Benefits for investors

Tax benefits in Leningrad region are granted in accordance with the law of 29.12.2012 No. 113-oz On Government Support for Organizations Undertaking Investment Activity in Leningrad Region and Amending Certain Legal Acts of Leningrad Region (valid until 2022 inclusively). “Investment project” is defined by legislators as placement of new and/or expansion of already existing production plants in Leningrad region.

Conditions for obtaining tax benefits:

• registration of a legal entity in Leningrad region;
• investing within less than three years;
• work in the spheres approved by the law No. 113-oz;
• conclusion of an agreement with the regional Government on the regime of government support for investment activity.

Periods of granting tax benefits

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Benefits Investors Eng 2017

The law of Leningrad region of 25.11.2003 № 98-oz  On Corporate Property Tax exempts investors from corporate property tax on properties created or acquired for the implementation of an investment project in accordance with the projects business plan (and not included in taxable property in Leningrad region prior to the start of the investment project implementation):

  • over the actual investment payback period, but no longer than the payback period specified in the business plan of an investment project;
  • within two years after the beginning of the actual investment payback period.

Regional investment project

Committee for Economic Development and Investment Activity of Leningrad Region prepared the law No. 89-oz On Incentive Measures during Implementation of Regional Investment Projects in Leningrad Region which came into force on 1 January 2020.

Regional investment project (RIP) is a project aimed at production of goods included in section C “Manufacturing industries” of the All-Russian Classifier of Economic Activities.

RIP participants receive the following tax benefits:

benefits rip2

Revenue from sales of goods produced as the result of implementation of RIP should be not less than 90%.

Each RIP should be implemented by one participant.