RUSSIA EXPLORES VAT EXEMPTION SCHEME FOR FISHING BOAT REPAIRS

Russia explores VAT exemption scheme for fishing boat repairs

Russian President Vladimir Putin has instructed the Ministry of Finance to consider the possibility of abolishing VAT on the repair and maintenance of fishing vessels. This is a measure to encourage enterprises to use the services of Russian shipyards.

The issue was raised at a meeting on the development of the Far Eastern Federal District, which was chaired by Vladimir Putin as part of the Eastern Economic Forum. The proposal to abolish VAT on services for the repair and maintenance of civil fishing vessels was announced by the head of the Ministry of Industry and Trade Denis Manturov.

“Today, the bulk of the repair of fishing vessels falls on Korea and Japan. Fishing companies send their fleets there for repairs, although this could be done in Russia at the Far Eastern shipyards. As one example, in Kamchatka the company is ready to develop capacities, but this requires motivation so that we have competitive conditions,” the minister said.

According to Denis Manturov, the abolition of VAT will not reduce the tax base, “because today these volumes of taxes are not received, all these orders go abroad.”

In response, the president turned to Finance Minister Anton Siluanov. The head of state instructed him, together with his colleagues, to discuss issues related to the removal of VAT in the field of ship repair.

“There is no need to answer now, just take a closer look. Naturally, we would very much like the volume of orders currently being placed abroad to be placed at our shipyards, in the territory of the Russian Federation. We certainly need to support this area of ​​activity in the Far East – shipbuilding and ship repair, ”Vladimir Putin emphasized.

Source: fishnews.ru