Tax breaks granted for Aeroflot Boeing 767-300ERs

Published: 1/7/2000

It seems that ordering Russian aircraft can generate more than a little tax leeway these days in Russia. Prime Minister Vladimir Putin has signed a decree granting Aeroflot exemptions on import duties for seven years on four Boeing 767-300ERs and on its GE engines leased from GEAC, although it will be required to pay minor customs fees, according to an Aeroflot spokesman. The decision, made by the government on 28th December, was prompted by the agreement between the airline and Economics Ministry, regarding investment by the airline. This is assumed to include the purchase of Il-96-300s through the Ilyushin Finance Company. Aeroflot has been granted exemptions before, for previous imports of western aircraft, linked with funding by US Eximbank for the Il-96M/T programme and has come under considerable pressure of late to buy Russian.

Article ID: 1293