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Crimea and Sevastopol

Russia parliament endorses law on special economic zone in Crimea

The special economic zone is set up for 25 years that may be extended later

Crimea, Sevastopol Valery Matytsin/TASS

Crimea, Sevastopol

© Valery Matytsin/TASS

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Russia’s Central Bank closes three Ukrainian banks in Crimea

MOSCOW, November 26. /TASS/. Russian parliament has endorsed a law creating a free economic zone in Russia’s Republic of Crimea which joined the country in March 2014.

The special economic zone is set up for 25 years that may be extended later. The law will enter into force on January 1, 2015.

The document envisages zero income tax for ten years to residents of the special economic zone regarding income tax revenues subject to transfer in the federal budget. Laws of Crimea and Russia’s Crimean federal city of Sevastopol can set a lower income tax for organizations to channel these tax revenues to their budgets, but not higher than 13.5% Meanwhile, the law exempts participants of the special economic zone from the tax on property of organizations for ten years and the land tax for three years.

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Crimea and Sevastopol

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