Provided advice on currency legislation including tax, customs and regulatory aspects

The foreign currency regulation practice has provided advice to an international manufacturer of medicines in connection with the expected restructuring of its business and planned intra-group payments. The client wanted to pay for products it purchased and receive payments for services, offsetting where necessary homogeneous counterclaims without violating Russian currency legislation. The advice on currency legislation was provided with tax, customs and regulatory aspects being taken into account.

Our lawyers have analysed several models of the organisation of intra-group payments from the standpoint of currency regulation rules, including the possibility of rules being restored concerning the repatriation and mandatory sale of currency proceeds. As a result, the client has been offered an optimal model, taking into account different currency, tax and customs aspects and instructed about risks of non-optimal models. This has enabled it to avoid legal mistakes when restructuring its business.