Overview of tax events for October 2021

Regulatory Developments

The Russian Ministry of Finance has proposed that the payment of VAT be simplified when cross-border services are provided: by default, any services should be taxed in the country of the buyer.

In a venue provided by the Russian Union of Industrialists and Entrepreneurs, Russian businesses will discuss with the Ministry of Finance and the Federal Tax Service the development of Russia’s position in connection with the initiatives of the OECD to implement, starting from 2023, mechanisms of taxing transnational corporations.

The International Medical Device Manufacturers Association (IMEDA) has applied to the Russian Government with a request to prevent the increase of VAT on the products they manufacture.

It is proposed that brokers and depositories operating in Russia be assigned the functions of tax agents for private investors with respect to dividends on foreign shares.

Russian and Swiss authorities will discuss amendments to the double tax treaty at the meeting of the intergovernmental commission on trade and economic cooperation between the two countries in November. This has been reported by the Russian Minister of Finance Anton Siluanov.

Practice

The Russian Federal Tax Service has instructed its inspectorates to discontinue the collection of previously imposed fines for failures to return currency proceeds.

The Russian Federal Tax Service is inviting public organisations to participate in a project for the “cleaning up” of the catering industry.