The DPR announced the emergence of a free economic zone in the region

A free economic zone (FEZ) will appear in the Donetsk People’s Republic with “unprecedented” conditions, said the chairman of the government of the region, Vitaly Khotsenko, transmits “RIA News”.

“We will have a free economic zone. Unprecedented. There are no such conditions anywhere. The basic ones are “Crimean” conditions, but only for a longer period,” he said.

FEZ enterprises, he said, will not pay property and profit taxes. “Land plus the unified social tax is being discussed,” the official added.

The FEZ in Crimea began to operate on January 1, 2015. It provides for preferential treatment in the field of land relations, construction, special conditions for entrepreneurs, benefits and preferences for investors, as well as the possibility of applying the free customs zone procedure. FEZ businessmen, in particular, do not pay property tax for the first 10 years, the first three years are exempt from land tax (if they own it) and deduct insurance premiums at a reduced rate (7.6% instead of 30%).

Earlier in February, Russian President Vladimir Putin declaredthat the new regions of Russia must be brought to the all-Russian indicators in the horizon of the current decade. Prior to that, he instructed the government to prepare a program for the development of new regions of the country during the first quarter of this year. The head of state stressed that, just like throughout Russia, social security standards, a maternity capital program and an increase in pensions will appear in them. Russia has come this way with Sevastopol and Crimea and therefore “knows what needs to be done,” he said.