REGISTRATION AS A RESIDENT OF THE CHINA-BELARUS INDUSTRIAL PARK «GREAT STONE»
WHAT IS THE CHINA-BELARUS INDUSTRIAL PARK «GREAT STONE»?
The China-Belarus Industrial Park “Great stone” (Industrial Park) is a special economic zone with a special legal regime to ensure comfortable business conditions. It was created on the basis of an intergovernmental agreement between the People’s Republic of China and the Republic of Belarus.
WHO CAN BECOME A RESIDENT OF THE INDUSTRIAL PARK: CRITERIA
To be able to realize all the benefits provided by the Industrial Park, one must register as its resident.
Any legal entity can become a resident of the Industrial Park, if it is created and registered in the Republic of Belarus, located on the territory of the Industrial Park or is being created (reorganized) directly in the Industrial Park, including with the participation of a foreign investor, and implementing (or planning to in the future) an investment project on the territory of the Industrial Park.
DEVELOPMENT OF AN INVESTMENT PROJECT
The investment project must simultaneously meet the following conditions:
– participation in the project with the main directions corresponding to the activities of the Industrial Park, namely the creation and development of electronics and telecommunications, pharmaceuticals, fine chemistry, biotechnology, engineering, new materials, complex logistics, e-commerce, activities associated with storing and processing large amounts of data, socio-cultural activities, as well as carrying out research, developmental and technological works;
– amount of investment for an investment project must be at least 5 million US dollars, and for an investment project for the implementation of research, developmental and technological works at least 500 thousand US dollars.
The amount of investment declared for the implementation of the investment project of a legal entity (with the exception of research, developmental and technological works) requesting registration as a resident of the Industrial Park may not be less than 500 thousand US dollars, provided that investments are made in the stated amount over three years starting from the date of the agreement conclusion with the administration of the Industrial Park.
The administration of the Industrial Park is entitled to decide on registration of a legal entity as a resident of the Industrial Park that is implementing (or planning to in the future) the investment project in the Park, performing the basic tasks of the Industrial Park even if it (the project) does not envisage for the legal entity to carry out activities that correspond to the main directions and (or) does not correspond to the established amount of investment.
MAIN PREFERENCES FOR RESIDENTS OF THE INDUSTRIAL PARK
– exemption from real estate tax on objects in the Park, land tax on plots in the Park for residents and the joint management company – for the entire duration of the special legal regime (that is, until June 14, 2062);
– exemption from income tax on the profits of park residents from the sale of goods (works, services) produced on the Park territory – for a period of 10 years from the first tax period, in which a resident received profit from the sale of these goods (works, services). After that payment of tax is made at the rate reduced by 50% of the current rate – until the end of the special legal regime;
– exemption from tax on dividends for a period of 5 years;
– income tax relief – 9% (until 01.01.2027) instead of 13% established in the Republic of Belarus;
– visa-free regime for 180 days a year for potential partners and residents of the Park;
– stabilization clause (guarantee of non-deterioration of business conditions).
A resident can purchase or lease a land plot with ready-made infrastructure in the Industrial Park for a period of 99 years.
DOCUMENTS SUBMITTED TO THE ADMINISTRATION OF THE INDUSTRIAL PARK FOR INCLUSION IN THE REGISTER OF IFI
To register as a resident, one must submit the following documents to the administration of the Industrial Park:
– copies of the certificate of state registration and constituent documents certified by the head of the legal entity;
– substantiation of the investment project approved by an authorized person;
– a draft agreement on the conditions of activity within the Industrial Park, signed by an authorized person.
These documents will be reviewed by the Industrial Park administration within five business days. Based on the results of the Industrial Park administration review, one of the following decisions is made: on registration as a resident of the Industrial Park, or on refusal of such registration.
The day of registration of the Industrial Park resident is considered the day when the agreement on the conditions of activity in the Industrial Park is concluded.
Our law office has extensive experience in registering and advising clients on joining the “Great stone”. Our lawyers will advise you on any issues related to creating a company in the “Great stone”, as well as help you implement your project in the Park.