The Russian Tax Code (Russian: Налоговый кодекс Российской Федерации) is the primary tax law for the Russian Federation. The Code was created, adopted and implemented in three stages.
The first part, enacted July 31, 1998, also referred to as the General Part, regulates relationships among taxpayers, tax agents, tax-collecting authorities and legislators, tax audit procedures, resolution of disputes, and enforcement of law.
The second part, enacted on August 5, 2000, defines specific taxes, rates, payment schedules, and detailed procedures for tax calculations. It was significantly amended in 2001–2003 with additions like the new corporate profits tax section and the new simplified tax system for small business. The Code is subject to regular changes which are effected through federal laws.
The Code is designed as a complete national system for federal, regional and local taxes but excludes customs tariffs. Rules and rates of regional and local taxation must conform to the framework established by the Code. Taxes or levies not listed explicitly by the Code or enacted in violation of its specific provisions are deemed illegal and void.
The Russian tax system tends to use moderate flat or regressive tax rates. It is highly centralized for a federal state and relies heavily on proceeds from oil and natural gas corporations. In 2006 the tax burden on oil companies exceeded 45 percent of net sales (compared to 12 percent in construction and 16.5 percent in telecommunications). Rates for oil-related taxes and tariffs, unlike regular taxes, are set not by the Tax Code but by government decree. The Russian Ministry of Finance estimates that revenues regulated by the Tax Code will account for 68 percent of federal revenue in 2008 fiscal year, rising to 73 percent in 2010.
Read more about Russian Tax Code: Federal Taxes, Regional and Local Taxes, Special Taxation Frameworks, Taxation of Foreigners and Foreign Investments, See Also, References
Famous quotes containing the words russian, tax and/or code:
“A country is strong which consists of wealthy families, every member of whom is interested in defending a common treasure; it is weak when composed of scattered individuals, to whom it matters little whether they obey seven or one, a Russian or a Corsican, so long as each keeps his own plot of land, blind in their wretched egotism, to the fact that the day is coming when this too will be torn from them.”
—Honoré De Balzac (1799–1850)
“But the tax collector, standing far off, would not even look up to heaven, but was beating his breast and saying, ‘God, be merciful to me, a sinner!’”
—Bible: New Testament, Luke 18:13.
“Hollywood keeps before its child audiences a string of glorified young heroes, everyone of whom is an unhesitating and violent Anarchist. His one answer to everything that annoys him or disparages his country or his parents or his young lady or his personal code of manly conduct is to give the offender a “sock” in the jaw.... My observation leads me to believe that it is not the virtuous people who are good at socking jaws.”
—George Bernard Shaw (1856–1950)