The Federal Tax Service of the Russian Federation has updated the notification form on controlled foreign companies, as well as the procedure for filling it out and the format for submitting it in electronic form.
The possibility has been introduced for the transfer of individual taxpayers who are controlling persons of controlled foreign companies to the payment of personal income tax from the fixed income of controlled foreign companies. In the event of a transition to a similar procedure for paying tax or refusal from it, taxpayers must indicate the dates of submission of the relevant notifications in the document on controlled foreign companies.
The notification establishes the possibility not to indicate the date of drawing up the financial statements of the organization for the financial year in accordance with its personal law, the date of drawing up the auditor's report on such statements and a description of the grounds for exemption of the profits of a controlled foreign company from taxation if the taxpayer submitted a notification of the transition to the payment of personal income tax with a fixed arrived.
Notice of controlled foreign companies is submitted by individual taxpayers no later than April 30 of the year following the tax period in which the controlling person recognizes income in the form of profit (or a loss is determined) of the controlled foreign company.
