Businessmen who want to operate on the Russian market
, which represents one of the biggest economies of the world, can benefit from various tax minimization strategies
. They represent legal ways through which companies established in Russia
can reduce the tax burden
. Our team of Russian company formation specialists
can provide assistance and advice, established in accordance with the individual situation of company
The definition of tax minimization
refers to a legal conduct through which businessmen can analyse the taxation system
applicable in a country and assessing the ways that can reduce (sometimes, with an important outcome) the amount paid for taxes.
Strategies to reduce the tax burden in Russia
One of the most common ways for tax minimization in Russia
refers to charitable donations
. Although the taxpayers
, natural persons or legal entities
, are still required to pay taxes
, the level is lowered by operating this type of transactions by collaborating with a charitable entity
(state or private owned), which has a lower administrative cost.
Another way through which companies operating in Russia
can minimize the amount paid for taxes
is by increasing the level of tax deductions
. Some of the simplest ways in which this procedure can be performed in Russia
refers to the gifts offered to company’s employees
or to its business partners.
Investors can also reduce the level of taxation by investing in municipal bonds which are exempt of taxes, as well as establishing a retirement investment plan (for this type of contract, several taxes do not apply).