MIL OSI Translation. Region: Russian Federation –
As noted in the Government, the excise tax on ethane and liquefied petroleum gas will be introduced from 2022. Such a measure is provided for by amendments to the Tax Code, approved in October.
For ethane and liquefied petroleum gas, organizations that are actively investing in the renovation and construction of new production facilities will be provided with a double tax deduction – a reverse excise tax with an increasing coefficient of 2. To do this, they will need to conclude agreements with the Ministry of Energy – within the framework of these documents, implementation will be monitored liabilities of investors.
From 2022 to 2027, processors will need to invest at least 65 billion rubles in upgrading production. This is the main condition for obtaining reverse excise duty.
The list of installations related to the production of petrochemical products was also approved and may be the subject of an agreement with the Ministry of Energy. The companies will annually report on the fulfillment of their obligations until March 30.
The Cabinet of Ministers expects that the mechanism of the reverse excise tax on ethane and liquefied petroleum gas will create additional conditions for the modernization of petrochemical enterprises, increasing their capacity, as well as attracting investments in the industry.
Earlier, Deputy Chairman of the Federation Council Committee on Budget and Financial Markets Andrei Epishin said that these amendments to the Tax Code are aimed at stimulating the development of the petrochemical complex of the Russian Federation.
A source: Parliamentary newspaper
EDITOR’S NOTE: This article is a translation. Apologies should the grammar and / or sentence structure not be perfect.