Russian regions will receive investment deductions subsidies

Regions that provide businesses with the opportunity to receive an investment income tax deduction will continue to receive partial compensation for shortfalls in income - up to 200 million rubles for each company, the press service of the Russian government reported.

Prime Minister Mikhail Mishustin announced this decision at a meeting with deputy prime ministers. The measure was in effect last year, now the regions will be able to use it in the current and subsequent years. To do this, it is necessary to confirm the implementation of the regional investment standard by December 1.

Such a deduction is in demand among entrepreneurs and is one of the mechanisms to encourage business investment activity. Due to it, investors can reduce the amount of corporate income tax, reduce the cost of their project and, accordingly, implement it faster, the Prime Minister explained.

The company claiming the deduction must not be associated with gambling, mining, finance, or insurance activities.