Frequently asked questions

1. Are Double Tax Treaties applied in Russia?

Yes, but not automatic and require submission of documents supporting conditions provided in the relevant Treaties.

2. What are general taxes payable by a company, branch or RO? What is the tax reporting schedule?

please see Russian Financial and Tax Compliance Table


Individual Income Tax

3. How days for Russian tax residence are calculated?

Days are calculated by customs stamps in your passport. Days of arrival and departure are counted as one day.

4. Is Russian Individual Income tax declaration submitted under all circumstances?

No, only in cases when tax from income taxable in Russia has not been withheld in full, or the individual wishes to get the tax exemptions.

Social Security Tax

5. Is there employee social security tax in Russia?

No.

6. Will Russian social security taxes paid in respect of foreign national employees be refunded upon the individual leaves Russia?

No.

7. May the individual receive pension benefits in Russia?

No.

8. Does Russia have social security agreements with other countries?

None workable.

VAT

9. Is there special VAT registration?

No. There is general tax registration.

Corporate Income Tax

10. May a company deduct all expenses incurred?

No, all expenses should be documented and economically justified. There is a list of non-deductible expenses.

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