Rustem Khamitov signed the law on "tax holidays" for entrepreneurs

UFA, 29 April 2015. /Bashinform News Agency, Sergey Zakharov/. The Head of Bashkortostan Rustem Khamitov signed the law "On establishing the tax rate of 0 percent for taxpayers – sole traders applying patent and simplified taxation systems".

This is one of the measures aimed at supporting small businesses, as part of an integrated plan for sustainable economic development and social stability in the republic for 2015-2017. The document was developed in accordance with the amendments to the Tax Code of Russia. They provided the right to regions on the introduction of two-year tax holidays for individual entrepreneurs, newly registered and operating in the industrial, social and scientific fields.

Tax incentives will affect small and medium-sized businesses, operating on 23 kinds of the patent system of taxation and 21 types of activity under the simplified system. The system of tax holidays will be valid until 2020.

The republican law will come into force for sole trades working under the patent system since the first decade of May, and for those working under the simplified system - since January 1, next year. Tax holidays will be in effect for two calendar years for those using patent system and for two tax periods for those using the simplified system.

Currently in Bashkortostan there are about 90 thousand sole traders. Of these, nearly one third uses the simplified taxation system, only one-thirtieth - the patent system. The consolidated budget of the republic received 3.6 billion rubles under the simplified taxation system in 2014, including from STs - 1.3 billion rubles, and less than 100 million rubles under the patent system.