IT Taxes: The Head of Government Has Put an End to the Industry Dispute
In just two days, the situation regarding the future of tax incentives for IT went through a full cycle: from a request for compromise to receiving a firm response.
Timeline of events:
November 10: Leading IT associations (APKIT, RUSSOFT, and others) sent a letter to the Ministry of Finance requesting softer new rules. The main proposals were to extend the increase in insurance contributions until 2030 and to preserve Skolkovo incentives.
November 12: Prime Minister Mikhail Mishustin spoke at the Digital Solutions forum and clearly outlined the government's final position.
The final arrangement from 2026:
Increased
Insurance contributions will rise to 15% (for income within the base limit) and 7.6% (above the base).
This is still a "preferential rate," half the standard industry rate.
Preserved
-Zero VAT on domestic software
-Preferential profit tax rate of 5%
-Double coefficient for purchasers of Russian software and hardware-software systems for acquisition expenses
It appears the question of the tax regime for IT can be considered settled. Unfortunately, industry associations were unable to secure a full deferral on insurance contributions, but key preferences in the form of zero VAT and the preferential profit tax rate have been preserved.
In just two days, the situation regarding the future of tax incentives for IT went through a full cycle: from a request for compromise to receiving a firm response.
Timeline of events:
November 10: Leading IT associations (APKIT, RUSSOFT, and others) sent a letter to the Ministry of Finance requesting softer new rules. The main proposals were to extend the increase in insurance contributions until 2030 and to preserve Skolkovo incentives.
November 12: Prime Minister Mikhail Mishustin spoke at the Digital Solutions forum and clearly outlined the government's final position.
The final arrangement from 2026:
Increased
Insurance contributions will rise to 15% (for income within the base limit) and 7.6% (above the base).
This is still a "preferential rate," half the standard industry rate.
Preserved
-Zero VAT on domestic software
-Preferential profit tax rate of 5%
-Double coefficient for purchasers of Russian software and hardware-software systems for acquisition expenses
It appears the question of the tax regime for IT can be considered settled. Unfortunately, industry associations were unable to secure a full deferral on insurance contributions, but key preferences in the form of zero VAT and the preferential profit tax rate have been preserved.