The main acts regulating the order and terms of application of customs regulations to Free Economic Zones (hereinafter referred to as FEZ) residents are the Tax Code of the Eurasian Economic Union and the Agreement on the Issues of Free (Special) Economic Zones in the Customs Territory of the Eurasian Economic Union and Customs Procedure of the Free Customs Zone (hereinafter - the Agreement) of June 18, 2010.
The customs territory of the Eurasian Economic Union is constituted by the territories of the Republic of Belarus, the Republic of Kazakhstan and the Russian Federation, the Kyrgyz Republic and the Republic of Armenia.
The bounds of the customs territory of the Union are the customs borders of the Union.
By agreement with the customs office in the region of which activity the FEZ resident is located and on the grounds of the FEZ resident’s application the corresponding FEZ Administration determines boundaries of the Free Customs Zone (hereinafter -the FCZ). The FCZ area is determined according to the Regulations on Free Customs Zones approved by Decree of the President of the Republic of Belarus No. 66 of January 31, 2006, Resolution of the State Customs Committee of Belarus No 7 of February 27, 2014 “On Approval of the Instruction on the Approval Procedure of the Decisions of Administrations of Free (Special) Economic Zones with the Customs on the Definition of the Limits of Free Customs Zones and on the Abolition of Free Customs Zones”.
Goods manufactured (made) from the foreign goods placed under the FCZ customs procedure, as well as goods manufactured (made) from the foreign goods placed under the FCZ customs procedure and Customs Union goods (hereinafter “goods manufactured (made) with the use of foreign goods placed under the FCZ customs procedure”), acquire the status of foreign goods..
Customs preferences provided to goods exported outside the FEZ territory, on which the FCZ customs procedure is applied:
- exemption from value added tax charged by the customs authorities when the goods that have been manufactured (obtained) using foreign goods placed under the customs procedure of free customs zone are placed by FEZ residents under the customs procedure of release for domestic consumption;
- 100% exemption from import custom duties and taxes (on raw materials that have been placed under the FCZ customs procedure earlier) while exporting finished products outside the customs territory of the Customs Union.