TAX NEWS - 2010

Russian Tax News

Amendments to the law on protecting competition

The Federal Antimonopoly Service has reportedly published a draft of amendments on its official website to the Federal Law "On protecting competition". The document differentiates the concepts of "cartels" and "coordinated actions aimed at limiting competition", while stating that such "coordinated actions" will not to be subject to criminal liabilities. The draft also proposes extending the list of cases where the price may not be recognized as being monopolistically high, and cancels the obligation to notify the agreements on financial market.


Compensation of expenses on pre-trial contesting wrongful decisions

The Russian Federation Supreme Arbitration Court Presidium has reportedly issued a decision, according to which state authorities are not obliged to compensate companies for their expenses associated with pre-trial contesting wrongful decisions handed down by the authorities in question.


Cessation of Russian Federation Central Bank direct repo operations involving corporate bonds in the MICEX trading system

The Bank of Russia is reportedly aiming to cease all Russian Federation Central Bank direct repo operations involving corporate bonds within the MICEX trading system from 1 October 2010. Thereafter, it will only be possible to carry out these transactions on the MICEX stock exchange.


Reducing the attractiveness of foreign currency loans from a tax standpoint

The Russian Federation State Duma is reportedly aiming to accept amendments to the Russian Federation Tax Code, according to which the maximum amount of interest on foreign currency loans that can be recognized as deductible expense for profits tax purposes, will be reduced, during the period 2011-2012, to 0.8 of the Russian Federation Central Bank refinancing rate. At the same time, in order to increase their attractiveness, the deductibility limits for ruble-denominated loans will be increased to 1.8 of the Russian Federation Central Bank refinancing rate.


Official publication of documents

The following regulatory acts have been officially published:

- Federal Alcoholic Beverages Market Regulation Agency Order No. 40n of 17 June 2010 "On establishing and introducing a minimal price for ethylated spirits produced from foodstuffs within Russian Federation territory from 1 August 2010"

- Russian Federation Ministry of Industry and Trade Order No. 440 of 26 May 2010 "On making changes to the list of cars, produced in Russia and bought on credit by individuals in 2009 and 2010, for which credit organizations will be compensated to offset any resulting shortfall in income, with compensation based on two thirds of the Russian Federation Central Bank refinancing rate"

- Russian Federation Ministry for Healthcare and Social Development Order No. 428n of 8 June 2010 "On the approval of clarifications on the provision of obligatory social insurance, in the event of temporary disability or maternity affecting company heads who are a company's sole participant, company members or owners of a company's property".