Simplified Organizations and individual Taxation entrepreneurs who have switched to the simplified taxation system. System The following organizations Article 26.2 are not entitled to switch to of the Tax the simplified taxation system Code of the (as in force since 01.01.2006): RF — organizations which have branches and/or representations; banks; insurers; non-governmental pension funds; investment funds; professional players on stock market; pawn offices; organizations and individual entrepreneurs which manufacture excisable goods, extract and sell mineral resources (except widespread mineral resources); organizations and individual entrepreneurs engaged in gambling industry; private notary publics, lawyers who have established law firms; organizations which participate in production sharing agreement; organizations and individual entrepreneurs which have switched to the unified agricultural tax; organizations with participating interest of other organizations of more than 25% (except for organizations with authorized capital consisting of contributions of not-for-profit organizations of disabled persons, if the average payroll number of disabled persons constitutes no less than 50 % and the share of wages of disabled persons in the wage fund constitutes no less than 25%; not-for-profit organizations including consumer cooperation organizations operating in compliance with the Law of the RF No. 3085-I of June 19, 1992 "On consumer cooperation (consumer societies, their unions) in the RF"; and economic societies established by consumer societies and their unions and operating in compliance with the above law); - organizations and individual entrepreneurs with the average number of employees for the tax (reporting) period defined in compliance with the procedure set by federal executive body authorized in statistics exceeds 100; organizations with depreciated cost of fixed assets and intangible assets defined in compliance with the accounting laws of the RF exceeds RUR 100,000,00. Capital assets and intangible assets subject to amortization and recognized as amortizable assets in
Terms of Application The organization has the right to transfer to the simplified taxation system if according to the results of nine months of the year when the organization submits the application for transfer to the simplified taxation system the income evaluated according to Art. 248 of the Taxation Code of the Russian Federation has not exceeded 15 million roubles. The specified maximum size of income of the organization, limiting the right of the organization to transfer to the simplified taxation system is to be indexed regarding the deflating coefficient annually established for each next calendar year and considering the changes in consumer prices of goods (works, services) in the Russian Federation during the previous calendar year, and also regarding the deflating coefficients applied earlier. The deflating coefficient for 2008 is 1.34 (The Order of Mineconomrazvitiye of the Russian Federation of 03/11/2006 No. 360). The order and conditions of the beginning and the termination of the application of the simplified taxation system are the following: Organizations and individual enterprisers expressing the desire to transfer to the simplified taxation system submit the application to the taxation body of the place of their location (residence) during the period 1 October – 30 November of the year previous to the year since which the tax bearers transfer to the simplified taxation system. In the letter to the Federal Tax Service of Russia of 22.06.2006 No. 02-6-10/34 as an answer to the request of Administration of Federal Tax Service of Russia in St.Petersburg of 12.04.2006 it is stated that taxpayers are entitled to provide application about the transfer to the simplified taxation together with the documents for registration of newly grounded organization or new individual entrepreneur. Moreover, the organizations in their application for transfer to the simplified taxation system indicate the size of income during nine months of the current year, and also the average number of employees during the indicated period and the residual cost of the basic means and non-material actives according to the state on 1 October of the current year. A newly created organization and a newly registered individual enterpriser have the right to submit the application for the transfer to the simplified taxation system within a five-day term since the date of registration in the taxation body, indicated in the certificate of registration in the taxation body. In this case the organization and the individual businessman have the right to apply the simplified taxation system since the date of their registration in the taxation body, indicated in the certificate of registration in the taxation body. The amount of maximum of taxpayers revenue limiting his right for simplified taxation is subject to indexation in the order specified in the paragraph 2 Chapter 346.12 of the Tax Code of the RF. Organizations and individual enterprisers which according to statutory acts of authorized bodies of municipal areas and city districts, laws of the cities of federal value of Moscow and St. Petersburg about the taxation the form of the unified tax on the made income by the end of the current year stopped to be tax bearers of the unified tax on the made income, have the right to transfer to the simplified taxation system since the
Tax Base Rates: 1. Money income; 6% if 2. Money incometaxable item reduced by is income. expenses. 15% if Tax Periodtaxable item Calendar year. is income reduced by Reporting expenses. Period The first quarter, six and nine months of a calendar year. Terms of Payment Tax and advance payments are made at the location of organization (place of residence of individual entrepreneur). Tax payable at the end of tax period is payed not later than the date determined for submition of the tax declaration for the correspondant tax period: taxpayersorganization s pay not later than March, 31 of the year next to the lapsed tax period; taxpayersindividual entrepreneur s – not later than April, 30 of the year next to the lapsed tax peroid. Advance payments are payed by the taxpayers not later than the date determined for the tax declaration submission for the corresponding tax period – 25 calendar days from the last day of the reporting
Published on Jul 6, 2010
Published on Jul 6, 2010
1. STATE AND MUNICIPAL AUTHORITIES IN ST. PETERSBURG In St. Petersburg the system of state authorities was formed which has statutory object...