“Residents of the created technopark may be provided preferences, but this is against the law” - Chamber of Commerce and Industry 

The Chamber of Commerce and Industry considered the draft resolution of the Cabinet of Ministers “On measures to organize activities of the Technology Park of software products and information technologies”, developed by the Ministry for Development of Information Technologies and Communications.

The published conclusion of the public examination draws attention to the fact that the project proposes “to establish a procedure in accordance with which, when selecting project executors, all other conditions being equal, in the framework of the tasks assigned to state and economic management bodies, local government authorities, residents of the technopark get priority”. 

Thus, the proposal provides for provision of preferences to residents of the technopark, which contradicts the legislation, in particular, the presidential decree No.3756 of May 31, 2018 “On measures to radically improve the procedure for granting benefits and preferences”.

The document envisages that tax and customs benefits, including preferences are provided by laws and acts of the president as a whole for industries, fields of activity, territories. They must also have a specific goal and ensure the achievement of clear social, economic and financial results.

In this regard, the Chamber of Commerce and Industry (CCI) considers that the paragraph on preferences should be withdrawn.

The project also states that companies will be able to receive benefits based on clarification. The CCI notes that clarification cannot be a basis for applying benefits.

“Moreover, the current legislation does not provide for the concept of "explanation",” the Chamber stated.

Another item of the project provides for that legal entities may be residents, which is also wrong, because individual entrepreneurs also have the right to develop computer programs.

In addition to these comments, CCI experts found about seven more points which are subject to review. In this regard, it is recommended to revise the project and make appropriate changes to it.