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Tax registration of foreign organizations. List of documents, procedure and terms of registration in the Federal Tax Service

Publication date: 07.12.2022
Despite many restrictions, the Russian market is still of great interest to foreign companies. Under Russian law, in a number of cases foreign legal entities are obliged to enter into tax accounting and to comply with obligations to assess and pay taxes. Penalties are provided for violations of the law.

In the article we will talk about the features of registration of foreign organizations in the tax authorities of the Russian Federation, talk about what documents need to be submitted to the FTS, and consider a number of other, no less important issues.

Which foreign companies should register with the FTS?

The regulation of registration for tax registration of foreign organizations is fixed in the order of the Ministry of Finance No. 293H from 28.12.2018 with changes from 31.07.2020. The document establishes a list of foreign companies that must be registered with the Federal Tax Service. The list includes:
  • 1
    separate subdivisions of foreign companies;
  • 2
    branches and representative offices of foreign legal entities regardless of accreditation;
  • 3
    diplomatic representations;
  • 4
    foreign enterprises, which operate through divisions, which belong to the residents of the Russian Federation;
  • 5
    foreign companies providing electronic and telecommunication services;
  • 6
    non-profit organizations operating in Russia.
Also, any foreign enterprise that opens an account in one of the Russian banks must register with the FTS. In this case, registration is made at the location of the financial and credit institution, and the day of registration is considered to be the date of entry of information in the USRN.

List of documents and procedure for tax registration of foreign organizations

The procedure of application for registration of foreign organizations in the tax authorities, the list and forms of documents are reflected in the order of the Federal Tax Service of Russia No. ED-7-14/376@ from 09.06.2020. It is not possible to fully consecrate all the rules of tax registration of foreign companies under one article, so let us dwell on the main points, and more detailed information you can find in the order of the FTS.

Separate divisions of foreign companies

Foreign companies that work in Russia through branches, bureau, offices and any other non-accredited forms, for registration in the FNS must provide the following documents:
  • 1
    The application of a standard model;
  • 2
    Constituent documents;
  • 3
    A Report from the USRLE;
  • 4
    The document issued by the authorized body of the foreign state, reflecting the status of the taxpayer and tax code (in the absence of the taxpayer code in the report from the USRLE);
  • 5
    The decision of the authorized body of the company on the opening of a unit on the territory of Russia;
  • 6
    The regulation on a separate subdivision;
  • 7
    A notarized power-of-attorney issued in the name of the manager.
These documents must be submitted to the Tax Inspectorate no later than thirty days from the beginning of the activities of the separate unit.

Accredited branches and representative offices

Such organizations are registered with the tax authorities on the basis of data entered in the State Register of Accredited Subsidiaries and Representative Offices. The date of registration with the Tax Inspectorate corresponds to the date of entry of information into the said register.

Diplomatic representations

Diplomatic representations are registered with the Tax Service after filing an application and providing documents that confirm their diplomatic status and/or other documents justifying their activities on the territory of Russia.

Foreign missions with resident status

A foreign enterprise that operates through a separate entity may apply for recognition as a tax resident. The application is submitted to the inspection of the Federal Tax Service in the region where the unit is present. The date of registration becomes the date of acceptance of the application, or the status of resident of the Russian Federation is assigned to the company from the beginning of the year following the year in which the application was submitted.

Please note that if an organization declares itself a tax resident of the Russian Federation, it will automatically lose the status CFC (of a controlled foreign company).

E-service providers

Regardless of who is provided with electronic and telecommunication services (individuals or legal persons), foreign organizations must register with the Federal Tax Service and pay taxes on the income from their activities. An exception is the provision of services through an intermediary. In this case, the full responsibility for the payment of taxes lies with the organization providing the mediation.

In other cases, a foreign legal entity must register with the Federal Tax Service within thirty days of entering the Russian market and submit to the Tax Service the application and report from the USRLE.

Non-profit organizations

Religious and public associations, foundations, associations, unions and other non-profit organizations must also be registered in the Fund. Registration with the Tax Service is based on the information contained in the relevant State registers and is conducted in accordance with the procedure established by Federal Law No. 7-F3 of 12 January 1996. The date of registration is considered to be the date of entry into the register.

Period of service provision

You can apply for registration at the nearest tax office, send them by mail to Russia or through the online service of the FTS. The application and the documents are examined within five days. If the application is correct and the documents are submitted in full, after this period the organization is issued a certificate confirming its registration with the tax authority.

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