|
The State support of private investors in the Kirov oblast is regulated by ¹ 399-ZO (¹ 399-Ç0) Law «Of investment regulations in the Kirov oblast» of December 28, 2005 and the oblast Government's ¹ 37/154 decree "Of State support of private investors" of June 30, 2005.
The state support is one of the forms of financial regulation of the investment activities and is granted in the following forms:
- Budget credits are granted to private investors (legal entities) for the purpose of project realization. For the credit the investors are to pay no less than 50% of the refinancing rate set by the Central Bank of Russia. The budget credit is granted for the period of 1 year (the credit must be paid out by the end of the fiscal year) at 6% annual interest rate.
- Financing of a part of the interest on the credits taken by private investors, subsidizing a part of the lease payments upon drawing the leasing contract. The volume of the subsidy is set by the competition documentation.
- Granting budget investments to private investors - legal entities. The condition is the transfer of a part of shares equal in value to the State investment into the State property.
- Granting state guarantees to private investors to ensure their solvency when paying for the credit or lease. One of the conditions is the transfer of property as a security deposit.
- Granting security deposits from the oblast's security fund to private investors to ensure their solvency.
- Granting preferantional terms of use of the property being in the oblast's ownership.
- Issuing grants. Grants are issued for the realization of steps directed at commercialization of initiatives in the sphere of developing the oblast's investment and innovative potentials: participation in exhibitions, business-plan composition, promotional activities, etc.
Granting tax benefitsti private investors is one of the forms of financial regulation of the investment activities in the Kirov oblast. The benefits are granted based on the company property tax in compliance with ¹ 209-ZO (¹ 209-ÇÎ) Law «Of organizations' assets taxing in the Kirov oblast» of November 27, 2003 (the clauses stated below come into effect on January 1, 2007):
Taxation of private investors realizing investment projects in the form of capital investments is performed at the 1.1% tax rate within the project's payback term but not exceeding 5 years on condition that the aforesaid capital investment is valued from 20 to 50 million roubles inclusive and is alloted for newly-built, modernized, new purchased, brought into service and registered assets.
Taxation of private investors realizing investment projects in the form of capital investments is performed at the 0.5% tax rate within the project's payback term but not exceeding 5 years on condition that the aforesaid capital investment is valued from 50 to 100 million roubles inclusive and is alloted for newly-built, modernized, new purchased, brought into service and registered assets.
Taxation of private investors realizing investment projects in the form of capital investments is performed at the 0% tax rate within the project's payback term but not exceeding 5 years on condition that the aforesaid capital investment value exceeds 100 million roubles and is alloted for newly-built, modernized, new purchased, brought into service and registered assets.
The participants of the investment projects - organizations providing leasing services, given the value of the leasing agreement is not less than 100 million roubles and the leasing term is not less than 3 years but not exceeding 5 years in respect of the property stated in the leasing agreement and used for the realization of investment projects are taxed at the rate of 1.1%.
|