The third stage of the "Offshore amnestey": the requirements for redomiciliation of foreign companies to Russia Pepeliaev Group advises that the State Duma has adopted a set of laws extending until 29 February 2020 the period of the voluntary reporting of individual types of activity and accounts in foreign banks.

The Multilateral Tax Convention has been ratified Pepeliaev Group advises that the Multilateral Convention to Implement Tax Treaty Related Measures to Prevent Base Erosion and Profit Shifting (“MLI”) has been ratified.

Criteria have been approved that, when met, allow funds of the participants in shared-equity construction to be raised without escrow accounts being used Law firm Pepeliaev Group advises that on 1 May 2019, the Russian Government’s Resolution No. 480 dated 22 April 2019 comes into effect. Resolution No. 480 establishes criteria which, when met, allow a developer to raise funds from the participants in shared-equity construction without escrow accounts being used.

The third stage of the “Offshore amnesty” will require that foreign companies be redomiciled to Russia and funds be repatriated from foreign accounts The Russian Government has put before the State Duma draft laws prolonging the period when persons can voluntarily report certain types of assets, as well as accounts in foreign banks (the so-called “offshore amnesty”) until 29 February 2020. Yet, the application of the new (third) stage of voluntary reporting will be subject to rather stringent conditions.

A law has been adopted that prohibits the provision of hotel services in residential premises of apartment buildings from 1 October 2019 On 1 October 2019 the amendments to the Russian Housing Code will come into force. These amendments have been made pursuant to Federal Law No. 59-FZ dated 15 April 2019 , which prohibits the use of residential premises in an apartment building for the provision of hotel services.

Rules for developing technological standards are approved

Pepeliaev Group advises that on 15 April 2019 the Rules for developing technological standards relating to emissions/discharges of pollutants take effect. They are approved by the Russian Government's Resolution No. 89 dated 14 February 2019.

Requirements have been approved for creating a system of automatic control of emissions/discharges of pollutants

Pepeliaev Group advises that in March 2019 the Russian Government has adopted a number of regulatory instruments setting the requirements for creating a system of automatic control and requirements for equipment and for technical tools to measure, record, document and transfer the information about emissions/discharges. 

Escrow: new developments in the area of escrow of paperless securities Law Firm Pepeliaev Group advises that rules for escrow of paperless securities have been clarified.

New regulation of digital rights

Pepeliaev Group advises that a draft law has been adopted in the third reading, which amends the Russian Civil Code in the sphere of digital rights.

New Rules For The Regulator’s Audits In The Area Of Personal Data

Pepeliaev Group advises that an updated procedure for audits with respect to compliance with personal data legislation has come into force.

Court practice regarding advertising and markerting expenses within intra-group relations

Pepeliaev Group advises you about the court practice regarding advertising and marketing expenses which a taxpayer that is a manufacturer of goods has incurred within intra-group relations. The position of the court regarding this case may apply to other similar disputes.

Electronic services

Starting from 1 January 2019, the rule of Law No. 244-FZ dated 3 July 2016 came into effect. Under this rule, foreign companies providing electronic services to individuals and legal entities in Russia will themselves have to calculate and pay VAT on the value of the services provided.