The Decree 1 of 28/12/2007 provides a lot of tax privileges for Belorussian commercial organizations and foreign companies starting business after 01/04/2008 in small towns with population under 50 thousand. These companies have to produce goods or services themselves. According to this decree such organizations don’t need to pay corporate income tax, special payment contributed for agriculture development, real estate tax, and transport taxes within 5 years. Also such organizations may establish prices for producing goods and services and wages amount regardless of government limitations. However, such companies should save their corporate status (not to reorganize or liquidate) within 3 years after the privileges has been received, otherwise, companies have to pay taxes in full amount. Besides, favorable tax regime can not be applied in lottery and bank activity, gambling industry and some other profitable spheres.