The laws that came into force on January 1, 2024

New laws and amendments to existing legislation were adopted by the Supreme Council and signed by the PMR President in 2023. Let's talk about the most significant of them, which came into force on January 1, 2024.

Budget 2024

The law on the republican budget for 2024 came into force in the new year. The state will pay pensions, benefits and wages to public sector employees in full and on time. Utility tariffs will not change. It was decided to save energy resources that the tariff will be higher and amount to 93 kopecks for 1 kW if more than 500 kW per month is consumed.

Targeted budget funds and development programs in 2024 will continue to operate. 217.2 million rubles are planned for the Capital Investment Fund, 319.2 million rubles for the Road Fund (including a reserve of 77 million rubles), 23.6 million rubles for the Entrepreneurship Development Fund, and 10.5 million for the Youth Support Fund, 21.9 million rubles in the Agricultural Support Fund, 46 million rubles in the Land Reclamation Complex Development Fund. The state will continue to subsidize part of the interest rates on preferential loans provided to organizations in priority sectors within the framework of the Entrepreneurship Development Fund: industry, construction, tourism, and agriculture. Milk subsidies will be paid to agricultural producers from the Agricultural Support Fund, and subsidies for the purchase of breeding cattle will continue.

About 38 million rubles are planned for the treatment of Pridnestrovians abroad in the 2024 budget. According to the state program it is planned to buy 61 apartments worth more than 19 million rubles for the purchase of housing for orphans and children left without parental care.

New Programs of the Government

The state target program “Development of the drinking water supply system in settlements of the PMR for 2024-2028” was adopted. Over 30 settlements of the republic were included in the program. Water supply will be provided along the street in villages where there is no central water supply network. The consumer will need to connect to it. It is planned to provide centralized water supply to more than 12.5 thousand water consumers in villages within 5 years. Water supply systems will be repaired or new ones will be installed as part of the state program. They are worn out or the service life of artesian wells has expired in some settlements.

24 memorial places will be repaired for the 80th anniversary of the Great Victory in Pridnestrovie. The work will be carried out in 2024 and 2025 under the “Improvement and preservation of burial places of Heroes of the Soviet Union, full holders of the Order of Glory and Memorials of Military Glory of the Great Patriotic War” state program. The list includes Tiraspol, Bendery, Dubossary, Slobodzeya, Grigoriopol and Rybnitsa districts, as well as the village of Novotiraspolsky.

Changes in the social sphere

Disabled children will not pay for meals in rehabilitation day care centers. Children will receive food packages or monetary compensation in the absence of lunches. Amendments have been made to the law “On Social Protection of Persons with Disabilities”.

The rules on state support measures were prescribed in the Law “On Education”. If an educational organization is forced to conduct training in a distance format (under special legal regimes or quarantine restrictions), then kindergarten pupils, schoolchildren and students who have benefits in paying for meals will receive food packages or monetary compensation. The procedure for providing food packages and the procedure for paying monetary compensation will be established by a regulatory legal act of the Government.

Parliamentarians expanded the categories of recipients of benefits for those who import vehicles for personal use at the proposal of the Government. The list has been supplemented by Pridnestrovians whose dependents include limited and immobile disabled children under 18 years of age or those who have been disabled since childhood. About 650 families fall into this category. The average excise tax is about 15 thousand rubles. The amount depends on the parameters of the imported car. According to the law, exemption from excise duty will be granted 1 time. State support will financially help families who decide to import a car to transport their disabled children. The amendments to the law “On excise taxes” came into force on January 1.

Legislative norm that will allow orphan graduates of educational organizations to, if they wish, receive monetary compensation in the amount of 240 minimum wages (2328 rubles) instead of the required set of seasonal clothing and shoes has come into force since the new year. The amount of monetary compensation will be 1290 minimum wages (12513 rubles) for graduates of technical schools and colleges. This possibility was prescribed in the law on the republican budget for the corresponding year before the amendment to the law “On additional guarantees for the social protection of orphans and children left without parental care”.

The Law “On Social Protection of Persons with Disabilities” has been amended. The state will provide disabled women of group III with breast prostheses and bras for their fastening at the expense of budget funds from 2024. Such a measure of state support applied previously only to women with disabilities of groups I and II. Appeals from citizens were the reason for developing amendments to the law. 270 disabled women of group III will be able to take advantage of the right to receive free breast prostheses and bras to attach them if there are medical indications. Expenditures for these purposes are specified in the 2024 budget law.

The categories of recipients of state subsidies for housing have been expanded

Further amendments to the law “On State Support for Young Families in Purchasing Housing” were adopted in 2023. The categories of recipients of state subsidies for full or partial payment of a loan and interest on it for the purchase of housing have been expanded. The adopted changes will allow in the new year, 2024, military personnel of the Ministry of State Security, the State Security Service of the PMR, the tax service of the Ministry of Finance, as well as soldiers, sergeants and warrant officers performing military service under a contract, to submit an application.

The purpose of the law on state support for young families is to stimulate personnel, increase their motivation and retain specialists in the republic.

The procedure for paying compensation for damage to victims of radiation disasters will change starting from the new year. They will receive compensation regardless of what pension they receive – a disability pension or an old-age pension. There was no such possibility previously. Payment of compensation for damage to health was due only when receiving a disability pension. Citizens who suffered as a result of the Chernobyl disaster will be able to choose any type of pension and at the same time continue to receive compensation for health damage. Or they can receive two pensions, for example, for age and for disability, but compensation for harm is not due.

Payments per category

Legislative changes have come into force since the new year regarding the payment of bonuses for the qualification category of teachers, including heads of preschool education organizations. If a preschool teacher in a kindergarten has been awarded a bonus for a qualification category, then when appointed to the position of head, this payment will remain. The new norm will affect primary school teachers who decided to move to work as a teacher in kindergarten, and school teachers who moved to a technical school or university, and vice versa. Teachers lost their qualification category when changing positions or places of work until now. It will be valid for 5 years regardless of the teacher’s transfer to another position or work in the field of education. Amendments have been made to the laws “On Education” and “On Wages of Public Sector Employees, Salaries of Military Personnel and Persons Equal to Them under the Conditions of Payments of Monies, and Salaries of State Civil Servants”.

Tax deduction for masters

Master's degree graduates, like bachelor's degree graduates, will receive a tax deduction for 3 years after employment from this year. Amendments have been made to the Law “On Personal Income Tax”. The amount of 70 minimum wages (728 rubles) will not be subject to income tax every month. The 3-year countdown will begin from the moment you get a job, and not immediately after receiving a diploma, as was the case before the changes to the law were adopted. You need to find a job within 1 year after graduation. If a young specialist leaves to serve, then 1 year will be counted after the end of compulsory military service.

State support measures for enterprises

Amendments have been made to the Law “On Corporate Income Tax”. The state support measures in force this year in the field of taxation of corporate income in relation to business entities are being extended to 2024 in order to minimize the negative consequences for the socio-economic sphere. Based on the results of 2023, the possibility has been established not to recalculate the tax base in the manner prescribed by the law “On Corporate Income Tax”, that is, the moratorium on the tax on losses, in force since 2016, has actually been extended for the next period.

In addition, the application of the 2% tax rate when calculating income tax for enterprises in the fruit and vegetable industry and the construction industry is being resumed. According to the analysis, their financial situation has worsened – a reduction in revenue by more than a third was recorded. These organizations generated a negative financial result against the background of maintaining or increasing the level of costs.

The application of the coefficient of 1.05 when calculating income tax for enterprises in the clothing and footwear industry that use raw materials supplied by customers is extended to 2024. The situation in this sector remains difficult.

The rule allowing industrial and agricultural organizations to extend the repayment period of a preferential loan to 12 months will come into force starting this year. The law “On measures of state support for economic entities of the PMR in connection with the negative consequences of external factors” gave this right for up to 6 months and only to industrial enterprises previously. The repayment period of the loan can be changed (extended) based on an agreement between the credit institution and the borrower. Applications from business entities can be submitted until September 1, 2024. It is important at the same time that changes in the repayment terms of the preferential loan are agreed upon with the supervisory board of the PMR State Reserve Fund.

To help entrepreneurs

Based on requests from entrepreneurs, parliamentarians adopted changes to the legislation that regulate the temporary period of work of individual entrepreneurs and legal entities, which is subject to inspection by tax authorities. This is 6 years for legal years, 3 years for individuals. The legislation stated previously that tax authorities could carry out control activities no more than once every 3 years. The period of work subject to verification was not specified. The new norms came into force on the 1st of January.

Amendments have been made to the law “Special tax regime – simplified taxation system”. At the proposal of the Government, individual entrepreneurs who work on a simplified basis are required to submit monthly to the tax authorities, before the 5th day of the month following the reporting month, information on the movement of funds in current ruble and foreign currency accounts that are open for business activities. This norm was established previously as optional. As explained in parliament, entrepreneurs working under the simplified system can use several payment methods. Data on transactions carried out through online cash desks is transmitted to the tax service almost in real time. If the buyer pays with a plastic card or QR code, then the money goes directly to the entrepreneur’s bank account. Banks will provide data on the movement of funds to the tax service in order to track all funds and correctly calculate the amount of taxes that will need to be paid.

Another change in the law “Special tax regime – simplified taxation system” provides for the mandatory payment of all tax payments if an entrepreneur plans to suspend his work for a period of more than 30 calendar days. This will need to be done within 5 calendar days from the date of contacting the tax service.

Changes in legislation in the field of agriculture

Starting this year, the deadline for submitting tax calculations for land tax, share tax and target fee to support the reclamation complex is changing. Filing tax assessments means that agricultural organizations declare how much they must pay in taxes. The single deadline will be until February 25, this will facilitate the work of the tax service and the accounting workers of agricultural companies.

Three laws have undergone changes: “On payment for land”, “On share tax” and “On the basics of the tax system in the Pridnestrovian Moldavian Republic”.

Adjustments have been made in addition to the law “On Payment for Land”, which will change the schedule for payment of land tax starting from the new year. Farmers who use agricultural land for agricultural production previously paid land tax once at the end of the year, now they will pay quarterly, 4 times a year: 10% - until March 15, 10% - until June 15, 10% - until September 15 and 70 % – until December 15.

The Government proposed such a quarterly schedule for payment of land tax so that the country’s budget is replenished and disbursed in stages, and not at the end of the year.

There is a support measure in the form of a deferment until the end of the year for farmers who have difficulty paying taxes.

The law “On the Fundamentals of the Tax System in the PMR” has adjusted the deadline for paying the fee for the development of infrastructure in villages and towns; now it must be paid once before November 15.

Another legislative change in the field of agriculture came into force at the beginning of the year. They relate to the issue of termination of the right to use a land plot for its irrational use. Fair approach will be used when determining rationality: the analysis will be carried out separately on lands where irrigation is used and where it is not. Lands will be classified as plots actually irrigated and located in the irrigation zone on the basis of a legal act of the Ministry of Agriculture and Natural Resources. Concepts are spelled out in the Land Code for this purpose.

New law on advocacy in the PMR

The law “On advocacy in the PMR” came into force on January 1. It replaced the law “On the Bar” that had been in force in the PMR for 30 years. The new law spells out the rights and responsibilities of lawyers, but eliminates all legal gaps. Among the innovations, legal entities can be in the form of a lawyer’s office, a law office and legal consultations in cities and regions of the republic. Regulations are prescribed for the work of the Chamber of Lawyers, which replaced the work of the College of Lawyers and is a non-governmental non-profit organization representing the interests of lawyers in relations with government bodies. The procedure for providing free legal assistance to the population by the Chamber of Lawyers is prescribed.

Those who have not yet worked as a lawyer must pass a qualifying exam, thereby confirming their ability to practice law. According to the new law, the exam will be administered by a qualification commission consisting not only of lawyers, but also representatives of government authorities. There are a total of 9 people who will be elected for 2 years: 5 representatives of the Chamber of Lawyers and 1 representative each from the Supreme Council, the Ministry of Justice, the Supreme and Arbitration Courts. Such an independent qualification commission will review complaints against lawyers.

The new law does not prohibit former investigators, prosecutors and law enforcement officials from working as lawyers, since this category of lawyers is considered more professional than novice specialists.

The amount of state fees has been changed

The amounts of a number of state fees for the provision of legal services and the issuance of documents by state authorities and officials have been increased starting this year at the proposal of the Government. This is due to the fact that the previously existing amounts of state duties were not revised during the 20 years of the law “On State Duties”, and during this time the costs of producing forms, equipment, software and wages to employees increased.

For example, the state duty has been increased for actions related to:

– registration of civil status acts;

– state registration of legal entities, individual entrepreneurs, mass media, rights to real estate and transactions with it;

– citizenship of the PMR, migration, criminal record;

– registration of vehicles, trailers for them, driver’s licenses;

– application of special tax regimes;

– the right to hunt and the right to purchase weapons.

A state fee has been established for services that were previously provided free of charge:

– for issuing a subsequent certificate within the framework of changing the last name, first name or patronymic, making corrections and changes in civil registration records;

– for state re-registration of civil status acts and issuance of certificates;

– for the restoration of vital records with a missed deadline, including the issuance of a certificate.

The Law “On Personal Income Tax” has been adjusted

On January 1, changes to the Law “On Personal Income Tax” came into force, which give individual taxpayers the opportunity to adjust their tax return and make changes to it without paying a fine before the end of the tax period – until April 1 of the next year. Tax authorities will be able to check citizens' income declarations within 90 days, not 30 as before. Citizens, who have two or more jobs, including part-time jobs, will not need to submit income declarations from all places of work to the tax authorities.

Another amendment to the law “On Personal Income Tax” was adopted in 2023. They are aimed at supporting highly qualified specialists in the industrial sector of the republic. If their income is up to 8 subsistence levels, then they will be provided with a standard tax deduction in the amount of 1 subsistence level. This means that the amount of the subsistence minimum (for example, it was 2020 rubles in November) will not be subject to income tax, and accordingly the amount of income will be higher. Previously, such a tax deduction was provided if income was less than 5 subsistence minimums. Such changes were adopted to avoid the outflow of personnel needed by the industrial sector of the economy.

Unified Population Register

A unified population register will operate starting this year in Pridnestrovie, which will simplify the provision of public services to the population by state authorities and local governments. There will be uniform rules for maintaining register records and databases of all departments so that information can be exchanged as quickly as possible in the interests of applicants.

Information contained in the unified register is subject to protection in accordance with the legislation of the PMR. The Ministry of Digital Development and the Ministry of State Security will monitor the implementation of security measures when processing personal data in the register. The Law “On the Unified Population Register” came into force on January 1, 2024.

New rights for the Central Bank

The Central Bank has the right to calculate the debt burden of individual borrowers and then send this information to commercial banks and microfinance organizations starting this year. Such data will make it possible to assess the degree of risk of citizens not repaying funds under credit or loan agreements. Corresponding amendments to the laws “On the Central Bank of the PMR” and “On Banks and Banking Activities” were adopted.

The current legislation in Pridnestrovie does not limit the right of citizens to apply to several banks at once for loans. The indicator of the debt burden per borrower will enable commercial bank specialists who work in the credit department to study the credit history of borrowers and make a conclusion about whether the borrower has loans from other banks and, most importantly, whether the borrower, taking into account his income, can pay on time full amount of funds to commercial banks. A commercial bank will decide whether to give a loan to an individual borrower or not, based on such an analysis.

Similar regulations apply in the Russian Federation and other countries. This mechanism, according to experts, allows commercial banks to minimize the risks of non-repayment of loan funds. In addition, we are talking about the safety of citizens, about excluding cases when, without the financial ability to pay off several loan agreements, borrowers sell their property, including housing.

Prohibition on misuse

All funds received by environmental funds must go only to environmental activities. It is prohibited to spend funds from environmental funds, including territorial ones, on the maintenance and development of the material and technical base of government bodies. This norm was prescribed in the law “On Environmental Protection” and in the Resolution of the Supreme Council of 2005 “On approval of the standard Regulations of the territorial target budget environmental fund”. The changes took effect on January 1. There was a provision in the legislation previously that provided the opportunity to use up to 20% of the funds received by the Republican Environmental Fund to finance activities for the maintenance and development of the material and technical base of public authorities and management. This provision has now been removed from the legislation.