The Ministry of Finance has issued Letter No. 03-03-РЗ-15941 on April 8, 2014 clarifying the application of the participation exemptions in the case where the subsidiary is subject matter to reorganization. Pursuant to general rule, for qualifying participation exemption, the parent company has to satisfy minimum 365 days holding period and not less than 50% shareholding in the company paying the dividends. Lastly, the Ministry of Finance clarified that for the objectives of application of the participation exemption, the holding period computes commences from the moment of the state registration of the new reorganized subsidiary.
Related Posts
Russia updates VAT, corporate tax rules
January 06, 2026
Russia has enacted a series of tax reforms for 2026 under Federal Law No. 425-FZ of 28 November 2025, introducing changes across VAT, corporate taxation, and digital asset regulation. The reforms took effect on 1 January 2026. The standard VAT
Read More
Russia: FTS updates jurisdictions list for automatic financial information exchange
January 05, 2026
Russia’s Federal Tax Service (FTS) has updated the list of jurisdictions that exchange financial account information under the CRS/AEOI framework. The update was made through FTS Order No. ED-7-17/883 dated 14 October 2025, registered with the
Read More
Russia, Indonesia sign free trade agreement
December 23, 2025
On 21 December 2025, during a meeting of the Supreme Eurasian Economic Council in Saint Petersburg, representatives from Russia and Indonesia signed a Free Trade Agreement (FTA). This announcement was made on 21 December 2025. The FTA provides
Read More Russia: Central bank cuts key rate by 50 bps as Inflation pressures ease
December 23, 2025
The Board of Directors of the Bank of Russia on 19 December 2025 decided to cut the key rate by 50 basis points to 16.00% per annum, citing easing underlying price pressures and the economy’s gradual return to a balanced growth path. Bank of
Read More Russia updates list of jurisdictions for automatic CbC report exchange
December 23, 2025
The Federal Tax Service (FTS) of Russia has revised the list of jurisdictions that automatically exchange Country-by-Country (CbC) tax reports. The changes were issued in Order No. ЕД-7-17/884 on 11 December 2025. The updated list now covers 60
Read More Russia: Government approves list of budget expenditures using digital ruble
December 22, 2025
Russia’s government has approved a list of budget expenditures eligible for execution with the use of the digital ruble beginning in 2025. This announcement was made on 18 December 2025. The list was developed under Federal Law No. 303-FZ of
Read More