Shokhin Proposes Tax Breaks for Drone-Attack-Hit Refineries

© РСПП

The Russian government should provide tax incentives to oil refining companies to help them recover from drone attacks, according to Alexander Shokhin, head of the Russian Union of Industrialists and Entrepreneurs (RSPP), speaking on the sidelines of the Innoprom forum.

"There is definitely a need for investment in restoring production capacities. This is not just a simple restoration, but in many cases, it can be more modern equipment. The state needs to consider this as a joint task. A number of preferences, tax deductions, and so on, should probably be introduced. Because we understand that this affects not only the well-being of specific companies, but also the well-being of many related industries: from agriculture to a wide range of consumers and Russian citizens," he emphasized.

Shokhin believes that the government should first adjust the federal investment tax deduction and expand the list of industries eligible for it, as oil extraction and refining were not previously included.

"This could be a temporary measure, but in my opinion, it would be justified for the next few years. It should be included in the three-year budget. So, we are discussing these issues, and the government understands that there are no simple solutions here," the RSPP head shared.