Legislation
The State Council of the republic has passed a number of laws aimed at encouraging business activity in Chuvashia. The income tax rate is 35%. One-third of this sum is transferred to the Russian Federation and two-thirds are contributed to the Chuvash budget (this is called the Republican portion). Notable tax privileges include:
- The profit tax rate (Republican portion) for foreign enterprises, joint ventures, and filial branches of foreign enterprises is five percent during the first three years of operation in Chuvashia. To qualify for this benefit, foreign enterprises must contribute at least $100,000 and 70% of the venture’s initial capital.
- Enterprises and organizations producing consumer goods, producing industrial-technical products, and processing agricultural products are exempt from profit tax (Republican portion) for a period of three years.
While not particularly relevant to foreign investors, the government’s commitment to economic growth can be evidenced by its efforts to encourage small business growth through the simplification of tax and business registration processes for entrepreneurs.
Read more about this topic: Economy Of The Chuvash Republic
Famous quotes containing the word legislation:
“Statecraft is soulcraft. Just as all education is moral education because learning conditions conduct, much legislation is moral legislation because it conditions the action and the thought of the nation in broad and important spheres of life.”
—George F. Will (b. 1941)
“The wise know that foolish legislation is a rope of sand, which perishes in the twisting.”
—Ralph Waldo Emerson (1803–1882)
“Strictly speaking, one cannot legislate love, but what one can do is legislate fairness and justice. If legislation does not prohibit our living side by side, sooner or later your child will fall on the pavement and I’ll be the one to pick her up. Or one of my children will not be able to get into the house and you’ll have to say, “Stop here until your mom comes here.” Legislation affords us the chance to see if we might love each other.”
—Maya Angelou (b. 1928)