Bashkiria IT companies are allowed to work in simplified mode for three years

In Bashkiria, IT companies will work in a simplified mode for three years, the press service of the State Assembly - Kurultay of the region reported.

In Bashkiria, the corresponding law came into force. The tax for this category of taxpayers has been reduced for the period from 2022 to 2024.

“Reduced tax rates are set for IT companies levied in connection with the use of a simplified taxation system: in the amount of 1% on income or 5% on profits instead of the previously existing rates of 6% and 15%, respectively,” Konstantin Tolkachev, Speaker of the Bashkir parliament explained.

According to the deputies, the reduction of the tax burden will create a favorable regime for the IT sector and will contribute to the development of information technologies in the region.

As Tolkachev emphasized, in the current conditions, without our own IT technologies, one cannot seriously talk about import substitution, cybersecurity, and the development of high-tech industries of the economy. It is critically important not only to replace the software products of large IT companies that have left the Russian market, but also to overcome the backlog and ensure technological sovereignty. This requires state support of the IT sector.

The tax exemption can be used by legal entities that are small and medium-sized businesses that apply the simplified taxation system and carry out such activities as the development of computer software, consulting services in this area and other related services (OKVED 62) in the field of information technology (OKVED 63 ).

The tax exemption is provided on the condition that the listed types of economic activity are the main ones and bring the company at least 70% of all income, and the company itself has state accreditation.

Author: Galina Bakhshieva