Monitoring of the Federal Legislation dated 18.12.2003

Order of the Ministry of Taxation of the Russian Federation No. BG-3-24/633 of November 18, 2003 on the Endorsement of the Form of the Estimate (Declaration) for the Tax on Operations with Securities and Its Filling Procedure

Endorses the new from of the estimate (declaration) for the tax on operations with securities and its filing procedure.
Registered in the Ministry of Justice of the Russian Federation on December 11, 2003. Reg. No. 5328.

Letter of the Department of Taxation Policy of the Ministry of Finance of the Russian Federation No. 04-03-11/100 of December 4, 2003 on the Registration of the Value Added Tax

Explains the procedure of VAT registration when buying the railway tickets for business trips for cash. Since the taxpayer may not calculate interpedently the amount of this tax for the purposes of VAT exemption, in cases when the VAT amount is not indicated in the railway tickets purchased for cash, such tickets should be registered in the trip expenses at their purchasing cost. Expenses accepted for exemption when calculating the profit tax should include the full cost of the purchased railway tickets.

Letter of the Department of Taxation Policy of the Ministry of Finance of the Russian Federation No. 04-03-11/102 of December 8, 2003 on the Application of the Value Added Tax

If the record keeping policy of the VAT payer is endorsed using the moment of received payments, for commodities dispatched before January 1, 2004, with the tax rate amount being 20%, the moment of determination of the taxable base occurs on the day of receiving of the payment for the given commodities, i.e. in 2004. According to the invoice drawn up by the supplier to the buyer, the payment for the commodities will be made using the 20% VAT rate, thus making the supplier pay VAT to the budget in the amount of 20%.

Letter of the Department of Taxation Policy of the Ministry of Finance of the Russian Federation No. 04-03-11/103 of December 8, 2003 on the Application of the Value Added Tax in the Amount of 18%

For supplies of commodities subject to VAT, VAT amount of 18% applies beginning with January 1, 2004, with the tax amount transferred to the budget from advance payments for such supplies in 2003 using the 20% tax rate being offset according to the commonly accepted procedure.