Restrictions and measures of state support for business: the digest for 15-28 April 2024

DRAFTS

Fines can be increased for non-compliance with the notification procedure relating to entrepreneurial activity

The draft federal law

Public discussions are now taking place.

Amendments to article 19.7.5-1 of the Russian Code of Administrative Offences are expected to stiffen the penalty for non-compliance with the notification procedure relating to certain types of entrepreneurial activity.

Thus, a company will face a fine of RUB 24,000 to RUB 48,000 for doing business without submitting a notification. A similar fine has been provided for when a notification has been submitted but contains inaccurate information. A failure to report any changes will also entail a fine.

The procedure for drafting legal instruments on how to determine a sole supplier may be adjusted

The Russian President’s draft ruling

Public discussions are now taking place.

Starting from 1 July 2024, Federal Law No. 658-FZ dated 25 December 2023 comes into effect. This Law provides for new article 17.1 of Federal Law No. 488 dated 31 December 2014 on creating the register of Russian industrial products.

In view of this, a proposal has been made to amend the procedure for drafting legal instruments and instructions of the Russian President, as well as legal instruments of the Russian Government on determining a sole supplier (the Russian President’s Ruling No. 558 dated 14 September 2020).

It is provided that the Government’s expert opinion submitted in response to the proposal to determine a sole supplier is drawn up, among other things, based on the Ministry of Industry and Trade’s report on whether or not the goods are included in the register of Russian industrial products that is placed in the National Information System for Industry (NISI) pursuant to article 17.1 of Federal Law No. 488-FZ dated 31 December 2014.

The rules will be updated for issuing permissions to export individual types of industrial products from Russia

The draft ruling of the Russian Ministry of Industry and Trade

Public discussions are now taking place.

The procedure has been developed for the Ministry of Industry and Trade to issue permissions to export individual types of industrial products outside of Russia (Annex No. 3 to the Russian Government’s Decree No. 312 dated 9 March 2022).

Specifically, the list of documents has been established which are required for obtaining an export permission, the grounds for refusing to issue such permission, the procedure for having the permission formalised and so on.

The new ruling is anticipated to remain in effect until 31 December 2025.

Ruling No. 5117 of the Russian Ministry of Industry and Trade dated 25 December 2023, which contains similar regulation, will be repealed.