Monitoring of the Federal Legislation dated 4.11.2003

Ruling of the Constitutional Court of the Russian Federation No. 316-O of July 10, 2003 on the Appeal of Citizen I.N.Ivanova against Violation of Her Constitutional Rights by Item 2 of Article 119 of the Tax Code of the Russian Federation

According to the challenged norm, the failure to present the tax declaration to the tax body by the taxpayer within more than 180 days of the expiry of the time limit for submission of such declaration specified in the tax legislation implies a fine in the amount of 30% of the sum of the tax due under this declaration and 10% of the sum of the tax for each complete or incomplete month beginning with the 181st day.
The Constitutional Court of the Russian Federation explained that the tax declarations (not forming part of the list of obligatory elements of taxation) are presented to the tax body for those taxes that must be paid by the taxpayers if such duty is envisaged in the legislation on taxes and fees. The responsibility for the failure to present the tax declaration may not occur if the appropriate duty is not envisaged in the legislation on taxes and fees. The Law of October 18, 1991 on the highway funds in the Russian Federation invalidated from January 1, 2001 did not specify either the duty of the taxpayers to submit to the tax bodies the declarations (estimates for the given tax) or the time limits for their submission. This duty of the taxpayers was envisaged in the agency act - Instruction of the Ministry of Taxation of Russia No. 59 of April 4, 2000.
The challenged norm of Item 2 of Article 119 of the Tax Code of the Russian Federation does not contain a substantiation to call the taxpayer to account for the failure to present the tax declaration if the appropriate duty is envisaged in the agency legal acts.

Order of the Ministry of Taxation of the Russian Federation No. BG-3-24/545 of October 17, 2003 on the Endorsement of the Rules of Writing off in 2003 of the Restructured Debt of Credit Organisations to the Federal Budget in Penalties and Fines

Specifies the procedure of writing off of the restructured debt of credit organisations as independent taxpayers to the federal budget in penalties and fines, as well as the debt in taxes and fees of their clients under conciliation agreements concluded between credit organisations and their creditors.
The debt is to be written off under the condition of the early redemption of the restructured debt in taxes and fees and full and timely transfer of the current tax payments by the credit organisation.
If the credit organisation redeems half of the debt within 2 years after the conciliation agreement, as well as if the current tax payments are transferred in full and in due time, the amount of the restructured debt is written off in half. In case of full redemption of the debt within 4 years after the conciliation agreement, the whole of the restructured debt in penalties and fines is written off.
The Order provides the form of the application for the writing off of the restructured debt.

Letter of the Ministry of Taxation of the Russian Federation No. FS-6-09/1097@ of October 22, 2002 on the Procedure of Submission of Information on the State Registration of Legal Entities

Information on the state registration of legal entities must be presented to the territorial bodies of the Federal Commission for Securities Market of Russia. The type of the medium may be defined by the agreement of the bodies involved.
The departments of the Ministry of Taxation of Russia for the subjects of the Russian Federation are recommended to coordinate the procedure of submission of information of the Uniform State Register of Legal Entities with the regional divisions of the Federal Commission for Securities Market of Russia in the federal districts of Russia taking into account the time, structure and formats of information handed over on electronic medium.

Letter of the Ministry of Taxation of the Russian Federation No. NA-6-21/1071 of October 15, 2003 on the Tax on Extraction of Mineral Resources

When selling mineral water (including the bottled one), estimation of its cost for the purpose of determination of the taxable base is carried out proceeding from the selling prices without VAT and excise duty tax less the amount of taxpayer delivery expenses depending the supply conditions.
If the selling prices are different for the produced mineral water, the estimate of the cost of the unit of produced mineral water is carried out as a ratio of the receipts from the sale of produced mineral water to the quantity of the produced and sold mineral water.
Production of mineral waters used for medicinal purposes and for resorts only without their direct sale (including after treatment, preparation, processing and bottling) is subject to the zero tax rate.