Sochi Olympics sponsors & volunteers will be exempt from taxes

Sponsors of The Olympics in Sochi will be granted tax benefits, a representative of the organization committee told. “It is Russia’s liability before the International Olympic Committee, subject to the contract signed. The preferences are for the foreign sponsors that will enter into an agreement with the Committee,”—she told. By the moment the following companies have already signed the agreement: Coca-Cola, Atos Origin, Omega, Samsung, Panasonic & Visa.

According to some officials corresponding amendments to the Tax Code are ready. They also foresee tax benefits for the sportsmen & volunteers of the Olympic Games. International sponsors will be exempt from VAT, income tax, property & transport taxes from the transactions carried out for the purposes of preparations & celebrating of the Olympics. These companies won’t be acknowledged as taxpayers & can dispute any audit in court. These foreigners will not have to pay for their visas, temporary registration & work permits for the employees. Preferences for the IOC partners won’t be expended on their regular business activity in Russia. Meanwhile national sponsors, such as Russian Railways, Sberbank, Rosneft, Rostelekom & Megafon will not be exempt from taxes at all. All the benefits will remain valid till the end of 2016. The XXII Winter Olympic Games will take place from 7th till 23rd February, the XI Winter ParOlympics will be held on 7-16th March 2014. Totally Russia will spend 950 billion rubles for the Olympics preparations.