The new legislation adopted this week by the Murmansk regional Duma is expected to boost local tax revenues and give new incentives for business development in the municipalities. Until now, all taxes generated by companies have been transferred to the regional authorities in Murmansk.
The new law comes into effect on 1 January 2013, Regnum reports.
The new tax regime will apply for all companies with less than 100 employees and incomes up to 45 million RUB over a nine-month period, regional Duma Speaker Vasily Shambir says.
As previously reported, new Murmansk Governor Marina Kovtun has made business development and economic diversification a key priority for her administration.
Over the last years, economic centralization have gradually deprived Russian municipalities of incomes from locally generated values. At the same time, most towns and villages remain strained by a low level of economic diversification.
