Putin canceled VAT on flights to Crimea

President Vladimir Putin signed an order according to which from June 1 a value of value added tax (VAT) during the implementation of services for the transportation of air passengers to the Crimean Federal District and in the opposite direction is being reset. This was reported by the Kremlin press service.

Earlier, the Ministry of Transport turned to the government with such a proposal. Now all internal flights in Russia are taxed in the amount of 18 percent. This significantly increases their value compared to international ones that are not taxed with this tax. Putin instructed to set a special tariff for the period of the summer tourist season for all seats in the economy class along the Moscow-Simferopol-Moscow route more than 7,500 rubles.

In addition, until May 1, the government was instructed to form the necessary base for the provision of subsidies to airlines to ensure the availability of air transportation in Simferopol.

Putin also instructed to ensure the financing of measures to ensure the work of transport infrastructure and transport enterprises in the 2014 summer tourist season in Crimea. Money will be allocated for the maintenance, repair and continuation of the construction of public roads, as well as the operating activities of the Crimean Railway state enterprise. In addition, the formation of the water area and the construction of the APAPALLE to ensure the activities of the railway crossing "Crimea - Caucasus" are provided.

Putin also instructed to carry out a major and restoration repair of the taxiway and the device of a canopy-drive for passengers at the airport of Simferopol. Until October 1, the subsidies of the autonomous non -profit organization "Transport Directorate of the Olympic Games" for the organization of passenger transportation in direct and indirect mixed traffic with the Crimean Federal District and in the opposite direction, the message said.

On April 2, the European Air Navigation Safety Organization (Euro Control) banned flights to Simferopol and Sevastopol airports . "Euro control, strictly following the ICAO Convention (International Civil Aviation Organization. - Ed.) On International Civil Aviation, will not recognize any unilateral declarations of aeronautical services over any part of the Ukrainian airspace issued by someone except the Ukrainian authorities," the European structure said.

Currently, judging by the schedule, flights to Crimea are performed by seven Russian airlines, including Aeroflot, Transaero and S7. The cheapest tickets along the Moscow-Simferopol-Moscow route for June are offered for 7270 rubles.