Commentary to Decree No.2 of 27 June 2016

    Belarus is introducing measures to promote entrepreneurship in rural areas, small and medium-sized settlements. It is envisaged in Decree No.2 “Concerning additions and amendments to the decrees of the President of the Republic of Belarus”, which the head of state signed on 27 June.

    The document adjusts certain norms of Decree No.6 of 7 May 2012 concerning the promotion of business activity in rural areas, small and medium-sized settlements.

    Under the decree, the current tax concessions will cover the business activity of resident companies of free economic zones (FEZ) located in small and medium-sized settlements and rural areas; subsidiaries (separate subdivisions) that meet tax liabilities of the organizations which apply the single tax for agricultural producers (in part of the activity which does not fall within the single tax liabilities).

    The decree also provides for the possibility to increase the authorized fund of a commercial organization not only through the contribution fees of its founders but also with the help of the goods purchased by the organization.

    Apart from that, the document cancels tax privilege on inefficiently-used property with a view to stimulating its drawing into economic circulation.