Vita Liberta Russia

16/03/2022

The Ministry of Finance of the Russian Federation spoke about the specifics of determining the price of a contract concluded with a single counterparty

According to part 4 of Article 93 of Law No. 44-FZ, when purchasing from a single supplier (contractor), the customer determines the initial (maximum) price of the contract (IMPC) in accordance with Law No. 44-FZ. At the same time, in cases provided for by Article 93 of Law No. 44-FZ, the customer justifies such a price in accordance with the specified Federal Law and includes in the contract a justification of the contract price.
Part 22 of Article 22 of Law No. 44-FZ establishes the right of the Government of the Russian Federation to determine the areas of activity in which, when making purchases, the procedure for determining the IMPC is established, as well as federal executive authorities, the State Atomic Energy Corporation Rosatom, the State Corporation for Space Activities Roscosmos, authorized to establish such an order taking into account the provisions Law No. 44-FZ.
As follows from the letter of the Ministry of Finance of the Russian Federation dated February 14, 2022 No. 24-06-08/9965, if, in accordance with Part 22 of Article 22 of Federal Law No. 44-FZ of April 5, 2013 "On the contract system in the procurement of goods, works, services for state and municipal needs", the procedure for determining the IMPC in certain areas, the price of a contract concluded on the basis of subclause 4, subclause 5 of Part 1 of Article 93 of Law No. 44-FZ is determined in accordance with the provisions of these regulatory legal acts, while there is no obligation to include in the contract justification for such a price.

16/03/2022

A draft law has been prepared on limiting the possibility of initiating criminal cases on tax crimes

The Government of the Russian Federation has prepared and submitted to the State Duma a bill providing for amendments to the criminal procedure legislation in terms of limiting the possibility of initiating criminal cases on tax crimes. It is assumed that the changes will come into force from the date of the official publication of the relevant law.
The draft law proposes to reduce the list of reasons for initiating criminal cases on tax crimes. Thus, the possibility of initiating criminal cases by investigative bodies may be fixed only based on the materials of the tax department about the possible presence of elements of a crime in the actions of a taxpayer.
The draft law proposes to regulate the procedure for interaction between the bodies conducting the inquiry and preliminary investigation, as well as tax authorities and insurers when deciding on the initiation of a relevant criminal case, including the use of materials submitted by tax authorities and insurers, with the establishment of deadlines for the consideration of these materials and the adoption of necessary procedural decisions.

16/03/2022

The Federal Notary Chamber clarified what should be taken into account in connection with the introduction of the special procedure for transactions with foreign persons by residents

In accordance with the Presidential Decrees No. 79 of 28 February 2022 and No. 81 of 1 March 2022, from 2 March 2022 residents are required to obtain a special permit from the Government Commission for Control over Foreign Investment in the Russian Federation in order to conclude some transactions with foreign persons related to "unfriendly" states. Such transactions (operations) include:
1. transactions on granting loans and credits (in rubles) to foreign persons associated with "unfriendly" foreign states, except for cases where such granting is prohibited in accordance with Russian legal regulations;
2. transactions resulting in title to securities and real estate made with:
• persons of unfriendly foreign states;
• persons of "friendly" foreign states who acquired securities and real estate after February 22, 2022 from foreign persons associated with "unfriendly" foreign states.
If the parties to the above transactions are government agencies or the Central Bank of Russia, the procedure is not applied.
It is noted in the letter that the introduced special procedure does not apply to the relations of succession complicated by a foreign element, transactions on alienation of shares in the authorized capital of the LLC, as well as cases of issuance of powers of attorney providing for powers to carry out transactions (operations) for which the permission of the Government Commission is required.

16/03/2022

The Bank of Russia will launch anti-crisis programs of preferential lending to SMEs

The Bank of Russia, together with the Government of the Russian Federation, has developed anti-crisis programs for preferential lending to SMEs – they will provide businesses with the opportunity to obtain revolving loans for up to one year and investment loans for up to three years. It is reported that the revolving credit program will allow small businesses to purchase a preferential loan (or refinance previously received) at a rate not higher than 15% per annum, and medium-sized enterprises not higher than 13.5%. The volume of lending will amount to 340 billion rubles. The program is valid until December 30 (Information message of the Bank of Russia dated March 5, 2022 "The Bank of Russia together with the Government launches anti-crisis programs of preferential lending to SMEs").
Investment loans will be provided under an expanded program to stimulate lending to SMEs, which the Bank of Russia is implementing jointly with the SME Corporation. The rates on it will also not exceed 15% for small and 13.5% for medium-sized enterprises. The program limit will increase by 160 billion rubles and reach 335 billion rubles.

16/03/2022

A temporary procedure for fulfilling obligations to certain foreign creditors has been approved

Vladimir Putin signed a decree dated March 5, 2022 "On the temporary procedure for fulfilling obligations to certain foreign creditors" – in accordance with it, Russian citizens and companies, the state itself, its regions and municipalities that have foreign currency obligations to foreign creditors from the list of unfriendly countries will be able to pay them in rubles. For this purpose the debtor may ask the Russian bank to create a special ruble account "C" in the name of a foreign creditor and transfer payments to it in ruble equivalent at the exchange rate of the Bank of Russia on the day of payment. The new procedure applies to payments exceeding 10 million rubles per month (or a similar amount in foreign currency equivalent).
The Cabinet of Ministers also adopted Resolution No. 295 dated March 6, 2022, according to which all transactions and operations of Russian companies with citizens and firms from countries unfriendly to Russia will be approved by the Foreign Investment Control Commission. For example, a Russian resident company or a foreign firm from unfriendly countries should apply for a permit for the transaction. Based on the analysis of the received documents and the nature of the future agreement, a decision will be made on the approval or refusal of its implementation. In this case, a permit may be issued to conduct a transaction with an indication of the conditions for its ex*****on.

16/03/2022

Tax authorities will not initiate bankruptcy of debtors

The official website of the tax service published an announcement of the decision of the head of the Federal Tax Service of Russia Daniil Egorov to suspend the filing of bankruptcy applications by the tax authorities of debtors from March 9, 2022. This means that the tax service will not initiate bankruptcy proceedings for debtor taxpayers.
This decision was taken to reduce the threat of bankruptcy due to the introduction of restrictive measures by foreign states. According to the tax service, the priority in the work of inspections will be to facilitate debt restructuring. All legal procedures for installments and settlement agreements will be applied. Based on the results of the assessment of the solvency and risks of the debtors' financial and economic activities, with the involvement of professional associations and other creditors, decisions aimed at preserving the business will be developed.

16/03/2022

Until September 9 there will be restrictions on cash currency transactions

According to the official website of the Bank of Russia, a new procedure for withdrawal of funds from foreign currency deposits or accounts of citizens will be valid until September 9. Thus, all funds of clients in foreign currency accounts or deposits will be kept and accounted in the currency of the deposit, the customer will be able to withdraw up to $10 thousand in cash currency, while the rest in rubles at the market rate on the date of withdrawal.
During this temporary procedure, currency will be issued in US dollars regardless of the currency of the account. The conversion of other currencies into U.S. dollars will be carried out at the market rate on the day of delivery.
It is noted that citizens can continue to keep funds in foreign currency deposits or accounts. All funds are kept and accounted for in the currency in which the account or deposit was opened. The terms and conditions of the deposit or account will not change, and interest on deposits will be accrued as usual, in the currency in which the deposit was opened. Also, Russians will continue to be able to open new foreign currency accounts and deposits, and to withdraw funds from them, while the temporary procedure of cash currency transactions is in force, will be possible in rubles at the market rate on the date of issue.
At the same time, banks will not sell cash currency to citizens for the duration of the temporary order. Cash currency can be exchanged for rubles at any time and in any amount.

28/07/2021

To minimize risks and protect the interests of customers, banks automatically check transactions for compliance with the law. See to video what you can do in such a situation and how not to bring the matter to the blocking of the account under the anti-money laundering law.

A Russian bank refused to process the payment. What should I do?To minimize risks and protect the interests of customers, banks automatically check transacti...

24/03/2021

Let us present you the most common cases how a foreign person can start business in Russia.

Russian company (subsidiary). You need to register a company in Russia for the following activities:
• buy or sell goods/services within Russia;
• to do export operations where products physically cross the border of the Russian Federation;
• to do export operations of services that are physically provided on the territory of the Russian Federation;
• to do import operations where goods physically enter the territory of the Russian Federation;
• to do export/import operations that take place outside Russia - where payments arrive to a Russian company from international clients and a Russian company pays to international suppliers. The actual movement of goods must happen - no fake contracts, no fake activity.

Being a director or a foreign employee of another position in a Russian company you may obtain a permission to work and live in Russia on a legal basis for you and your family members.

It is not recommended to use the Russian company for "transit payments" - payments that have the only purpose to move capital out of Russia without being accompanied by a real movement of goods.

Let us present you the most common cases how a foreign person can start business in Russia.Russian company (subsidiary). You need to register a company in Ru...

14/03/2021

After registration by the tax authority of the LLC, as a rule, the following documents are issued:
– Certificate of registration with the tax authority (INN/KPP).
– Charter certified by the tax authority.
– Record sheet in the Unified State Register of Legal Entities certified by the tax authority.
– Certified application for the transition to the simplified tax system (in the case of choosing the simplified tax system).

In addition, each client of the Vita Liberta company, upon registration of an LLC, is provided with:
– Document folder.
– Statistics codes from Mosgorstat.
– Decision on the appointment of the first director.
– Decision on the appointment of the accountant.
– The decision of the sole founder (if the company has one participant).
– Minutes No. 1 of the General Meeting of Founders (in case of registration with two or more participants).
– Agreement on the establishment of the Company (in case of registration with two or more members).
– List of participants.
– The assigned registration numbers from the PFR and FSS funds.
– Details of a bank account.
– Information on reporting deadlines for LLC.

After registration by the tax authority of the LLC, as a rule, the following documents are issued:– Certificate of registration with the tax authority (INN/K...

03/03/2021

Russia a good place for international business.
A foreign company may open a bank account in Russia for foreign and domestic operations:
- to receive payments in any convertible currency such as RUR, USD, EURO, YEN, CNY, Pounds or other from non-resident and local companies;
- to make international payments around the world in any convertible currency such as USD, EURO, YEN, CNY, Pounds and others;
- to purchase and sale any convertible currency just in seconds and in any amount;
- to keep funds in a save bank (in Russia there are banks that are included in the top 30 and top 100 banks of the world) and get some interest on your savings;
- to have a corporate bank card and pay some business expenses around the world;
- to have online banking and operate your account from any place in the world (etoken device and/or mobile online banking).

Russia a good place for international business. A foreign company may open a bank account in Russia for foreign and domestic operations:- to receive payments...

12/02/2021

What is the Business registration procedure in Russia in 2021:
Step 1. Choose the method of registration of LLC or other form of legal entity
Step 2. Come up with a name for your organization
Step 3. Decide on the legal address of an LLC or other form of legal entity
Step 4. Select activity codes according to OKVED
Step 5. Determine the size of the authorized capital of the LLC or other form of legal entity
Step 6. Prepare the necessary documents to create an LLC or other form of legal entity
Step 7. Fill out the application Р11001
Step 8. Pay the state fee
Step 9. Choose a taxation system
Step 10. Collect the package of documents and submit it to the registration authority

Business registration in Russia in 2021:Step 1. Choose the method of registration of LLC or other form of legal entityStep 2. Come up with a name for your or...