Demand of organizations for accelerated return of capital investments in profit taxation in Russia

We analyze how actively Russian organizations apply the right to accelerate the return on capitalinvestments when calculating corporate profit tax in federal districts. The emphasis of the study is placed on suchan accelerated asset write-off tool as depreciation bonus. The investment climate of the Russian regions is reflectedboth in the size of investments and the dynamics of investment activity of organizations, and in the instrumentsused for direct and indirect stimulation of capital investments. For organizations, these incentives are expressedin terms of the corporate profit tax burden. Significant differences were shown by federal districts, by the absoluteamount of the accrued depreciation premium, by the number of organizations using the right to it, and by relativeindicators: depreciation premium per organization, the share of organizations that use this tool to reduce taxliabilities, tax savings on profit. The result of the study was confirmation of a positive relationship between the shareof investments to which the depreciation premium was applied and the corporate profit tax burden, which mayexplain the unevenness in using accelerated depreciation methods for tax purposes.