Minimum Requirements for Residents Were Leveled Down in the Priority Social and Economic Development Area (PSEDA) in the Monotown of Dorogobuzh

The Government of Russia supported the initiative of the Governor Alexey Ostrovsky to reduce the requirements for investment projects implemented by residents in the territory the Priority Social and Economic Development Area (PSEDA) in the monotown of Dorogobuzh, as well as to increase the list of permitted economic activities for them. These changes are intended to improve the investment climate within the PSEDA as well as to assist in attracting potential residents.

In particular, there has been excluded the criteria that sets the minimum capital amount to be invested by the resident under the investment project since January this year (previously it was 20 million roubles). In addition, the minimum investments amount during the first year was halved (from 5 to 2.5 million roubles).

At the same time, it was decided to enlarge the list of economic activities allowed as a result of the investment projects implementation within PSEDA in the monotown of Dorogobuzh. These include the manufacturing paper and paper products; producing computers, electronic and optical products; electric equipment; motor vehicles, trailers and semi-trailers; other vehicles and equipment; warehouse and support transport activities; food and beverage services; activity of travel agencies and other organizations providing tourism services.

It should be recalled that the first in the Central Federal District PSEDA in the monotown of Dorogobuzh was established within the territory of the Smolensk Region in March 2017. Its residents are granted some benefits, including:

• reduced rate of corporate income tax to be paid into the regional budget (0% for the first five years and 10% for the next five years) and the federal budget (0% for the first five years);
  
• full exemption from payment of corporate property tax;
  
• exemption from payment of land tax;
  
• there are applying the reduced rates of insurance premiums for 10 years (for compulsory pension and health insurance as well as social insurance in case of temporary disability and maternity) in the total amount of 7.6%;
  
• granting of land plot without bidding.