The State Duma has finally approved important tax changes for the mining industry. There is now a zero VAT rate on sales of ore and concentrates to refineries. This decision is intended to support domestic producers and increase processing volumes precious metals inland.
Amendments to the Tax Code, adopted in the third reading, radically change the operating rules for mining enterprises. A zero tax rate now applies to the sale of all types of ores, concentrates and other industrial products containing precious metals. An important condition is that the buyer must be an accredited refinery.
According to experts from the Ministry of Finance, this measure will significantly increase the capacity utilization of processing enterprises. Thanks to tax incentives mining companies will be able to send more raw materials to domestic factories rather than for export. This will directly affect the growth of production of investment precious metals in Russia.
The new rules go hand in hand with other legislative initiatives. At the same time, a bill is being considered to tighten control over the circulation of precious metals. According to it, refineries will not be able to accept raw materials without confirmation through the state system GIIS DMDK.
The introduction of a zero VAT rate is a serious step towards creating a closed production cycle in Russia. Enterprises receive tangible tax benefits, and the state receives guarantees of legal circulation and processing of strategic raw materials. These measures together will strengthen the position of Russian precious metals on the world market.
The material was prepared with the support of the Russian Ministry of Education and Science as part of the Decade of Science and Technology.
Source: @nedradvnews
