The Ust-Luga Oil Joint Stock Co.
źIncreasing the capacity of liquid cargo complex in the Ust Luga Commercial Port╗
The LSR. Reinforced Concrete Joint Stock Co.
źDevelopment of new reinforced concrete production facilities for producing concrete products in the Leningrad Region╗
The Rosterminalugol Joint Stock Co.
"Increasing the capacity of coal terminal in the Ust Luga Commercial Port"
The preferential taxation grounds

This is the Regional Law No.: 113-oz of December 29, 2013 "On State Support of Organizations Engaged in Investment Activity in Leningrad Region, and Amendments to Certain Legislative Acts of Leningrad Region.

What organizations can have a claim on preferential tax treatment?

These are the legal entities (subdivisions) tax-registered in the Leningrad Region investing in the development of the Leningrad Region within the framework of the investment project in agriculture, hotels and restaurants, water transport, cargo handling and manufacturing (except electric power industry, fuel and energy, light industry, production of tobacco goods).
It is foreseen a legal possibility of granting tax exemptions to several organizations, jointly implementing one investment project.

Tax Incentives Period

The tax incentives period depends on the volume of investments, investor activity and the project location in the Leningrad Region.

 

The preferential taxation period

Volume of investments, million rubles

Notes

4 years

From 50 to 300

Lodeinopolsky, Podporozhsky Boksitogorsky and Municipal Districts only

From 300 to 500

 

5 years

From  500 to 3000

 

6 years

over 3000

except the following activities: machinery and equipment manufacture, automobile manufacture

7 years

The following activities only: machinery and equipment manufacture, automobile manufacture

 
The volume of investments

The minimum investment amount is set, when the State support of investment activity can be granted:

  • 50 million rubles - in Lodeinopolsky, Podporozhsky and Boksitogorsky Municipal Districts of the Leningrad Region;
  • 300 million rubles - the territories of other municipal districts of the Leningrad Region.

The investments are the actual costs incurred in development (acquisition, reconstruction) of fixed assets (earlier not operated in the Leningrad Region), intended for the production of goods (works, services) and put into operation in the Leningrad Region.

Size of benefits

The Leningrad Region provides the following tax benefits to investors within the frames of the investment activity state support:

  • Income tax benefits of 3.5% in relation to all activities of the organization in the Leningrad Region;
  • Complete property tax exemption with regards to the property used in investment projects.
Procedure of concluding a contract with the Government of the Leningrad Region

The contract about granting the investment activity state support is concluded between the Leningrad Region and the investor (hereinafter the Contract) after the following documents have been filed to the Investment Department of the Economic Development and Investment Committee of the Government of the Leningrad Region:

  • An application to the Chairman of the Economic Development and Investment Committee of the Leningrad Region with a proposal to conclude a contract;
  • The business plan of the investment project;
  • Total investment volume calculations including the following information for each asset object;
  • Trial balance on "Fixed Assets" account and the "Fixed Assets" account card;
  • Project of a contract;
  • A commitment letter of the organization on implementing the regional Law requirements.
Document Consideration Terms 

The Contract on granting the investment activity state support or a reasoned refusal in conformity with the Law shall be signed on behalf of the Leningrad Region by the Governor of the Leningrad Region not later than thirty five (35) working days from the date of filing the application thereto.