Is has been confirmed that transport tax (1% of the payroll cost) must be paid by foreign legal entities. The payroll cost of foreign employees working in Russia must be included, but this does not apparently relate to seconded staff working in a Russian legal entity, i.e. staff no employed directly by the company for which they work. Tax payments must be made not later than 5 days after the filing deadline for the tax (30 days after the end of the quarter). Other payroll taxes are generally due at the moment the income is paid out to employees. If an enterprise has territorial branches or representations, transport tax is payable to each local budget where such branches are located in respect of the payroll of the employees working in these locations.
The new order applies to the whole of 1996. If companies have accounted for and paid transport tax on a different basis before the letter was officially published, no financial sanctions will be imposed. What is included within the term payroll fund for these purposes is explained in Instruction No. 89 of the State Statistics Committee. Significant salary components which are not subject to transport tax are business trip expenses in excess of the limits, medical insurance payments and cost of medical treatment and material aid and sums paid for 'improvement of living conditions'.
Letter of the State Tax Service of 1 August 1996 No. VZ-4-07/54n
For further information contact Bauke van der Meer on tel: +7 503 232 5511 fax: +7 503 232 5522 or e-mail directly: Click Contact Link or enter a text search 'Coopers & Lybrand' and 'Business Monitor'
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.
To print this article, all you need is to be registered on Mondaq.com.
Click to Login as an existing user or Register so you can print this article.
In a judgment harking back to the principles in Donoghue v Stevenson, the Court of Appeal has upheld the High Court's decision that the manufacturer of a defective product installed to prevent fire was not liable...
Once the government notifies the European Council that the UK has decided to leave the EU, the two-year period for the negotiation for exit under Article 50 of the Treaty of the European Union will start.
A year-long arbitration pilot scheme to provide a cost-effective, straightforward and quick method of solving legal disputes between claimants and participating members of the press commenced on the 26th July 2016.
Some comments from our readers… “The articles are extremely timely and highly applicable” “I often find critical information not available elsewhere” “As in-house counsel, Mondaq’s service is of great value”
Register for Access and our Free Biweekly Alert for
This service is completely free. Access 250,000 archived articles from 100+ countries and get a personalised email twice a week covering developments (and yes, our lawyers like to think you’ve read our Disclaimer).