Russia To Pass Investment Incentive Laws On Free Economic Zones In New Annexed Regions - Russia Briefing News

Russia To Pass Investment Incentive Laws On Free Economic Zones In New Annexed Regions - Russia Briefing News Russia To Pass Investment Incentive Laws On Free Economic Zones In New Annexed Regions Includes zero percent corporate income tax for first ten years of operations Russia’s State Duma has approved draft laws on the creation of Free Economic Zones (FEZ) in the Donetsk, Luhansk, Kherson and Zaporozhye regions of Russia, which were annexed in September 2022. These are designed to attract corporate investment into the regions, stimulate productivity and boost employment. The regions had been largely neglected by Kiev in the past as punishment for their pro-Russian views. Most of the inhabitants are ethnic Russians, with many having suffered from military conflict from Ukraine since 2014 – an issue the EU has tended to ignore. Investment incentives are available for those businesses wishing to participate in these FEZ’s, including: Reduced rates of insurance premiums to 7.6%; Zero corporate income tax rates on profits received from the implementation of an investment project; Exemption from paying corporate property taxes These benefits are valid for ten years from the date of incorporation. Also, there will zero land tax payable for land plots in the FEZ’s for three years from the initial registration.