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Guest Houses Given Legal Status in Testing Phase Program

Krasnodar Region is among the initial regions leading the rollout of a new federal project.

Guesthouse Legalization Initiated in Pilot Scheme
Guesthouse Legalization Initiated in Pilot Scheme

Krasnodar Krai, one of Russia's leading tourist destinations, is set to experimentally legalize guest houses as part of an innovative program aimed at boosting local development and tourism. The federal law, signed on June 7, outlines a series of regulations that will govern the classification, utility tariffs, and tourism tax for these accommodations.

The new regulations will establish a framework for classifying guest houses based on specific minimum facility standards. This classification will likely standardize the quality and operation of guest houses within the region, ensuring they contribute positively to local development. However, the exact parameters of classification, such as size, facilities, or service level, have yet to be detailed.

The initiative also introduces a tourism tax on guesthouse owners. This tax is part of the formalization process to regulate and benefit from the tourism sector more effectively. The rate or method of calculation of this tax remains unclear in the current documentation. The revenues from this tax are expected to remain in municipal budgets for supporting regional infrastructure and tourism needs.

In addition, the regulations include provisions regarding utility tariffs specifically for guest house owners. This suggests that guest houses may receive favourable or standardized utility rates, distinct from regular residential or commercial tariffs, to support their operation in the tourism industry. However, the specifics of these tariffs are still under consideration, as mentioned by Viktoria Abramchenko, Deputy Speaker of the State Duma.

The ultimate goal of this experimental program is to bring thousands of small-scale accommodations into the formal sector, contributing to local development and ensuring compliance with taxation and utility payments. As the program progresses, further official documentation from the Russian Federal Tax Service or Krasnodar regional authorities is expected to provide more precise details on these points.

Stay tuned for updates on this developing story.

The new regulations for guesthouses in Krasnodar Krai will likely standardize the quality of these accommodations, contributing positively to local development, as they are classified based on minimum facility standards. With this classification, guest houses may also receive favorable or standardized utility rates, possibly different from those of regular residential or commercial properties.

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