At the end of October 2018, the Constitutional Court of the Russian Federation rendered ruling, which cleared up the uncertainty around the calculation and payment of compensation for unused leave.

We would like to remind you that notices of salary payment to highly qualified specialists for the third quarter of 2018 must be submitted to the local office of the Ministry of Internal Affairs dealing with migration matters no later than October 31, 2018.

On October 03, 2018, the President of Russia signed a law amending the Criminal Code by adding a new article (Article 1441) on liability for unfair dismissal and refusal to hire people on grounds of their pre-pension age.

The third transfer pricing case has not been long in coming[1], and it is the transactions of PAO Toliattiazot (further “TOAZ”) for supply of ammonia to a Swiss trader Nitrochem Distribution AG (further “Nitrochem”) that were scrutinized by tax authorities this time.

Amendments to Federal Law N 115-FZ dated July 25, 2002 On the Legal Status of Foreign Nationals in the Russian Federation will enter into force on January 16, 2019.

Draft amendments to Federal Law On Foreign Investments in Business Entities of Strategic Importance for National Defense and State Security were published on September 10, 2018 on the website used for official publication of draft regulations. The proposed amendments will affect those Russian nationals who control strategic enterprises and plan to apply for or are in process of obtaining another/second citizenship.

Forte Tax & Law  would like to remind Russian companies that are part of international holdings that the deadline for submitting notices of participation in multinational groups of companies is coming up soon.

The Federation Council completed its spring session on July 28, 2018 as expected by approving a number of important and widely debated tax bills. We have briefly reviewed below the changes approved by the Federation Council that are, in our opinion, the most important.

We reported earlier on that major changes were due to be made soon to the procedure for migration registration. The new changes essentially provide that it will be possible to register foreign nationals working on Russia only with the address at which they live (rather than the address of their employer’s office as previously).

In the third reading, the State Duma adopted amendments to Federal Law On Migration Registration of Foreign Nationals and Stateless Persons in the Russian Federation. These changes will affect all foreign nationals temporarily staying in Russia, including those employed and working under employment contracts as well as highly qualified specialists.