the fixed prices, ensuring input VAT deduction integrity. The order also requires buyers to retain detailed records of each transaction (weight, fineness, seller ID) for a minimum of five years for potential tax audit.
- Anti-Avoidance Measure: The fixed prices curb under-invoicing schemes where buyers and sellers colluded to declare lower values, thereby reducing PIT and VAT liabilities. The Ministry will monitor compliance through cross-referencing pawnshop reports with tax returns.
Disclaimer: This article is compiled and summarized by the AI based on publicly available information and is for general information purposes only. It does not constitute any form of formal tax advice, legal opinion, or basis for performance. Please consult a qualified professional tax advisor or legal counsel for tax advice.
Source: Read Official Announcement