Business guide

Business guide - extracts from laws regarding foreign investors activity in Russia

Taxation in Russia

All tax related issues within the Russian Federation must comply with the Tax Code of the Russian Federation (parts 1 & 2). They must also comply with any and all related laws enacted on the federal and local levels.

System of taxes and levies in Russia:

1. Federal taxes and levies (fixed by the Russian Tax Code and subject for payment throughout the territory of the Russian Federation):
  • Value-added tax 
  • excise-duties
  • personal income tax
  • unified social tax
  • profit tax for enterprises
  • tax for mineral extraction
  • tax for water
  • levies for the use of fauna and levies for the use of aquatic biological resources
  • state fee
2. Regional taxes and levies (laid out by the federal Russian Tax Code and regional tax related laws and subject for payment in the regions):
  • corporate property tax
  • gambling tax
  • tax on transportation
3. Local taxes and dues (laid out by federal Tax Code and municipal tax regulations, subject for payment to the municipal authorities):
  • land tax
  • personal property tax
Basic taxes rates:
  • VAT - general rate makes up 18% of the retail price, on some goods - 10%
  • Corporate income tax - general rate 24% of profit
  • Property tax - 2,2% of average annual cost of fixed assets
  • Unified social tax - 26% of labor compensation fund  (invested for employees' benefit)
  • * Personal income tax - general rate 13% of personal income (employees, including)
Foreign Investments in Russia and Their Protection

   1. A Foreign investor on the territory of the Russian Federation is granted the complete and absolute protection of his rights and interests which is ensured by the Russian legislation as well as Russian international agreements.

   2. Every Foreign investor is entitled for reimbursement of losses, incurred to him as a result of any illegal actions of any the state body, local authorities or officials, who are employed by them.

   3. The Foreign investor is free to invest within the territory of the Russian Federation in any forms of projects, which are allowed by the Russian Federation legislation.

   4. The foreign investors and commercial organization with foreign investment is guaranteed a compensation in the case of nationalization or confiscation of property.

   5. In case of an unfavorable change in the legislation of Russia the foreign investor and the commercial organization with foreign investments is protected against it.

   6. The foreign investor is guaranteed due process in resolving disputes in connection with investment activity and entrepreneurial activity on the territory of the Russian Federation.

   7. A guaranteed use of profits and gains in the territory of the Russian Federation and the transfer outside its borders.

   8. The foreign investor is guaranteed the right to acquire securities of Russian commercial organizations and government notes.

   9. The foreign investor is granted rights of ownership of land plots, natural resources, building constructions and other real estate.

  10. Providing the foreign investor and commercial organization with foreign investment incentives in the payment of customs duties in their implementation of priority investment projects.
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Business guide
System of taxes and levies in Russia: Federal taxes and levies (fixed by the Russian Tax Code and subject for payment throughout the territory of the Russian Federation). Regional taxes and levies (laid out by the federal Russian Tax Code and regional tax related laws and subject for payment in the regions). Local taxes and dues (laid out by federal Tax Code and municipal tax regulations, subject for payment to the municipal authorities). Basic taxes rates.

A Foreign investor on the territory of the Russian Federation is granted the complete and absolute protection of his rights and interests which is ensured by the Russian legislation as well as Russian international agreements. Every Foreign investor is entitled for reimbursement of losses, incurred to him as a result of any illegal actions of any the state body, local authorities or officials, who are employed by them...
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CONSULTING GROUP O.S.V.
58 Nekrasova Street 

+7 (812) 275 72 38
e-mail: assistant@osv.ru
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