Russia offers businesses tax breaks for building defenses against Ukrainian drones. The catch: the state gets whatever they build for free.
Private business owners in Russia could reduce their taxes by building structures to protect their facilities from drones and transferring those structures to the state. The proposal is part of a bill the government has submitted to the State Duma. The news outlet Faridaily reported on the bill.
Under the bill, business owners could deduct drone protection expenses from their taxable profits if they transfer the protective structures to the Defense Ministry, the National Guard, the Emergencies Ministry, or the security services “free of charge.”
The cost of providing meals to people inside protective structures could also be deducted from the value-added tax (VAT) base.
In late August, Russian President Vladimir Putin authorized placing critical infrastructure facilities under temporary administration if their owners fail to protect them from security threats, including Ukrainian drone attacks. Under the presidential decree, Russia’s Federal Agency for State Property Management (Rosimushchestvo) or “another party” designated by the government will act as the temporary administrator.
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