Currency regulation and currency control

Optimised international payments in the conditions of sanctions and currency restrictions Lawyers of our practice have provided advice to a strategic consulting company. The project included optimising international payments in the conditions of sanctions and the introduction of counter-sanctions currency restrictions.

Analysed risks and assessed proposed business models Lawyers of the practice have provided advice to an investment company which was planning to keep for investors from Russia access to the international capital market despite sanctions. 

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.

Currency transactions during the World Cup Identified the special status of the World Cup’s Organising Committee. Drafted amendments to Russian currency legislation that are aimed at entirely lifting the restrictions on the movement of currency at the time of the World Cup, as well as cancelling existing procedures allowing credit organisations to control currency transactions. Developed and amended special state regulation procedures with regard to the sale of alcohol.

Risks associated with producing goods from Chinese raw materials Further to instructions from a Russian light industry company, we analysed potential customs and currency risks associated with producing goods from Chinese raw materials in Ukraine on the give-and-take basis (i.e. goods were produced from the client’s raw materials). We also drafted an opinion regarding the criteria showing whether the goods produced in Ukraine have been sufficiently processed and whether this scheme allowed for the customs benefits to be applied when finished products are imported into Russia.

Advising of a large Chinese telecommunication company On behalf of a large Chinese telecommunication company analysed registration and drafted comments on the anti-corruption legislation, audited different companies, assessed currency risks and management risks (the risk that the manager will be held liable under administrative legislation). 

Recommendations for a publicly funded institution At the request of the Moscow State Institute of International Relations under the Russian Ministry of Foreign Affairs, we prepared recommendation on ensuring compliance with currency regulation and currency control requirements with regard to specifics of the legal position of a publicly funded institution whose funds are recorded in the Federal Treasury’s accounts.

Sale of shares of offshore companies Analysing currency legislation to identify potential risks inherent in the sale of shares of offshore companies acquired under old foreign currency legislation and tax risks for the income in the form of dividends and the income from the sale of shares.

Hedging transactions On behalf of a major American manufacturer of skincare products we performed an integrated assessment of the model for current relationships under which it undertook hedging transactions. We advised on accounting and tax accounting for transactions hedging against currency risks.

An opinion on the task risks of hedging transactions For a company in the petrochemical industry, we prepared an opinion on the task risks of hedging transactions. We developed recommendations from a standpoint of systematically approaching such operations under Russian Accounting Standards, IFRS and the requirements of the Russian Tax Code.