Tax law and tax disputes

The draft law on tax support measures for business

On 19 May 2020 a draft law on amendments to tax legislation was submitted to the State Duma. This draft law is aimed at implementing a so-called ‘third set’ of support measures for business and the public in connection with the coronavirus infection.  

Moscow authorities have approved rules for grants to owners of commercial real estate in the capital Pepeliaev Group advises that, on 13 May 2020, Resolution No. 574-PP of the Moscow Government (the Resolution) was adopted which approves the procedure for grants from the budget of the city of Moscow to owners of commercial real estate that have decreased the rent rate for tenants in the conditions of the crisis because of the COVID-19 coronavirus.

The Russian Government has approved the general approach to providing state support measures to systemic companies

The Russian Government’s Resolution No. 651 “On measures of support for systemic companies” was adopted and published on 10 May 2020 approving the Rules for selecting companies included in the lists of systemic companies of the Russian economy that are eligible to receive state support measures in 2020. 

The President’s new address: tax support measures

On 11 May the Russian President held a meeting concerning the sanitary and epidemiological situation, announcing further measures to support the population and business, and officially terminating the period of “non-working” days that had been previously introduced.

The Russian Ministry of Finance and the Russian Federal Tax Service continue to focus on issues of international taxation

Pepeliaev Group advises that: Russia has completed internal procedures necessary for beginning the use of the Multilateral Convention (MLI) with separate countries that are partners with the Russian Federation under double taxation treaties (DTTs); the Procedure of conducting mutual agreement procedures within the framework of DTTs is planned to be specified; the format for notifying participation in an international group of companies (IGC) has been changed; an opportunity has emerged to submit notifications of participation in foreign companies and unincorporated foreign structures through a personal account of the taxpayer and the ‘Nalogi FL’ mobile application.

The Federal Tax Service on the reduced rate for insurance contributions

The Russian Federal Tax Service has published Letter No. BS-4-11/7300@ dated 29 April 2020, in which it has clarified the procedure for paying reduced insurance contributions for small and medium-sized enterprises (“SMEs”).

The FTS has launched a new service for paying subsidies to small and medium-sized entreprises Pepeliaev Group advises of the new service for paying subsidies to small and medium-sized enterprises

The Russian Federal Tax Service on suspending the collection of tax debts: a new letter and new doubts

The Russian Federal Tax Service has published Letter No. ED-20-8/53@ dated 27 April 2020 according to which the suspension of measures for the collection of tax debt has been extended until 31 May 2020. 

Extension of the period of ‘non-working’ days On 28 April, the Russian President signed another Decree, the third, extending the regime of non-working days for the period from 6 May until 8 May 2020 inclusive. 

Extension of the deadline for filing accounting reports

On 7 April 2020, the Russian Ministry of Finance and the Russian Federal Tax Service issued a joint letter concerning the extension of the deadline for filing accounting reports provided for by Resolution No. 419 of the Russian Government dated 2 April 2020.  

The new resolution of the government concerning measures in support of taxpayers On 24 April 2020 the Russian Government adopted Resolution No. 570 which seriously amends Resolution No. 409 dated 2 April “On measures for ensuring the stable development of the economy” and not only to increase support measures. 

Coronavirus-related benefits in the city of Moscow