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Fradkov calls on government to consider VAT shortfalls funding options

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MOSCOW, October 28 (RIA Novosti) - Russian Prime Minister Mikhail Fradkov called on government agencies Friday to come up with ways to cover budget shortfalls in case the government goes ahead with its plans to cut VAT.

"We should consider options for covering shortfalls, including doing so with the help of customs regulations," Fradkov told a Federal Tax Service session.

Addressing the same gathering, Economic Development and Trade Minister German Gref stressed the need to enhance control over price information.

Fradkov wants to cut the rate from 18% to 13%, but has encountered opposition from the economic and finance ministers.

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