Our International Assignment Services (IAS) practice offers tax support to employees of Russian and global clients for almost 30 years. We apply a x-LoS approach to the tax support based on the collaboration between the legal and tax practice. Our engagements covered all stages of employee foreign secondments, from secondment planning, calculation of tax burden on compensation to the hire and remuneration structure selection as well as preparation of employee individual tax returns during their employment in Russia and other jurisdictions.
Profound understanding of employee hiring and staff secondment to Russia
Tax compliance and support for physical persons
Providing tax advice to employees coming to/leaving Russia
Providing access to the Taxpayer Personal Account online service
Preparing and filing personal income tax (PIT) returns with the tax authorities
Preparing tax payment guides and verifying the correctness of payment allocation
Checking for tax and other notifications issued by the tax authorities for physical persons
Preparing responses to requests from the tax authorities
Communicating with the tax authorities on various tax deductions, offsets of taxes paid in foreign jurisdictions or tax refunds
Analysing the historical tax position to support the fulfilment of the taxpayer’s obligation to accrue and pay tax liabilities in full
Reconciliation of payments with the tax authorities
Obtaining a tax clearance certificate to confirm the absence of taxes in arrears payable by the taxpayer to the tax authorities
Obtaining a tax residency certificate confirming that the person is a Russian tax resident
Engaging with the tax authorities on matters related to the transport tax, property tax and land tax
Assisting in notifying the tax authorities of opening/changing details/closing of accounts with foreign banks and other financial market organisations, preparing and filing annual foreign account cash flow statement/report on changes in the value of assets held on foreign accounts
Assisting in notifying the Ministry of Internal Affairs of dual citizenship, residence permits or any other documents granting the right to permanent residence outside Russia
Preparing notifications of participation in foreign companies/structures
International tax planning for employers and employees
Providing tax compliance upon request (consulting services)
Employment and immigration law
Legal support of employee secondment in and outside Russia and employee hiring process structuring
Obtaining work permits
Registration for migration control purposes
Support in communications with Russian migration authorities
Corporate taxation
Analysing the permanent establishment (PE) risk which may arise for a foreign entity when its employees work in Russia based on a foreign employment agreement
Analysing the deductibility of staff compensation costs from the income tax base
Analysing the deductibility of staff costs allocated by a foreign company to a Russian entity in terms of CIT
Providing advice on corporate tax matters
Currency law
Conducting legal analysis of Russian currency control and countersanctions laws and regulations, restrictions and bans on depositing earnings received by physical persons in foreign accounts