24 %

1. Profit received from the sale of goods (works, services) of own manufacture, which enjoys a special legal treatment, is exempted from taxation for 5 years from the moment of its declaration. On the expiry of the term, profit from the sale of goods (works, services) is taxed at the rate reduced to 50% (12%).
   
   
2. Taxes which are not paid by FEZ residents in accordance with the legislation, governing FEZ activity, do not reduce taxable profit. VAT sums exempted from payment are not subject to profits taxation.
   
   

• for using or granting the right to use industrial, commercial and scientific experience;

• dividend income tax;

• debt obligations income tax;

• other incomes.

0%-rate when selling (Law #1319-XII of 19.12.1991 clause 11 with alterations):

• exported goods (0 % -rate is applied to goods exported from the Republic of Belarus to the Russian Federation when the documents provided for by clause 1, part 1 of the Regulations on the order of indirect taxes collection and control mechanism over their payment are submitted to tax bodies within 90 days of shipment). VAT paid for goods imported from the Russian Federation is subject to deduction. Tax amounts for goods falling into sales turnover of objects exempted from VAT are not subject to deduction;

when providing:

• works and services of freight forwarding, loading, reloading and other similar works (services) directly connected with export goods sales;
• export-oriented freight services;
• services connected with the production of goods made on commission.

A 0% rate is not applied to the goods exported from the territory of the Republic of Belarus to the Russian Federation where they are not subject to taxation when imported.
A  10% -rate is applied:

• when selling plant (except flowers), animal (except fur-bearing animal), beekeeping and fish products made in the territory of the Republic of Belarus;
• when importing to the customs territory of the Republic of Belarus and when selling listed foodstuffs and goods for children (Decree of the President #99 of 25.02.2005). When shipping such goods in the Russian Federation without having received confirmation of a 0% -VAT-rate, an 18% but not a 10%-rate will be applied (unless otherwise provided for by the Law);
• when importing to the customs territory of the Republic of Belarus pharmaceuticals, medical equipment and other listed equipment (#1306 of 18.08.2000), beginning from September 2005 in the generally established order.
• when selling in the territory of the Republic of Belarus pharmaceuticals, medical equipment and other listed equipment (#118 of 06.03.2005).

An 18%-rate is applied:

• when selling goods not listed above;
• when importing to the customs territory of the Republic of Belarus goods not listed above.

When importing goods from the Russian Federation under commission agency contracts, orders or other similar documents, VAT is paid by the agent from the cost of imported goods that is increased by expenses included into the cost of transaction.

From 01.01.2005 Belarusian organizations purchasing goods (works, services) from foreign organizations not registered on the Belarusian taxation authorities’ books are VAT payers but not tax agents.

VAT is not levied when importing foreign and domestic goods to the free customs zone, and also when exporting goods from the free customs zone beyond the boundaries of the Republic of Belarus.

VAT is levied when exporting goods from the free customs zone (FCZ) to the rest of the customs territory of the Republic of Belarus.
VAT (section 10, subsection 02) for the goods imported to the territory of the Republic of Belarus from the Russian Federation (goods of Russian origin as well as goods from other countries, circulating in the Russian Federation) will be paid by FEZ residents at generally established rates and then will be subject to deduction in a generally established order. When selling goods exported from the territory of the Republic of Belarus to the territory of the Russian Federation, FEZ residents will apply a 0%-rate when presenting documents stipulated by clause 1, section 1 of the Provision on the procedure of indirect taxes collection and control mechanism over their paymentwhen goods are moved between the Russian Federation and the Republic of Belarus.

When exporting goods from FCZ to the Russian Federation, a taxpayer is granted a 100-day deferral of repayment of import customs duties and VAT on goods, which have been imported to FCZ earlier and have become part of exported goods, without repayment of interest for its enjoyment. If a 0%-VAT-rate on goods is confirmed in the Russian Federation, customs duties and VAT are not subject to payment. If it’s not confirmed in time, import customs duties and VAT are paid with levying of an interest at the amount of the National Bank refinancing rate. Paid import customs duties and VAT are reimbursed within 3 years starting from the day of customs registration if a 0%-rate is confirmed. The interest is not subject to reimbursement.
VAT, computable at the rate of 18%, except 10% (9,09), is paid by organizations at the rate of 50% from the due and payable sum from sales in Belarus of goods  of own manufacture made in the territory of FEZ and  falling under the category of import-substitution according to the List fixed by the Government of the Republic of Belarus and approved by the President. VAT exempted in accordance with the paragraph is not subject to taxation. The sum of tax deductions increases by 50% of the sum determined as the difference between the sum of VAT at the rate of 18% and the sum of tax deductions.

1,0% is not paid under the special legal treatment

The tax privilege is applied if there is a separate accounting.

• harmful emissions (discharges);
• mining resources

Multiplying factor is 1,5.

1% of depreciable value of basic production and non-production assets inclusive of the multiplying factor.

Multiplying factor is 1.75

* On the activity to which a special legal treatment is extended (SLT):
- realization of goods (works and services) manufactured by FEZ residents beyond the borders of the Republic of Belarus;
- realization of import-substitution goods of own manufacture in the Republic of Belarus according to the import-substitution List;
- realization of goods (works and services) manufactured by FEZ residents to other FEZ residents;

** FEZ residents also enjoy other benefits and preferences granted to managing subjects in accordance with the acting tax legislation;

*** Income tax is paid by physical bodies-FEZ residents at rates in accordance with the tax legislation on income tax levied from physical bodies of the Republic of Belarus.

**** Taxes are charged and transferred to the budget depending on the activity of legal persons and sole proprietors