ASI proposing to reduce the tax burden on the participants of PPP projects in eco-tourism

The Agency for Strategic Initiatives (ASI) proposes to expand the list of projects as part of the 2019–2025 Federal Target Program (FTP) Development of Domestic and Inbound Tourism in the Russian Federation, reduce the tax burden on the participants of public-private partnership in eco-tourism, and provide additional budgetary support to regions and credit organizations involved in the construction, renovation, and reconstruction of tourism infrastructure facilities. Such proposals are contained in the draft action plan (roadmap) for the direction Ecological Tourism Development submitted by the ASI to the Ministry of Economic Development of the Russian Federation.

One of the key problems outlined in the roadmap is related to the insufficient use of the program- and goal-oriented approach in ecological tourism development both at the federal and regional level.

The concept of the FTP Development of Domestic and Inbound Tourism in the Russian Federation (2019–2025) identifies 15 promising projects.

The FTP singles out one consolidated investment project Baikal (Irkutsk Region, Republic of Buryatia, Zabaykalsky Krai) for ecological tourism and the Siberia project (Altai Кrаi, Kemerovo and Novosibirsk Regions, Republic of Khakassia, Tyva Republic, Altai Republic) for active tourism.

"There is a need to expand the list of ecological tourism development projects and subsequently include them in the FTP. This will promote regional activities for the development of investment projects on a public-private partnership (PPP) basis in specially protected natural areas (SPNA) and adjacent areas," the document says.

As a solution, the ASI proposes the Ministry of Economic Development, the Federal Agency for Tourism, and the Ministry of Natural Resources and Environment of the Russian Federation (MinPrirody of Russia) to develop a subprogram aimed at ecological tourism development in SPNA. The deadline for implementing this item is 2021.

"It is also required to design mechanisms for engaging budgetary institutions managing SPNA to develop projects and participate in the FTP, as constituent documents prohibit them from initiating ecological tourism development projects or acting as applicants for such projects," the roadmap says.

The ASI proposes the Ministry of Finance and the Ministry of Economic Development of the Russian Federation to prepare proposals for reducing the tax burden on the participants of PPP projects in ecological tourism and develop additional measures of budgetary support for the constituent entities of the Russian Federation and credit organizations involved in the implementation of projects on constructing, renovating, and reconstructing tourism infrastructure facilities.

"To submit proposals for amendments to the Tax Code of the Russian Federation that enable the concessionary or private partner, when determining taxable profits, to recognize in expenses the residual tax value of the facility upon its transfer to the concessor or public partner in case of termination of the concession or PPP agreement," the document notes.

Another problem is lack of established rules for beautifying ecological trails and receiving permits for their organization.

In the ASI’s opinion, this problem may be solved by providing a legislative framework for the notion "ecological trail" and creating a list of generic design solutions for environmentally safe temporary tourism infrastructure facilities authorized to be located in SPNA.

"Similarly to permanent facilities, reusable design documents shall be possible to be developed for temporary facilities located along tourist routes,“ the draft action plan says.

The roadmap also contains measures for: inventory of the legal framework; facilitation of procedures for drawing up of documents required for implementation of investment projects in ecological tourism; cadastral registration of land plots in all SPNA; approval of regulations on specially protected natural areas of federal importance; personnel training and retraining, as well as mandatory accreditation (certification) of guides, guide-interpreters, and instructor-guides for the work along ecological trails of various categories and complexity levels.

Moreover, the ASI proposes to ensure control and monitoring of the activities of ecological tourism operators and approve the procedure for determination of SPNA attendance fee for individuals and fee waiver cases.

REFERENCE

The ASI's proposals in the direction Ecological Tourism Development are coordinated with the MinPrirody of Russia and submitted to the Ministry of Economic Development of the Russian Federation for inclusion in the Business Climate Transformation action plan.

Implementation of the roadmap actions will ensure creation of additional conditions for forming a favorable environment for non-governmental providers to render ecological tourism management services in SPNA and adjacent areas.