On 14 November 2023, the Federal Tax Service (FTS) is in the process of updating its list of jurisdictions that do not meet Russia’s standards for tax information exchange. The list of countries that do not cooperate with Russia on tax matters determines whether a controlled foreign company (CFC) is eligible for a tax exemption. CFCs located in jurisdictions on this list are not eligible for the tax exemption. The new list will replace the one that was established in Order No. ED-7-17/987@ on 28 October 2022. The updated list is said to exclude Antigua and Barbuda, Cook Islands, Curacao, Ghana, Grenada, Maldives, Oman, Peru, and Vanuatu. On the other hand, Germany, Latvia, Switzerland, Ukraine, the United States, and the United Kingdom have been newly added to the list. Consequently, Controlled Foreign Companies (CFCs) in these newly added jurisdictions would no longer qualify for the exemption. The updated list is scheduled to take effect on 1 January 2024.
Related Posts
Russia introduces simplified procedure for online tax notifications
The Russian Federal Tax Service has announced that a simplified procedure for delivering tax notifications through the Unified Public Services Portal (UPSP) will take effect from 1 August 2026, under amendments introduced by Federal Law No. 425-FZ
Read MoreRussia proposes new PIT deduction for young professionals in key sectors
A draft law has been submitted to the Russian State Duma proposing the introduction of a new individual income tax deduction for young professionals working in certain fields. The proposal is set out in Draft Law No. 1292383-8, submitted on 17 July
Read More
Germany announces suspension of double taxation treaty with Russia
Germany has notified Russia that it will suspend the agreement of 29 May 1996 between the two nations for the Avoidance of Double Taxation with respect to Taxes on Income and on Capital, effective from 1 January 2027. The notification was
Read MoreRussia: State Duma approves first reading of employee incentive tax bill
Russia's State Duma has approved, in the first reading, a Ministry of Finance bill that would introduce tax incentives for administrators of employee incentive programmes by extending an existing tax exemption. This announcement was made on 7
Read More
Russia: Central Bank of Russia cuts key rate by 25 basis points
The Central Bank of Russia (CBR)’s Directors decided to cut the key rate by 25 basis points to 14.25% per annum on 19 June 2026. The CBR’s key interest rate is applied in calculating interest deductions and the interest on late payment of
Read More
Finland formally ends tax treaty with Russia from July 26
Finland will formally suspend its income tax treaty with Russia effective 1 July 2026, aligning with Russia's August 2023 decision to suspend reciprocal application. Up until now, Finland maintained the treaty unilaterally despite the lack of mutual
Read More