Russia adopts tax exemption for employee share incentive programs in Special Administrative Regions

The Russian State Duma passed legislation exempting the sale of shares in international companies within Special Administrative Regions (SAR) from income tax when issued under employee incentive programs. This measure aims to enhance the attractiveness of SARs for foreign entities and their personnel by reducing the tax burden on equity-based compensation. The long-term impact on capital inflow remains uncertain pending implementation details.