NOVGOROD INVESTMENT PROMOTION AGENCY
Ghermana st. 1A, Novgorod, 173002, Russia
Ph.: 7(81622) 7-99-78 Fax: 7(81622) 7-96-75
E-mail: arpin@telecom.nov.ru
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NOVGOROD INVESTMENT PROMOTION AGENCY Ghermana st. 1A, Novgorod, 173002, Russia Ph.: 7(81622) 7-99-78 Fax: 7(81622) 7-96-75 E-mail: arpin@telecom.nov.ru |
Tax Incentives In The Novgorod Region and City Of Novgorod:
In order to arise an interest of the city and region organizations in increasing of production of goods and provision of services and attracting of foreign and domestic investments into the economy if the Novgorod Region the Novgorod Region Duma and the Novgorod City Duma defined the regional and city tax exemptions. The regional motor road fund payments for organizations, carrying out production activities and investing their own and attracted capital into the implementation of the concrete investment projects, approved by the Administration during the Payback period, are also tax-exempt.
Tax Exemptions For Organizations
Tax Exemptions for Small Enterprises
Tax Privileges for an Organization (sample case)
Tax-Exemptions for Organizations
|
Taxes |
Privileges |
Discount on taxes due to all budgets (%) |
|||
|
Federal |
Regional |
Local |
|||
|
Profit tax |
Capital investments |
50 |
100 |
100 |
|
|
Assets tax |
|
|
100 |
100 |
|
|
VAT: |
|
|
|
|
|
|
To exporting organizations |
|
100 |
100 |
100 |
|
|
To newly created enterprises |
|
|
100 |
100 |
|
|
Local taxes: |
|
|
|
|
|
|
Public security (militsia)/education needs duty |
|
|
|
100 |
|
|
Social/cultural objects and housing maintenance tax |
|
|
|
100 |
|
|
City Territory Cleaning up duty |
|
|
|
100 |
|
|
Advertisement tax |
|
|
|
100 |
|
|
Educational Institutions needs tax |
|
|
|
100 |
|
|
Land tax/rent |
|
|
|
70 |
|
Tax-Exemptions for Small Enterprises.
|
Taxes |
Discount on taxes due to all budgets (%) |
||
|
Federal |
Regional |
Local |
|
|
Profit tax |
|
|
|
|
First 2 years after registration |
100 |
100 |
100 |
|
Third year |
87.5* |
100 |
100 |
|
Fourth year |
75** |
100 |
100 |
|
Assets tax |
|
100 |
100 |
|
VAT: |
|
|
|
|
to exporting organizations |
100 |
100 |
100 |
|
to newly created enterprises |
|
100 |
100 |
|
Local taxes: |
|
|
|
|
Public security (militsia)/education needs duty |
|
|
100 |
|
Social/cultural objects and housing maintenance tax |
|
|
100 |
|
City Territory Cleaning up duty |
|
|
100 |
|
Advertisement tax |
|
|
100 |
|
Educational Institutions needs tax |
|
|
100 |
|
Land tax/rent |
|
|
70 |
Note. Privileges are given according to the Russian Federation law "On profit tax for enterprises and organizations":
* on capital investments article 6 item 1 subitem 1-12.5; on small enterprises article 6, item 4-75
** on capital investments article 6 item 1 subitem 1-25; on small enterprises article 6, item 4-50
Tax-Privileges for an Organization (sample case)
Data:
|
Cost of Investments - 40 000 thousand dollars Assets - 30 000 thousand dollars Sales - 192 000 thousand dollars Salaries and Wages fund - 328 thousand dollars Internal Rate of Return - 10% |
Calculations:
|
Total taxes (thousand dollars) |
Total taxes (privileges considered) (thousand dollars) |
Tax exemptions (thousand dollars) |
||
|
Exporting organizations |
13478 |
2031 |
11447 |
|
|
Internal selling organizations |
18814 |
7367 |
11447 |
|
|
Newly created organizations |
18814 |
5265 |
13549 |
|
For more information on tax incentives e-mail us at: