In Russia, a register of domestic microelectronics developers will be created, who will have access to present tax incentives for the IT industry. The corresponding decree was published on the website of the Russian government on January 6.
The register will be kept by the Ministry of Industry and Trade, and the document itself will be available on the official portal of the department. All register members, starting from January 1, 2021, will have access to the corresponding tax preferences provided as a set of measures to support the domestic IT industry, including an indefinite reduction in the insurance premium rate from 14% to 7.6% as well as income tax from 20% to 3%.
The new register will include organisations "providing services for the design and development of electronic component base and electronic products," including design centers for microelectronics and radio electronics. Benefits will allow these companies to reduce costs, increase competitiveness in the global market and ultimately eliminate the existing dependence of Russia on imported capital goods and electronic components, the document says.
The law on conducting a "tax maneuver" for IT industry was signed by the President on July 31, 2020. The maneuver assumes a reduction in the insurance premium in the industry from 14% to 7.6% and the income tax rate from 20% to 3%.