Tax regime for business in Russia

Russian land, given its huge natural resources, is much cheaper than foreign countries. However, the potential of business in this industry has not yet been fully exploited. Agriculture makes it possible to return investments multiplied many times over several years. In addition to receiving income from agricultural production, land can be simply resold. On this basis, you can earn from 12% to 15% per annum.

The lowest taxes in the world also affect the acquisition of land. In many ways their rates depend on the benefits provided by the state.

  1. For some manufacturing industries, there is a zero income tax rate in this area;
  2. 2. For certain types of agricultural products there is a reduced VAT rate;
  3. There is also a special tax regime, for example, for peasant farms;
  4. In addition, there are privileges related to movable property. In addition, there is a compensation of transportation or seed expenses.

It is not only convenient, but also profitable to invest in Russian agricultural land. Tax incentives play a significant role in this process.

How to get a zero tax rate?

In this industry, producers of goods are entitled to this advantage. However, their activities should be connected with the sale of their products. There are other nuances with which our specialists can help. Let’s choose the best option for investing and receiving income, draw up all the documents and explain the situation with taxes.

What is worth knowing about the reduced rate of VAT?

When charging VAT in many areas of agriculture, a 10% discount is applied. As a rule, it is relevant for the following goods:

The corresponding Government Decree (No. 908) contains codes for goods the sale of which is subject to VAT at a reduced rate of 10%.

Special tax regimes

Another effective measure to support agricultural enterprises, as well as peasant farms is a special tax regime. According to it, income tax as well as property tax and VAT have been replaced by the Single Agricultural Tax. It is calculated based on the results of the organization’s work. The unified agricultural tax rate is 6%, and there are no limits on income when it is applied, which speeds up the procedure for recording expenses. It is one of the lowest tax rates in the world.

Features of payment of property and transport tax

Land tax from agricultural land plots for personal subsidiary farming for agricultural production has been reduced. Separately, there are tax benefits for movable property of enterprises. Some types of industrial equipment are not subject to transport tax.

Our experts will help you choose the tax regime and do all the paperwork. Save your time!