The moratorium on profit tax collection will stimulate the development of agricultural business - entrepreneur

May 8, Vitebsk / Diana Kurilo - BELTA /. Entrepreneurship in small towns will receive an additional incentive for development thanks to the preferences provided by Decree No. 6 "On Stimulating Entrepreneurial Activity in Medium-Sized Towns, Small Urban Settlements, and Rural Areas". This point of view was expressed in a conversation with a BELTA correspondent by Vyacheslav Malinovskiy, director and founder of the private enterprise "Lyubava" from Novopolotsk. The measures taken by the state over the past five years to support entrepreneurship in rural areas and small towns are yielding positive results, the interlocutor believes. In particular, the "Lyubava" enterprise has created a production branch in the village of Borovukha and has fully utilized the benefits provided by decrees of December 20, 2007 No. 9 "On Certain Issues of Regulating Entrepreneurial Activity in Rural Areas" and January 28, 2008 No. 1 "On Stimulating the Production and Sale of Goods (Works, Services)". One of the key provisions of the new legislative act, which will stimulate the creation of new production facilities, according to Vyacheslav Malinovskiy, will be a seven-year moratorium on the collection of profit tax and income tax. "These will be considerable sums that we can direct to the development of production. Exemption from profit tax also testifies to the state's trust in small business, on the one hand, and on the other hand, it encourages private entrepreneurs to conduct their business honestly," he is confident. In addition, thanks to such preferences, the Belarusian manufacturer gains the opportunity to compete with manufacturers from Russia and Kazakhstan, which is important in the context of the Single Economic Space. Vyacheslav Malinovskiy also drew attention to the exemption from mandatory sale of foreign currency earnings, deductions to innovation funds, as well as from mandatory conclusion of transactions on exchange trading of OJSC "Belarusian Universal Commodity Exchange" when purchasing raw materials, components and materials for own production and carrying out foreign trade in goods of own production, provided for by Decree No. 6 for rural production facilities. "In this case, the state provides manufacturers with guarantees that they will be able to carry out foreign trade operations without hindrance," he emphasized. The businessman also positively noted the opportunity provided by the new decree to alienate state-owned real estate in small towns without selling the right to conclude a land lease agreement and providing it without an auction and charging a fee for the right to conclude a lease agreement. At the same time, he believes that the practice of transferring vacant land plots should be expanded and entrepreneurs should be given the opportunity to obtain them on preferential terms, albeit with certain obligations, for the creation of production facilities. The "Lyubava" enterprise is engaged in the production of sewing and knitwear and includes several enterprises - "Lyubava-Lux" and "Lyubava-Ital-Style". The enterprise is equipped with modern foreign equipment, which allows it to produce products that are not inferior in quality to imported counterparts. "Lyubava" collections are updated twice a year. The enterprise's sales strategy is focused on working with wholesale buyers. The enterprise's clients include more than 100 trading enterprises of various forms of ownership located in Belarus, Russia, Kazakhstan, and Ukraine. Approximately a quarter of the products manufactured are exported. -0-