MOSCOW, April 28 (RIA Novosti) - The government will introduce tax holidays of up to ten years for companies developing oil deposits in East Siberia, a deputy finance minister said Friday.
Sergei Shatalov said the planned amendment was one of a series that would be made to tax legislation in 2007-2009.
The package of amendments will aim to improve tax administration, as well as encourage oil production, index customs tariffs rates, and increase social payments as part of income tax, Deputy Prime Minister Alexander Zhukov said earlier this week.
But companies developing oil fields in West Siberia's Timano-Pechersky basin will not be granted tax holidays, Shatalov said.
"They are close to infrastructure, which makes the project less costly," he said, adding that the deposits in question would remain attractive for investors even if no tax holiday is given.
