Putin instructed to zero VAT on flights to Kaliningrad by 2018

© RIA Novosti / Igor Taraborrelli photolanguage in Russia. Kaliningrad. Archival photoPutin instructed to zero VAT on flights to Kaliningrad by 2018© RIA Novosti / Igor Taraborrelli the image Bank

Russian President Vladimir Putin instructed to zero VAT on air travel to and from Kaliningrad by 2018, according to the Kremlin website.

«To provide entering into the legislation of the Russian Federation on taxes and fees changes, providing for application of zero rate of value added tax at realization of services in air transportation of passengers and Luggage in the case that the departure point or the destination is located on the territory of the Kaliningrad region», — stated in the message.

The deadline is 1 January 2018.

Also instructed to submit proposals for the consolidation of duty of airlines to use the full quota of subsidised transportation of passengers and Luggage.

The program of subsidizing regional air transportation began to operate in Russia in 2013. Now a program of subsidization of flights to Kaliningrad, the Crimea, the far Eastern Federal district.