Monitoring of the Federal Legislation dated 30.11.2004

Order of the Ministry of Finance of Russia No. 93N of October 25, 2004 on the Procedure of Entry into Force of the Order of the Ministry of Finance of the Russian Federation No. 72n of August 27, 2004

The Order of the Ministry of Finance of Russia No. 72n of August 27, 2004 on the endorsement of the Directions on the procedure of application of the budget classification of the Russian Federation to draw up the budgets of all levels beginning with the budgets for the year 2005 is entered into force from the day of its signing.

Letter of the Ministry of Taxation of the Russian Federation No. 33-0-13/682 of October 25, 2004 on the Use of Strict-Reporting Forms

When accepting money for the rendered photo services, the clients must get cash slips produced by cash registers or strict-reporting forms according to the endorsed forms. There are no reasons to exempt organisations and independent entrepreneurs having switched over to the uniform imputed income tax from the need to hand out cash slips or strict-reporting forms to the buyers (clients).

Letter of the Ministry of Taxation of the Russian Federation No. 33-0-13/683 of October 26, 2004 on the Use of Cash Registers

Lawyer organisations (including the lawyer reception offices) do not fall under the Federal Law on the use of cash registers and must not use cash registers in their work.

Decree of the President of the Russian Federation No. 1354 of October 25, 2004 on the Invalidation of Some of the Acts of the President of the Russian Federation

To streamline the activities of the bodies formed by the President of the Russian Federation, invalidates individual acts of the President of the Russian Federation, in particular, on the State Commission for Investigation of the Reasons of Acute Destabilisation of the Financial Market, on the Joint Commission for Coordination of Legislative Activities and other.

The Decree is entered into force from the day of its signing.

Order of the Ministry of Finance of the Russian Federation No. 95n of October 27, 2004 on the Procedure of Entry into Force of the Order of the Ministry of Finance of the Russian Federation No. 79n of September 15, 2004

The Order of the Ministry of Finance of Russia No. 79n of September 15, 2004 on the amendments to the Directions on the procedure of application of the budget classification of the Russian Federation endorsed by the Order of the Ministry of Finance of the Russian Federation No. 127n of December 11, 2002 is entered into force from the day of its signing.

Letter of the Ministry of Taxation of the Russian Federation No. 04-3-01/665@ of October 27, 2004 "Purchase of Transport Vehicles by an Independent Entrepreneur"

Independent entrepreneurs engaged in the purchase-and-sale activities and using their private vehicle for transportation of commodities purchased for sale may reduce the incomes from such operations by the amount of expenses directly associated with such sale (in particular, expenses for the storage, servicing and transportation of the sold commodities). Material expenses must be certified on the documentary basis with cash register checks.

Order of the Ministry of Transport of the Russian Federation No. 15 of August 20, 2004 on the Endorsement of the Regulation on the Particulars of the Working Time and Leisure Time Regime of Automobile Drivers

Specifies the particulars of the working time and leisure time regime of drivers working under a labour contract on automobiles owned by the registered on the territory of the Russian Federation organisations, independent entrepreneurs and other entities engaged in transportation activities on the territory of the Russian Federation. The Regulation does not apply to drivers engaged in international transportation, as well as those working in shift teams with the shift method of organisation of works.

The mentioned particulars are obligatory when drawing up the work schedules (shifts) for the drivers.

According to the Regulation, employers must draw up the work schedules (shifts) on the monthly basis for every day (shift) while keeping records of the working time on the daily basis or in total and conveying them to the drivers no later than one month before their entry into force.

The Order specifies that the normal length of the working time of drivers may not be greater than 40 hours per week. For the drivers working under five working day arrangement with two days-off, the normal length of the daily work (shift) may not be greater than 8 hours, and for those working under six day working week arrangement with one day-off, 7 hours.

If the driver presence in the automobile is expected to be grater than 12 hours, two drivers must be sent on the route. In this case, the automobile must be outfitted with a sleeping bed for the driver. The drivers must be provided with a break for taking meals and rest for not more than 2 hours in the middle of the working shift as a rule.

Registered in the Ministry of Justice of the Russian Federation on November 1, 2004. Reg. No. 6094.

Order of the Central Bank of Russia No. OD-682 of September 22, 2004 on the Estimate of the Cost of the Backing for the Credits of the Bank of Russia

Specifies the particulars of calculation of the cost of the backing for the credits of the Bank of Russia secured with securities pledge (blocking) to be used from November 14, 2004.

Provides the procedure of determination of the market value of one valuable paper, correction coefficients applied to adjust the market value of securities accepted as a backing of the credits of the Bank of Russia.

Federal Constitutional Law No. 6-FKZ of November 3, 2004 on the Amendment to Article 11 of the Federal Constitutional Law on the Government of the Russian Federation

Lifts the restriction for the members of the Government of the Russian Federation expressed in the prohibition to occupy positions in public associations (for example, political parties).

Federal Law No. 127-FZ of November 2, 2004 on the Amendments to Parts 1 and 2 of the Tax Code of the Russian Federation and Some Other Legislative Acts of the Russian Federation, As Well As on Invalidation of Individual Legislative Acts (Provisions of Legislative Acts) of the Russian Federation

The Tax Code of the Russian Federation is extended to include new Chapter 25.3 "State Duty". The payers of the duty are organisations and natural persons if they apply for legally significant actions or act as defendants in the courts of general jurisdiction, courts of arbitration or in cases processed by justices of the peace, and if the court ruling is not in their favour and the plaintiff is exempted from the state duty. The Law defines the procedure and time limits for the payment of the state duty, its amount.

Thus, the minimum amount for a lawsuit of proprietary nature needing assessment, if the price of the lawsuit is up to Rbl 10,000 in the court of general jurisdiction, makes 4% of the price of the lawsuit with the justice of the peace, however, not less than Rbl 200. The maximum amount with the price of the lawsuit greater than Rbl 500,000 makes Rbl 6,600 plus 0.5% of the amount in excess of Rbl 500,000, however, not greater than Rbl 200,000. When submitting a lawsuit of proprietary nature not needing an assessment, as well as a lawsuit of non-proprietary nature, as well as when submitting an application challenging (fully or partly) normative legal acts of the bodies of state power, bodies of local government or officials, the amount of the duty makes Rbl 100 for natural persons and Rbl 2,000 for organisations.

The processing of the cases in the courts of arbitration (when the lawsuit is of proprietary nature needing assessment) envisages higher amounts of the duty.

The Law also defines the amounts of the state duty for the notary actions. Certification of the proxies for the transactions (transaction) needing notary form, requires to pay the duty of Rbl 200, certification of the proxies for the right of use and/or disposal of motor vehicles - from Rbl 250 (children including adoptees, spouse, parents, full sisters and brothers) to Rbl 400 (other natural persons).

The state registration of the marriage, including the issue of the certificate, requires to pay Rbl 200, discontinuation of the marriage, Rbl 200 from each of the spouses.

The Law envisages benefits in the form of exemption from the state duty for individual categories of natural persons and organisations.

The Law invalidates the RSFSR Laws No. 2005-I of December 9, 1991 on the sate duty, No. 2023-I of December 12, 1991 on the tax on operations with securities, No. 4737-I of April 2, 1993 on the fee for the use of the names of "Russia", "Russian Federation" and the words and word combinations derived from them with amendments.

Before appropriate amendments are introduced in Article 39 of the Federal Constitutional Law No. 1-FKZ of July 21, 1994 on the Constitutional Court of the Russian Federation, the state duty for the applications to this Court shall be paid in the amounts and according to the procedure specified in the mentioned Law.

The Federal Law is entered into force from January 1, 2005, however, no sooner than one month after the day of its official publication.

Letter of the Federal Tax Service No. 33-0-14/685 of November 1, 2004

If cash registers are used by the credit organisation as a subject of trade relations (for example, in cash payments in subordinate canteens, cafes etc.), such cash registers are fully subject to the Federal Law No. 54-FZ of May 22, 2003 both as pertains to the authority of the tax bodies in the sphere of control and to the requirements to cash registers themselves.

Letter of the Federal Tax Service No. 09-0-10/4223@ of October 26, 2004 on the Amendments to the Information on the Legal Entity Contained in the Joint State Register of Legal Entities

Explains individual legal aspects of entry of records in the State Register in cases of the change of the head of the permanently acting executive body of the legal entity. Application drawn up to Form R14001 is submitted to the body in charge of the registration signed by the person whose information is contained in the State Register (former head). If the application is singed by the person other than the authorised one whose information is not available in the Joint State Register of Legal Entities, the body in charge of the registration may decide to refuse because of the failure to present the document (application).

Order of the Federal Customs Service No. 79-r of October 29, 2004 on the Prolongation of the Order of the State Customs Committee of Russia No. 197-r of April 30, 2004

The Order of the State Customs Committee of the Russian Federation No. 591-r of September 11, 2002 on the customs payments for the transit shipment through the territory of the Russian Federation of transport vehicles moved by natural persons to the Republic of Kazakhstan and intended for other than industrial or other commercial activities remains in force until December 31, 2004.

Letter of the Ministry of Finance of the Russian Federation No. 07-05-24/22 of October 13, 2004

Cash registers must be used when rendering services in passenger transportation by route taxies. There are no reasons to use strict-reporting forms (rolls of tickets) endorsed by Letter of the Ministry of Finance of Russia No. 16-00-30-58 of October 23, 1996.

Letter of the Ministry of Finance of the Russian Federation No. 07-05-19/6 of October 12, 2004

Founder contribution in the non-state pension fund is a qualified as expenses of the founder being commercial organisation.

Federal Law No. 131-FZ of November 6, 2004 on the Ratification of the Agreement between the Government of the Russian Federation and the Government of the Federal Republic of Germany on the Transit Shipments of the Military Property and Personnel through the Territory of the Russian Federation in View of Participation of the Armed Forces of the Federal Republic of Germany in the Efforts to Stabilise and Restore the Transient Islamic State of Afghanistan

Ratifies the Agreement signed in Yekaterinburg on October 9, 2003. According to the Agreement, transit travel through the territory of the Russian Federation of air vessels moving German personnel may be carried out without intermediate landing on the territory of the Russian Federation. Intermediate landing is obligatory in transit shipments of armaments, military equipment and military property except for the personal arms, individual means of protection and outfit available with the personnel. Transit shipments of the German personnel is permitted on the visa-free basis in the presence of diplomatic, service or other foreign passports.

Federal Law No. 130-FZ of November 5, 2004 on the Ratification of the Protocol to the Agreement on the Partnership and Cooperation Instituting Partnership between the Russian Federation on the One Hand and the European Communities and Their Member-States on the Other Taking into Account Incorporation of the Czech Republic, Estonian Republic, Republic of Cyprus, Hungarian Republic, Latvian Republic, Lithuanian Republic, Republic of Malta, Republic of Poland, Republic of Slovenia and the Slovak Republic in the European Union

Ratifies the Protocol signed in Luxemburg on April 27, 2004. According to the Protocol, upon expiry of the Treaty instituting the European Coal and Steel Committee, the provisions of the Agreement pertaining to the European Coal and Steel Committee are considered to pertain to the European Community having assumed all rights and obligations of the European Coal and Steel Committee under concluded contracts.

Federal Law No. 128-FZ of November 4, 2004 on the Ratification of the Kyoto Protocol to the UN Framework Convention on Climate Change

Ratifies the Kyoto Protocol to the UN Framework Convention on Climate Change of December 11, 1997 signed on behalf of the Russian Federation in New York on March 11, 1999. The Russian Federation proceeds from the fact that obligations imposed by the Protocol on the Russian Federation will have serious consequences for its economic and social development. In this connection, the decision on its ratification has been adopted after a thorough analysis of all factors including the protocol significance for the development of international cooperation, as well as taking into account the fact that the Protocol may enter into force only under the condition of participation of the Russian Federation in it. The Protocol defines for each of its signing parties obligations in the quantity figures of reduction of exhaust of the greenhouse gases into the atmosphere in the first period of its validity - from 2008 through 2012. Later, obligations of the parties will be defined in the course of negotiations, whereupon the R ussian Federation will take the decision on its participation in the Protocol in its second and subsequent periods.

Decision of the Government of the Russian Federation No. 592 of November 4, 2004 on the Endorsement of the List of Diseases Provoked or Exacerbated by the Radiation Exposure Because of the Disaster at the Chernobyl Nuclear Power Station, Accident at the Industrial Association of Mayak in 1957 and the Disposal of Radio Active Waste in the Techa River

The mentioned list includes the following diseases: acute and chronic radiation sickness, stellate cataract, radiation hypothyrosis, local radiation damages (radiation burn), aplastic anaemia, neoplasms. The list is used by labour medical expert commissions to qualify undisputable disability without further examination in the inter-agency expert councils, military medical commission or other bodies.

The Decision is entered into force from January 1, 2005.

Decision of the Government of the Russian Federation No. 591 of November 4, 2004 on the Amounts of the Minimum and Maximum Amounts of the Unemployment Allowance for the Year 2005

From January 1, 2005 introduces the minimum and maximum amounts of the unemployment allowance in the amount of Rbl 720 and Rbl 2,880 respectively.

The Decision is entered into force from January 1, 2005.

Order of the Ministry of Finance of the Russian Federation No. 85n of September 21, 2004 on the Procedure of Providing Cash to Recipients of Resources of the Budgets of the Budget System of the Russian Federation

Specifies the rules of carrying out of operations to provide cash to recipients of the resources of the federal budget. The mentioned operations are recorded on the personal accounts opened in the Federal Treasury bodies of the Ministry of Finance of the Russian Federation, and from January 2005, in the territorial bodies of the Federal Treasury.

The Federal Treasury body shall get in the division of the payment network of the Bank of Russia necessary number of check-books to get cash from the account opened to the Federal Treasury body in the bank on the Balance Account 40116 "Resources to Pay out Cash to Budget Recipients". The check-book is handed out to the recipient of the resources by the Federal Treasury body free of charge against his application (form provided).

The check-books must be registered by the Federal Treasury body in the logbook of blank check-books.

Registered in the Ministry of Justice of the Russian Federation on November 3, 2004. Reg. No. 6098.

Letter of the Ministry of the Industry and Power Supplies of the Russian Federation No. IM-1434 of November 4, 2004 on the Indices of Change of the Estimated Cost of Construction for the IV Quarter of 2004

Specifies the indices of change of the estimated cost for the whole of construction and installation works and by items of expenses in the subjects of the Russian Federation for the objects financed using the resources of the federal budget for the IV quarter of 2004.

The indices are intended for the determination of the current cost of construction and installation works calculated at the level of basic prices for the resources used in construction. The indices take into account the multitude of construction and installation works fulfilled at the objects of housing construction, social sphere, industrial destination and transport construction and are intended for general economic estimates in the investment sphere, preparation of tender documentation, as well as for larger estimates of the cost of construction using the basic indices method.

The mentioned indices do not apply in the determination of the cost of construction using the resources method.

Federal Law No. 135-FZ of November 9, 2004 on the Ratification of the Agreement between the Government of the Russian Federation and the Government of the Republic of Belarus on the Joint Logistic Support of the Regional Group of Troops (Forces) of the Armed Forces of the Russian Federation and the Armed Forces of the Republic of Belarus

Ratifies the Agreement signed in Moscow on October 25, 2002. The Agreement regulates the issues of logistic support of the regional group of troops (forces) of the Armed Forces of the Russian Federation and the Armed Forces of the Republic of Belarus located on the territory of the provinces of the Russian Federation adjacent to the state border of the Republic of Belarus and the territory of the Republic of Belarus while solving the tasks in both peace time and war time.

Federal Law No. 134-FZ of November 9, 2004 on the Ratification of the Agreement between the Government of the Russian Federation and the International Finance Corporation on the Permanent Representation of the International Finance Corporation in the Russian Federation

Ratifies the Agreement signed in Hong Kong on September 24, 1997. The Agreement envisages certain immunities for the International Finance Corporation and its permanent representation. In particular, the permanent representation, its assets, property, incomes, as well as individual operations and transactions are exempted from any taxes (including the obligatory deductions, in particular, the social ones pertaining to its officials and employees) and all customs duties.

Federal Law No. 133-FZ of November 9, 2004 on the Ratification of the Agreement between the Government of the Russian Federation and the International Bank of Reconstruction and Development on the Permanent Representation of the International Bank of Reconstruction and Development in the Russian Federation

Ratifies the Agreement signed in Washington on September 29, 1996. The Agreement specifies certain immunities and guarantees for the International Bank of Reconstruction and Development and its permanent representation, in particular, exemption from any taxes, financial exemptions, as well as protection of rooms against interference or damage.

Federal Law No. 132-FZ of November 9, 2004 on the Ratification of the Agreement between the Government of the Russian Federation and the International Monetary Fund on the Permanent Representation of the International Monetary Fund in the Russian Federation

Ratifies the Agreement signed in Hong Kong on September 24, 1997. The Agreement specifies privileges and immunities for the Fund and its permanent representation, as well as its officials.

Federal Law No. 129-FZ of November 4, 2004 on the Amendments to Article 117 of the Criminal Execution Code of the Russian Federation

The procedure of application of penalties to the convicts in detention is extended to include the provision requiring to obtain written explanations from the convict before applying the penalties. The convicts unable to provide a written explanation may enjoy assistance of the administration of the corrective institution. In case of a refusal of the convict to provide explanations, appropriate act is drawn up.

Decision of the Government of the Russian Federation No. 608 of November 6, 2004 on the Qualification Requirements to the Head of the Fiscal Body of the Subject of the Russian Federation and the Head of the Fiscal Body of the Local Administration

Specifies qualification requirements to the head of the fiscal body of the subject of the Russian Federation (entered into force from January 1, 2005 in the presence of certain conditions) and the head of the fiscal body of the local administration (entered into force from January 1, 2006).

Qualification requirements to the heads of fiscal bodies pertain to their professional training, length of work and experience in the occupation, knowledge of the Constitution of the Russian Federation, federal laws, constitutions, charters, laws of the subjects of the Russian Federation and other normative legal acts as applied to the execution of the appropriate official duties.

Order of the Ministry of Internal Affairs of the Russian Federation No. 687 of October 27, 2004 on the Prolongation of the Organisational and Technical Experiment in the Working out of the Optimal Forms and Methods of Periodic Checks of the Employees of Legal Entities Featuring Chartered Tasks of Fitness for Actions Pertaining to the Use of Fire Arms

The organisational and technical experiment arranged in pursuance of the Order of the Ministry of Internal Affairs of Russia No. 963 of October 8, 2002 is prolonged until January 1, 2007 and applies, beside Moscow, also to the Moscow Province.

Registered in the Ministry of Justice of the Russian Federation on November 4, 2004. Reg. No. 6101.

Letter of the Ministry of Finance of the Russian Federation No. 07-05-13/10 of October 20, 2004

If incorrect recording of economic operations is revealed by the organisation in the current reporting period on the accounts of the previous year, corrections in the accounting work and reports for the previous reporting year (after endorsement of the accounting reports according to established procedure) are not entered. The return of excessive amounts for the leave are recorded in the accounting work as a reverse entry for the mentioned amount (in red ink) on the debit of accounts of production expenses and the credit of the account of personnel labour remuneration. The amount received by the cash department of the organisation from the dismissed employee is recorded on the debit of the cash account in correspondence with the credit of the personnel labour remuneration account.

Letter of the Ministry of Taxation of the Russian Federation No. 02-3-07/151 of September 15, 2004 on the Refined Declarations for the Profit Tax at the Place of Location of Liquidated Separate Divisions of the Organisation

When refining the tax declaration, the amount of the profit tax must be distributed (redistributed) proceeding form the number of separate divisions and their share in the taxable base on the whole for the taxpayer having been declared in the initial tax declaration for the reported period where an error occurred.

In this case, to offset the profit tax (return the tax from the budget), the fact of liquidation of the separate division of the legal entity by the moment of submission of the refined tax declaration is of no significance. Refined declarations for the profit tax are submitted to the same tax bodies where the taxpayer (parent legal entity) incorporating separate divisions was registered as of the moment of submission of the initial tax declaration.

Protocol on the Amendments to the Agreement between the Government of the Russian Federation and the Government of Ukraine of January 16, 1997 on the Visa-Free Trips of Citizens of the Russian Federation and the Ukraine

The citizens of each of the states are exempted from the registration in the authorised bodies at the place of their stay on the territory of the other state if the period of such stay is not greater than 90 days from the moment of entry in the presence with them of the migration card with the note of the border control bodies posted at the entry to the territory of the state of stay.

The Protocol is applies on the temporary basis from November 1, 2004 and is entered into force from the date of the most recent written notification of the execution by the parties of the internal state procedures necessary for its entry into force.

The Protocol is invalidated simultaneously with the Agreement.

Decision of the Government of the Russian Federation No. 605 of November 6, 2004 on the Amendments to the Decision of the Government of the Russian Federation No. 487 of June 27, 2001

Amends the Typical Regulation on the stipends and other forms of material support for the students of the federal state institutions of higher and secondary professional education, post-graduate and doctorate students. Additional resources in the amount of 25% of the Stipends Fund envisaged in the federal budget are allocated to render aid to the students in need undergoing intra-mural studies in the federal state institutions of secondary and higher professional education.

The amendments are entered into force from January 1, 2005 except for those pertaining to the allocation of the additional resources for the aid to the students in need in the amount of 25% of the Stipends Fund to be entered into force from September 1, 2004.

Letter of the Ministry of Taxation of the Russian Federation No. 22-1-14/1184@ of July 9, 2004 on the Simplified System of Taxation

When the object of taxation is incomes reduced by the amount of expenses, the payers using the simplified system of taxation may not reduce the incomes from the sale of purchased commodities by the amount of storage and transportation expenses for the sold commodities (if they are not included in the commodity price). In the calculation of the taxable base for the uniform tax, expenses for the thermal and electric power and water supplies may be taken into account by the trade organisations. The principals applying the simplified system of taxation may reduce obtained incomes by the amount of the agency reward in the determination of the object of taxation.

Federal Law No. 138-FZ of November 10, 2004 on the Creation of the Regional Court of the City of Baksan and the Leskensky Regional Court of the Kabardino-Balkar Republic

Creates the regional court of the city of Baksan and the Leskensky Regional Court of the Kabardino-Balkar Republic.

The Federal Law is entered into force from the day of its official publication except for the provision on the jurisdiction of the regional court of the city of Baksan and the Leskensky Regional Court covering the city of Baksan and the Leskensky Region of the Kabardino-Balkar Republic within existing boundaries. The given provision is entered into force three months after the day of entry into force of the Federal Law.

Federal Law No. 137-FZ of November 10, 2004 on the Ratification of the Agreement between the Government of the Russian Federation and the Government of the Federal Republic of Germany on the Facilitation of Mutual Trips of the Citizens of the Russian Federation and the Citizens of the Federal Republic of Germany

Ratifies the Agreement signed in Berlin on December 10, 2003. The Agreement envisages introduction of an easier procedure of drawing up of visas for individual categories of citizens. In particular, the citizens of the Russian Federation enjoying the right of temporary stay or permanent residence on the territory of the Federal Republic of Germany may enter (stay, exit) the territory of this state without visas - on the basis of valid documents permitting to cross the border and the residence permission issued by the authorised bodies of the Federal Republic of Germany within the period of their validity.

Decision of the Government of the Russian Federation No. 610 of November 9, 2004 on the Endorsement of the Regulation on the Construction and Operation of Communication Lines Crossing the State Border of the Russian Federation, on the Adjacent Territory, in Internal Sea Waters and in the Territorial Sea of the Russian Federation

Defines the procedure of construction, survey works for the purpose of design works, design works, reconstruction or liquidation (removal from operation and demounting) of communication lines or individual structures and means of communication, as well as their operation, including the servicing, maintenance and rescue works in cases when the communication lines cross the state border of the Russian Federation, are located on the adjacent territory, in internal sea waters and in the territorial sea of the Russian Federation.

The mentioned works are carried out on the basis of permissions issued by the federal bodies of executive power in charge of enforcement in the sphere of communication and use of natural resources.

The functioning of the communication line may not interfere in the maintenance of the state border of the Russian Federation and execution of the tasks by the border guard bodies and border guard troops, sea faring and flight safety, economic activities, operation and repair of engineering structures, including the earlier built communication liens, as well as integrity, functioning stability and safety of the uniform telecommunication network of the Russian Federation.

Direction of the Central Bank of Russia No. 1509-U of October 20, 2004 on the Amendments to the Regulation of the Bank of Russia No. 248-P of January 16, 2004 on the Procedure of Processing by the Bank of Russia of the Bank Request for the Statement of the Bank of Russia of the Bank Compliance with the Requirements of Participation in the Deposit Insurance System

The amendments are introduced in the footnotes to Appendices 3, 4 and 5. The bank is recognised as failing to fulfil obligatory normatives (while assigning the "Failed to Comply" mark) when failing to observe at least one of the obligatory normatives (without taking into account the control values) in total for the six and more operative days within the most recent thirty operative days in succession where there is a valid information on the values of obligatory normatives confirmed with documents.

The Direction is entered into force 10 days after the day of its official publication in the Herald of the Bank of Russia.

Registered in the Ministry of Justice of the Russian Federation on November 9, 2004. Reg. No. 6107.

Order of the Ministry of Finance of the Russian Federation No. 91n of October 21, 2004 on the Endorsement of the Rules of Writing off of Debts in Penalties and Fines from Organisations of Strategic Significance for the National Security or of Socio-Economic Significance Where the Decisions on the Restructuring of the Debts in Taxes and Fees to the Federal Budget, As Well As the Debts in Accrued Penalties and Fines, Were Taken by the Government of the Russian Federation

The decision on the writing off of the debts in penalties and fines drawn up according to the attached form or the decision of refusal is taken by the head (his deputy) of the tax body at the place of registration of the organisation (place of location of the organisation) within one month from the moment of receiving of the application of the organisation. The application signed by the head of the organisation must contain information of the full name of the organisation, its taxpayer identification number, code of the reason of registration and the amount of debts in penalties and fines. The writing off applies to the debts in penalties and fines accrued according to the information of the tax body.

Registered in the Ministry of Justice of the Russian Federation on November 9, 2004. Reg. No. 6106.

Order of the Federal Service of Tariff Rates No. 20-e/2 of August 6, 2004 on the Endorsement of the Methodology Directions for the Calculation of Regulated Tariff Rates and Prices for Electric (Thermal) Power at the Retail (Consumer) Market

The Methodology Directions are intended for use by the bodies in charge of regulation (federal body of executive power in charge of regulation of natural monopolies and the bodies of executive power of the subjects of the Russian Federation in the sphere of state regulation of tariff rates), bodies of local government, regulated organisations for calculation of the levels of regulated tariff rates and prices at the retail (consumer) market of electric power and thermal power within the fixed limiting levels of the mentioned tariff rates and prices.

Registered in the Ministry of Justice of the Russian Federation on October 20, 2004. Reg. No. 6076.

Federal Law No. 139-FZ of November 11, 2004 on the Amendments to the Customs Code of the Russian Federation

The Customs Code of the Russian Federation is extended to include new Chapter 33.1 "Customs Fees". The Law provides the notion of the "customs fees", lists their types, defines the procedure of fixing of the rates of the customs fees and calculation of the amounts to be paid at the customs registration, escort and storage of commodities moved across the customs border of the Russian Federation. The amount of the customs fee for the customs registration must be restricted to the approximate cost of the rendered services and may not be greater than Rbl 100,000.

The Law specifies the list of the customs fees: for the customs registration, escort, storage. Defines the payers of the customs fees, as well as the procedure, forms and time limits for their payment. Lists the grounds for exemption from the customs fees.

The Federal Law is entered into force from January 1, 2005.

Letter of the Ministry of Taxation of the Russian Federation No. 33-0-09/691 of November 2, 2004 on the Use of Cash Registers

If the organisation or independent entrepreneur act as recipients of cash as a result of operations other than sale of commodities, carrying out works or rendering services, they must not use cash registers including the cases of: return of the amounts handed out on accountability basis, return by the borrower of the amount of the interest-free loan, getting free gratuitous aid if the aid does not imply the duty of the recipient to fulfil works, render services to the donor.

Letter of the Ministry of Finance of the Russian Federation No. 03-03-02-04/1/21 of October 7, 2004 on the Mediation Contracts in the Simplified System of Taxation

If under the agency contract the receipts from the sale of services is received in the agent's cash department and transferred by the agent to the principal less agency remuneration, the incomes from entrepreneurial activities in the determination of the object of taxation with the agent is the amount of agency remuneration received by the agent independent entrepreneur from the principal.

Letter of the Ministry of Taxation of the Russian Federation No. 02-5-10/56 of September 21, 2004 on the Procedure of Registration of Excise Duty Taxes for Oil Products As Expenses in the Calculation of the Profit Tax

If the declaration for excise duty taxes submitted in February 2004 for the December of 2003 does not show the object of taxation for the registration of the received oil products in December of 2003, the recording of these amounts in reduction of the taxable base for the profit tax for the year 2003 will be recognised as illegal.

Decision of the Constitutional Court of the Russian Federation of November 16, 2004 on the Case of Constitutionality of Provisions of Item 2 of Article 10 of the Law of the Republic of Tatarstan on the Languages of the Peoples of the Republic of Tatarstan, Part 2 of Article 9 of the Law of the Republic of Tatarstan on the State Languages of the Republic of Tatarstan and Other Languages in the Republic of Tatarstan, Item 2 of Article 6 of the Law of the Republic of Tatarstan on the Education and Item 6 of Article 3 of the Law of the Russian Federation on the Languages of the Peoples of the Russian Federation Pursuant to the Appeal of Citizen S.I.Khapugin and Requests of the State Council of the Republic of Tatarstan and the Supreme Court of the Republic of Tatarstan

The applicants challenged the constitutionality of provisions of the mentioned Laws of the Republic of Tatarstan stating that the Tatar and the Russian languages as the state languages of the Republic of Tatarstan are being studied in pre-school institutions, schools of the secondary education and institutions of special secondary education in equal amount. Proceeding from the mentioned norm, the bodies of education of the Republic of Tatarstan issued appropriate educational schedules making it obligatory for the students of institutions of the secondary education with the Russian language to study the Tatar language in large amount, thus restricting opportunities of enhanced study of other subjects of the educational schedule for such students, as well as the mustering of the subjects of choice if they observe available maximum load requirements and the obligatory minimum of the main educational programs.

They also challenged the constitutionality of Item 6 of Article 3 of the Law of the Russian Federation on the languages of the peoples of the Russian Federation stating that the alphabets of the state language of the Russian Federation and the state languages of the constituent republics are based on cyrillic graphics, with other alphabet graphics of the state language of the Russian Federation and the subjects of the Russian Federation being specified by the federal laws.

The Constitutional Court explained that issues of legal status of state languages of the republics pertain to both the rights of citizens being the native speakers of the appropriate language of the republic and the citizens living on the territory of the republic without being able to speak this language. Regulation of the rights and freedoms of man, including the rights in the language sphere, and the fixing of the fundamentals of the federal policy in the sphere of cultural and national development of the Russian Federation, including the fundamentals of the language policy, are qualified by the Constitution of the Russian Federation as the sphere of reference of the Russian Federation, and the issues of protection of the rights and freedoms of man and the general issues of education, culture and language as their components - as the common sphere of reference of the Russian Federation and its subjects. In this connection, the federal legislator may specify the fundamentals of the legal regulation of the l anguages of the peoples of the Russian Federation.

To provide for the use of the Tatar language on the territory of the Republic of Tatarstan in all spheres of official relations, the legislator of the Republic of Tatarstan may envisage its study as the state language in the Republic of Tatarstan in the framework of the secondary education. However, its study as an obligatory subject must be implemented with strict observation of the federal state educational standards, i.e. without affecting the federal component and the component of the educational institution, and may not prevent the implementation of the right of students for enhanced study of other subjects of the educational schedule, subjects of choice, facultative subjects.

The Constitutional Court emphasised that the prohibition for the republics of the Russian Federation to independently change the graphic basis of their state language is in compliance with the constitutional principles of federal arrangement, first and foremost, the principle of state integrity.

Proceeding form the above, the Constitutional Court recognised the challenged provision of the Laws of the Republic of Tatarstan and the Law of the Russian Federation as not contradicting the Constitution of the Russian Federation.

The Decision is entered into force immediately after annunciation.

Federal Law No. 136-FZ of November 10, 2004 on the Amendments to the Federal Law on the Federal Budget for the Year 2004 and on Invalidation of Some of the Provisions of Legislative Acts of the Russian Federation

The amendments increase the incomes (from Rbl 2,742,850.4 million to Rbl 3,273,844.6 million) and the expenses (from Rbl 2,659,447.0 million to Rbl 2,768,085.8 million) parts of the budget. The forecasted volume of the gross domestic product is increased from Rbl 15,300 billion to Rbl 16,130 billion. The level of inflation is not changed - 10% (December 2004 to December 2003). The surplus of incomes over expenses of the federal budget amounts to Rbl 505,758.8 million (earlier, Rbl 83,403.4 million) with the provision stating that the mentioned amount is allocated to build the Stabilisation Fund of the Russian Federation being omitted.

The key changes are introduced in the following sections of the functional classification of expenses of the budgets of the Russian Federation: international activities, national defence, law enforcement and state security, prevention and elimination of consequences of emergency situations and natural disasters, agriculture and fishing, culture, arts and cinematography, means of mass communication, public health, financial aid to other budgets of the budget system, highway maintenance.

The Federal Law is entered into force from the day of its official publication.

Decision of the Government of the Russian Federation No. 628 of November 12, 2004 on the Amendments to the Decision of the Government of the Russian Federation No. 379 of June 30, 2003

Amends the Decision introducing additional restrictions for the investing of resources of accumulated pensions in individual classes of assets and defining the maximum portion of individual classes of assets in the investment portfolio. In particular, specifies the particulars of committing transactions pertaining to the investing of resources of accumulated pensions in the bonds of external bond loans of the Russian Federation.

Decision of the Government of the Russian Federation No. 627 of November 12, 2004 on the Amendments to and Invalidation of Some of the Acts of the Government of the Russian Federation Pertaining to the State Registration of the Rights for Immovable Property and Transactions with It Pursuant to the Federal Law on the Amendments to Legislative Acts of the Russian Federation and Invalidation of Some of the Legislative Acts of the Russian Federation Pursuant to the Adoption of the Federal Laws on the Amendments to the Federal Law on the General Principles of Organisation of Legislative (Representative) and Executive Bodies of State Power of the Subjects of the Russian Federation and on the General Principles of Organisation of Local Government in the Russian Federation

The amendments entering into force from January 1, 2005 specify that the keeping of the Uniform State Register of the Rights for Immovable Property and Transactions with It is vested in the Federal Registration Service and its territorial bodies. The Federal Registration Service shall provide for the registration of the rights, restrictions of the rights (encumbrances) for the enterprises as property complexes, objects of immovable property located on the territory of more than one registration districts and transactions with them, and its territorial bodies - for the registration of the rights, restrictions of rights (encumbrances) for other objects of immovable property.

The state registration of the transaction for the immovable property, as well as the proprietary right or another proprietary interest emerging from the transaction is certified with the registration stamp posted on the original of the document expressing the essence of the transaction. In cases of the state registration of the transaction, the stamp of the registration record on the documents is used to enter after the words "State Registration Done" the type of the registered transaction, the date of the state registration and the number assigned to the transaction in the Uniform State Register of Rights.

Besides, the Federal Registration Service and its territorial bodies shall provide for the registration and removal from records of the objects of immovable property.

The Decision lists the acts of the Government of the Russian Federation pertaining to the state registration of the rights for immovable property and transactions with it invalidated from January 1, 2005.

Decision of the Government of the Russian Federation No. 625 of November 12, 2004 on the Non-Application of the Rate of the Export Customs Duty for Cellulose

Specifies that the rate of the export customs duty for wood pulp or other fibrous cellulose materials, paper and paperboard of waste (codes according to the Foreign-Trade Commodity Nomenclature 4701 00-4707) in the amount of 10% of the customs cost do not apply to cellulose of wood, sulphate, other than dissolving grades, bleached or semi-bleached, coniferous (code according to the Foreign-Trade Commodity Nomenclature 4704 21 000 0).

The Decision is entered into force one month after the day of its official publication.

Decision of the Government of the Russian Federation No. 635 of November 15, 2004 on the Endorsement of the Rules of Financing of Expenditure Obligations of the Russian Federation in the Payment of Monetary Compensations to Persons Having Suffered from Repressions in the Form of Detention, Forced Medical Treatment in Psychiatric Clinics Followed by Further Rehabilitation, As Well As Monetary Compensations to the Rehabilitated for the Confiscated, Exacted and Otherwise Withheld from Their Possession Property because of the Repressions

Expenditure obligations of the Russian Federation in the payment of the monetary compensations, including their delivery expenses, are financed from the federal budget. Authorised bodies of executive power of the subjects of the Russian Federation shall submit to the Ministry of Finance of Russia information on the needs in budget allocations to pay out monetary compensations. The budget allocations for the monetary compensations are transferred to the personal accounts opened to the subjects of the Russian Federation in the Federal Treasury bodies.

Decision of the Government of the Russian Federation No. 634 of November 15, 2004 on the Rules of Qualifying the Citizens As the Category of Persons Having Been Exposed to Radiation because of the Nuclear Tests at the Semipalatinsk Test Field

Inclusion of citizens in the category of persons having been exposed to radiation because of the nuclear tests at the Semipalatinsk Test Field with the total (accumulated) effective exposure greater than 5 sSv (roentgen equivalent man) is arranged on the basis of information of their living or military service in 1949-1963 in the exposed residential settlements. The confirmation of the inclusion of citizens in the mentioned category is the uniform type of the certificate issued by the Ministry of Emergency Situations of Russia.

The rules do not apply to the citizens having been included in this category according to the earlier available procedure.

The Decision is entered into force from January 1, 2005.

Decision of the Government of the Russian Federation No. 633 of November 15, 2004 on the Amendments to the Customs Tariff of the Russian Federation Pertaining to Raw Materials for Production of Detergents

Introduces for 9 months the rates of the import customs duties for detergents: water solution with the content of alkylethoxisulphates of 30% by volume or more, however, not greater than 60% by volume, and the content of alkylaminoxides of 5% by volume or more, however, not greater than 15% by volume - in the amount of 5% of the customs cost, for other detergents - in the amount of 15% of the customs cost. Earlier, there was a uniform rate of the customs duty for detergents in the amount of 15% of the customs cost.

The Decision is entered into force 1 months after the day of its official publication.

Decision of the Government of the Russian Federation No. 632 of November 15, 2004 on the Endorsement of the Rate of the Import Customs Duty for Bags and Packets of Paper

Introduces for 9 months the import customs duty for bags and packets of paper (codes according to the Foreign-Trade Commodity Nomenclature of the Russian Federation 4819 30 000 1, 4819 30 000 2 and 4819 40 000 0) in the amount of 12.5%, however, not less than EUR 135 per ton. Earlier, the mentioned commodities were imported duty free.

The Decision is entered into force 1 month after the day of its official publication.

Decision of the Government of the Russian Federation No. 626 of November 12, 2004 on the Governmental Commission for the Complex Development of the Transport System of the Russian Federation

The Governmental Commission for the Complex Development of the Transport System of the Russian Federation is a coordinating body formed to provide for coordinated actions of the interested federal bodies of executive power in the implementation of the state transport policy of the Russian Federation. One of the main tasks of the Commission is development of passenger transportation and satisfying the demand of the population for transportation services corresponding to the growing well-being of the Russian citizens.

Order of the Ministry of Culture and Mass Communication of the Russian Federation No. 60 of September 27, 2004 on the Endorsement of the Regulation on the National Film

Specifies the procedure of obtaining, prolongation and revocation of the certificate of the national film. The certificate is drawn up on the specified blank form provided in the Appendix to the Order. The certificate serves as grounds to get state support envisaged in the legislation of the Russian Federation and is submitted to any organisations for assistance in production and demonstration of the national film.

The issue of the certificate is vested in the Ministry of Culture to be provided within 10 days from the day of submission by the producer or the rights holder of the full packet of documents listed in the Order.

Registered in the Ministry of Justice of the Russian Federation on November 12, 2004. Reg. No. 6116.

Order of the Federal Service for Financial Markets No. 04-830/pz-n of October 29, 2004 on the Invalidation of Item 2 of the Order of the Federal Service for Financial Markets of Russia No. 04-22/pz-n of June 29, 2004 on Some Issues Pertaining to Organisation of Trade and Clearing Activities at the Securities Market

The invalidated Item specified organisational measures for the preparation of invalidation of certain provisions of the Decision of the Federal Commission for Securities Market of Russia No. 03-54/ps of December 26, 2003 on the endorsement of the Regulation on activities in organisation of trade at the securities market.

Registered in the Ministry of Justice of the Russian Federation on November 12, 2004. Reg. No. 6115.

Order of the Federal Antimonopoly Service No. 140 of October 15, 2004 on the Endorsement of the Rules of Processing of Cases of Violation by Credit Organisations of the Antimonopoly Legislation and Other Normative Legal Acts on the Protection of Competition at the Market of Financial Services

Specifies organisational and legal fundamentals of processing of cases by the federal antimonopoly body (territorial body) of the violations by credit organisations of the antimonopoly legislation and other normative legal acts on the protection of competition at the market of financial services. The endorsed rules define the procedure of processing of cases of violation of the antimonopoly legislation by credit organisations at the market of bank services.

Commissions acting on the permanent basis are created to process the cases of violation by credit organisations of the antimonopoly legislation at the federal and regional levels. The grounds for consideration of the cases of violation of the antimonopoly legislation are applications of financial organisations, Bank of Russia, federal bodies of executive power, bodies of executive power of the subjects of the Russian Federation, bodies of local government, citizens, independent entrepreneurs, as well as the prosecutor's relations.

The cases are examined within three months from the day of adoption of the ruling initiating the case of violation of the antimonopoly legislation. The mentioned time limit may be prolonged, however, not more than for six months.

Registered in the Ministry of Justice of the Russian Federation on November 10, 2004. Reg. No. 6111.

Decision of the Government of the Russian Federation No. 639 of November 16, 2004 on the Endorsement of the Rate of the Export Customs Duty for Raw Oil and Raw Oil Products from Bituminous Materials Exported from the Territory of the Russian Federation outside the Member-States of the Customs Union Agreements

The rate of the export customs duty for raw oil and raw oil products from bituminous materials (code according to the Foreign-Trade Commodity Nomenclature of the Russian Federation 2709 00) is increased from USD 87.9 to USD 101 per ton.

The Decision is entered into force from December 1, 2004.

Decision of the Government of the Russian Federation No. 638 of November 16, 2004 on the Prolongation of the Decision of the Government of the Russian Federation No. 8 of January 14, 2004

For 9 months prolongs the rates of the import customs duties for semi-trailer tractors and for individual types of motor transport vehicles for cargo transportation older than 7 years of age. The rates are of uniform amount: EUR 1 per cubic centimetre of the engine capacity (earlier, 15% of the customs cost).

The Decision is entered into force from November 17, 2004.

Decision of the Government of the Russian Federation No. 637 of November 15, 2004 on the Amendments to the Instruction on the Access Procedure for the Officials and Citizens of the Russian Federation to the State Secret

The amendments specify the particulars of access procedure to the state secret for the heads and members of self-regulating organisations of bankruptcy commissioners.

Order of the Federal Tax Service No. SAE-3-24/21@ of November 3, 2004 on the Endorsement of the Procedure of Sending of the Decision on Suspension of Operations on the Taxpayer Accounts to the Banks and the Decision on the Revocation of Suspension of Operations in the Electronic Form over Telecommunication Channels

Specifies the procedure of sending of the decision on suspension of operations on the accounts of the taxpayer (payer of the fees) or tax agent to the banks by the tax bodies and the decision on the revocation of such suspension of operations. From August 1, 2005 the tax bodies shall send to the banks (their branches) the mentioned decisions in the electronic form over telecommunication channels.

The building, sending (receiving), sorting and registration of files containing the mentioned information will be done automatically using the software and hardware platform of the Federal Tax Service of Russia AIS "Nalog".

The software and hardware means of the banks used for the electronic document turnover with the tax bodies must be compatible with the software and hardware means of the tax body, as well as be connected to the telecommunication channels.

Federal Law No. 140-FZ of November 18, 2004 on the Ratification of the Protocol on the Amendments to the Agreement of January 16, 1997 between the Government of the Russian Federation and the Government of Ukraine on Visa-Free Trips of Citizens of the Russian Federation and the Ukraine

Ratifies the Protocol signed in Kiyev on October 30, 2004. According to the amendments, the citizens of each state are exempted from the registration in the authorised bodies at the place of stay on the territory of the other state if the time of such stay is not greater than 90 days from the moment of entry in the presence of the migration card with them with the stamp of the bodies of the border guard control posted at the entry to the territory of the state of stay.

The Federal Law is entered into force from the day of its official publication. The text of the Federal Law is published in Rossiyskaya Gazeta on November 19, 2004, No. 257.

Direction of the Central Bank of Russia No. 1511-U of October 28, 2004 on the Invalidation of the Direction of the Bank of Russia No. 1416-U of April 1, 2004 on the Procedure of Drawing up and Submission by the Banks of the Reports of the Residues of Monetary Resources of Natural Persons Placed in Deposits Due for Insurance

The Direction of the Bank of Russia No. 1416-U of April 1, 2004 is invalidated to avoid duplication of submitted information according to the reporting from "Information on the Daily Residues of the Monetary Resources of Natural Persons Placed in Deposits Due for Insurance" (form code 0409345). The given form is available in the Direction of the Bank of Russia No. 1481-U of July 27, 2004 amending the list, forms and procedure of drawing up and submission of the forms of reports of credit organisations to the Bank of Russia.

The Direction is entered into force 10 days after the day of its official publication in the Herald of the Bank of Russia.

Registered in the Ministry of Justice of the Russian Federation on November 17, 2004. Reg. No. 6125.

Order of the Ministry of Transport of the Russian Federation No. 28, of November 2, 2004 on the Procedure of Publication and Entry into Force of the Acts of the Ministry of Transport of the Russian Federation Recognised by the Ministry of Justice of the Russian Federation As Not Needing the State Registration

The acts of the Ministry of Transport of Russia recognised by the Ministry of Justice of Russia as not needing the state registration must be published in the Transport of Russia newspaper, which is the source of official publications. Such acts are entered into force from the moment of their signing (endorsement) if the acts themselves do not specify any other time limits or procedure of entry into force.

Registered in the Ministry of Justice of the Russian Federation on November 17, 2004. Reg. No. 6124.

Order of the Ministry of Economic Development of the Russian Federation No. 297 of November 5, 2004 on the Procedure of Selection by the Authorised Body in Cases of Bankruptcy and Bankruptcy Proceedings of the Self-Regulating Organisation of Bankruptcy Commissioners When Submitting the Application to the Arbitration Court to Recognise the Debtor Bankrupt

Self-regulating organisations wishing to be declared when the authorised body submits application to recognise the debtor bankrupt shall send to the authorised body application containing information listed in the Order.

The authorised body shall build on the basis of received applications summary lists of self-regulating organisations while assigning to them ordinal (registration) numbers according to the date of registration of the application in the authorised body.

The Order lists the cases when the self-regulating organisation may be not be selected or excluded form the list at the decision of the authorised body.

Registered in the Ministry of Justice of the Russian Federation on November 17, 2004. Reg. No. 6121.

Order of the Ministry of Economic Development of the Russian Federation No. 298 of November 9, 2004 on the Fixing of the Deflation Coefficient K_3 for the Year 2005

For the year 2005, the deflation coefficient K_3 necessary for the calculation of the taxable base for the uniform imputed income tax in compliance with Chapter 26.3 of the Tax Code of the Russian Federation "System of Taxation in the Form of the Uniform Imputed Income Tax for Individual Types of Activities" is fixed in the amount of 1.104. In 2004, the deflation coefficient was fixed in the amount of 1.133.

Registered in the Ministry of Justice of the Russian Federation on November 17, 2004. Reg. No. 6120.

Order of the Ministry of Agriculture of the Russian Federation and the Ministry of Natural Resources of the Russian Federation No. 491/654 of September 29, 2004 on the Endorsement of the Rules of Catching and Other Uses of the King-Crab in the Barents Sea

The rules specify the particulars of use by legal entities and citizens of the Russian Federation of the king-crab in the Barents Sea. The rules do not apply to amateur and sports catching. The rules pertaining to the restrictions of the means and methods of catching, regions and time limits of catching, sex and size composition of the catch do not apply to the catching for scientific research purposes.

Captains of fishing vessels providing for the catching and other uses of the king-crab must submit daily reports of the catching activities. Users engaged in catching must submit to the licensing body report of the catching by the regions no later that the 18th and the 3rd of each month as of the 15th and the last day of the month.

Registered in the Ministry of Justice of the Russian Federation on November 16, 2004. Reg. No. 6119.

Decision of the Government of the Russian Federation No. 646 of November 17, 2004 on the Endorsement of the Rules of Rendering of Extraordinary Medical Aid to Individual Categories of Citizens under the Program of State Guarantees of Free Medical Aid to the Citizens of the Russian Federation in the Federal Public Health Institutions

Defines the procedure of implementation of the right of war invalids and citizens of other categories for an extraordinary medical aid under the program of state guarantees of free medical aid to the Russian citizens in the federal public health institutions. The citizens are being sent to get the extraordinary medical aid by the medical treatment and prevention institutions at the place of their residence or work, including the cases after retirement.

The Decision is entered into force from January 1, 2005.

Decision of the Government of the Russian Federation No. 645 of November 17, 2004 on the Endorsement of the Rules of Providing Free Medicines for Tuberculosis Treatment in Out-Patient Federal Specialised Medical Institutions to the Persons under Dispensary Observation because of Tuberculosis and Tuberculosis Patients

Specifies the rules of providing free medicines to the mentioned persons for tuberculosis treatment in out-patient federal specialised medical institutions. Tuberculosis patients, as well as the persons under dispensary observation because of tuberculosis, are provided with free medicines during the whole period of dispensary observation or from the moment of detection of this disease according to prescription of the doctor or expert commission. When handing out free medicines, the medical documentation is used to enter the patient full name, his diagnosis, prescribed medicines, doses certified on the obligatory basis with the signatures of the medic having handed out the medicines and the patient having received them.

The Decision is entered into force from January 1, 2005.

Order of the Federal Tax Service No. SAE-3-09/7@ of October 21, 2004 on the Endorsement of the Procedure of Providing of Information of the Joint State Register of Legal Entities and the Joint State Register of Independent Entrepreneurs in the Electronic Form

Information of the joint state registers in the electronic form is provided by the Federal Tax Service of Russia and its departments in the subjects of the Russian Federation. Free information includes the list of information available in the registers, the list of provided information services, as well as information on the procedure and terms of access to the mentioned information, including the one placed in the Internet.

Paid information includes information provided to legal entities and natural persons contained in the state registers in the electronic form. The mentioned information is provided against request submitted according to the attached form and confirming the transfer of payment for the document.

The Order is entered into force from January 1, 2005.

The payment for the provided information amounts to: Rbl 50,000 for the single delivery of open information in full amount, Rbl 5,000 for the single update of the open information, Rbl 150,000 for the annual user servicing of a single operator position.

Registered in the Ministry of Justice of the Russian Federation on November 17, 2004. Reg. No. 6123.

Order of the Ministry of Defence of the Russian Federation No. 275 of September 24, 2004 on the Endorsement of the Federal Aviation Rules of Flights of the State Aviation

The Rules are obligatory for execution by all aviation divisions of the federal bodies of executive power and organisations. The right to control the flights is granted to officials with a flight education or a flight control specialisation, appropriate flight control access and fit for execution of their duties according to the statement of the medical commission.

The crews of the air vessels engaged in passenger and cargo transportation are permitted to fly not more than 12 hours a day with the starting time not greater than 14 hours. The maximum flying time for a pilot may not be greater than 3 hours per shift if the night vision instruments are used and not greater than 2 hours per flight (not greater than 1 hour at the lowest permissible altitude). The crews engaged in prolonged non-stop flights more than 12 hours long must have a pre-flight rest of at least 10 hours. After the flights, they must have an after-flight rest: at least 48 hours with the length of flight up to 16 hours, at least 60 hours with the length of flight from 16 to 24 hours and at least 72 hours with the length of flight greater than 24 hours.

The Rules are entered into force from January 1, 2005.

Registered in the Ministry of Justice of the Russian Federation on November 10, 2004. Reg. No. 6110.

Decree of the President of the Russian Federation No. 1453 of November 18, 2004 on the Federal Agency for Tourism and the Federal Agency for Physical Culture and Sports

The Federal Agency for Physical Culture, Sports and Tourism is reorganised into the created Federal Agency for Physical Culture and Sports, and the Federal Agency for Tourism is formed. The new bodies shall be supervised by the Government of the Russian Federation. Appropriate changes are introduced in the structure of the federal bodies of executive power endorsed by the Decree of the President of the Russian Federation No. 649 of May 20, 2004.

The Decree is entered into force from the day of its signing.

Decision of the Government of the Russian Federation No. 652 of November 19, 2004 on the Endorsement of the Rules of Consumption and Registration of Resources Allocated to Grant Subventions from the Federal Budget to the Budgets of the Subjects of the Russian Federation to Cover the Housing and Communal Services Rendered to Citizens Having Been Exposed to Radiation because of the Disaster at the Chernobyl Nuclear Power Station, Accident at the Industrial Association Mayak and Nuclear Tests at the Semipalatinsk Test Field, As Well As to Individual Categories of Citizens out of Veterans and Invalids

Subventions are transferred to the budgets of the subjects of the Russian Federation to the accounts of the Federal Treasury bodies opened for cash services for the execution of the budgets of the subjects of the Russian Federation. Registration of operations of payment for the housing and communal services rendered to citizens is arranged on the personal account of the recipient of resources of the budget of the subject of the Russian Federation opened in the Federal Treasury body. The form of the measures of social support provided to citizens to pay for the housing and communal services is specified in the normative and legal acts of the subjects of the Russian Federation.

The Direction is entered into force from January 1, 2005.

Decision of the Government of the Russian Federation No. 651 of November 18, 2004 on the Amendments to the Decision of the Council of Ministers - the Government of the Russian Federation No. 941 of September 22, 1993

Soldiers and officers of the bodies of internal affairs, State Fire Service, institutions and bodies of the criminal execution system enjoying after dismissal the right for the pension upon reaching the limiting age, length of service permitting to get the pension, dismissed because of staff cuts, illness or health condition who have the length of service of 20 years and more (in calendar figures), as well as the citizens dismissed from the military service upon reaching the limiting age, because of the health condition or staff organisational measures who have the total length of service of 20 years and more, shall get monetary compensation in the amount of actually paid land tax and the property tax from natural persons.

The monetary compensation is paid out by the pension body at the place where they get the pension upon submission of the notification of payment of the appropriate tax and the payment documents confirming the payment. Recalculation of the amount of the monetary compensation in cases of incorrect taxation is permitted for the most recent three years only.

The Decision applies to legal relations emerging from January 1, 2005.

Decision of the Government of the Russian Federation No. 647 of November 17, 2004 on the Calculation and Compensation of the Losses of the Forestry Fund When the Forestry Lands Are Converted into Non-Forestry Ones for Their Use for the Purposes Other Than the Forestry Management or Use of the Forestry Fund and When the Lands of the Forestry Fund Are Converted into the Lands of Other Categories

Compensation of losses of the forestry fund is arranged through collection of payment for the mentioned conversions. The Decision defines the rules of calculation and collection of payment for the conversion of the forestry lands into non-forestry ones for use for the purposes other than the forestry management, use of the forestry fund and when the lands of the forestry fund are converted into the lands of other categories. Provides basic amounts of payment for the mentioned conversions, as well as the coefficients taking account of the ecological component of the assessment of lands of the forestry fund depending on the group and category of protection of group I forests and the period of conversion of the forestry lands into the non-forestry ones.

The Decision is entered into force from January 1, 2005.

Ruling of the Constitutional Court of the Russian Federation of November 4, 2004 on the Request of the Russian Union of Industrialists and Entrepreneurs (Employers) on the Official Explanation of the Ruling of the Constitutional Court of the Russian Federation No. 169-O of April 8, 2004 on the Refusal to Accept for Examination the Appeal of the Limited-Liability Company Prom Line against Violation of the Constitutional Rights and Freedoms by the Provision of Item 2 of Article 171 of the Tax Code of the Russian Federation

The Constitutional Court emphasised that the Ruling No. 169-O of April 8, 2004 adopted on a particular case does not imply that the taxpayer may not enjoy the tax exemption in any case when the VAT amount has been paid by him to the supplier of commodities (works, services) within the price, in particular, in cash (including the cases before the moment of execution of the duty to return the loan by the taxpayer). Denial of the tax exemption may occur if the process of sale of commodities (works, services) was not accompanied by the associated with this right duty to pay the VAT to the budget in the monetary form. If the taxpayer does not bear real expenses in the payment of the VAT amounts put forward by the supplier, i.e. the property purchased under a commutative transaction is not paid for by the moment of transfer to the supplier in payment for the accrued tax amounts or is not paid for completely, and clearly will not be paid for in the future, the right for the exemption for the tax amounts put forward to the taxpayer and paid by him at the purchase of commodities (works, services) may not be implemented.

Disputes on the right for the tax exemption pertaining to the duty to pay the tax (including the cases when the tax bodies change the legal qualification of the transactions concluded by the taxpayer with third parties) as being associated with investigation and determination of the actual circumstances of a particular case fall in the sphere of reference of the courts of arbitration.

Decision of the Government of the Russian Federation No. 670 of November 22, 2004 on the Distribution of the Grants from the Federal Fund of Financial Support of the Subjects of the Russian Federation

Provides the method of distribution of the grants from the Federal Fund of Financial Support of the Subjects of the Russian Federation specifying the procedure of calculation of the level of estimated budget security of the subjects of the Russian Federation, calculation of the total volume of allocated grants, tax potential and budget expenses indices.

The Decision is entered into force from January 1, 2005.

Order of the Ministry of Finance of the Russian Federation No. 94n of October 26, 2004 on the Endorsement of the Procedure of Suspension by the Federal Treasury Bodies of Operations on the Accounts Opened for the Federal Institutions in the Institutions of the Central Bank of the Russian Federation and Credit Organisations (Branches) for the Registration of Operations with Resources Obtained from Entrepreneurial and Other Profitable Activities

Defines the rules of interaction of the Federal Treasury bodies with institutions of the Bank of Russia and credit organisations (branches) pertaining to suspension of operations on the accounts opened for the federal institutions in the institutions of the Bank of Russia on the Balance Account 40503 "Accounts of Federally Owned Enterprises. Non-Commercial Organisations" and credit organisations (branches) on the Balance Account 40503 "Accounts of Federally Owned Organisations. Non-Commercial Organisations" for the registration of operations with resources obtained from entrepreneurial and other profitable activities.

Registered in the Ministry of Justice of the Russian Federation on November 23, 2004. Reg. No. 6130.

Direction of the Central Bank of Russia No. 1510-U of October 28, 2004 on the Amendments to the Direction of the Bank of Russia No. 1260-U of March 24, 2003 on the Procedure for Bringing in Compliance the Amount of the Registered Capital and the Amount of Own Resources (Capital) of Credit Organisations

The procedures specified in the Direction of the Bank of Russia No. 1260-U of March 24, 2003 do not apply to credit organisations where the amount of own resources (capital) became lower than the amount of the registered capital as defined in the constituent documents if less than two years elapsed from the day of issue of the license for bank operations to the credit organisation.

The Direction is entered into force 10 days after the day of its official publication in the Herald of the Bank of Russia.
Registered in the Ministry of Justice of the Russian Federation on November 22, 2004. Reg. No. 6127.

Main Directions of the Uniform State Monetary and Credit Policy for the Year 2005 (Approved by the Council of Directors of the Central Bank of Russia on November 15, 2004)

The main goal of the monetary and credit policy is reduction of inflation to the planned level (to 7.5%-8.5% in 2005, 6.0%-7.5% in 2006 and 5.0%-6.5% in 2007).

Depending on the combination of external and internal factors, the official forecast of the Government of the Russian Federation of the socio-economic development of the Russian Federation in 2005 includes three options.

The first option of the development of the Russian economy suggests an impairment of the price situation for commodities of the Russian export at the world markets. The price for the Russian oil will decrease to USD 22.5 per barrel. GDP will grow 4.8%. Estimated average annual USD rate will be Rbl 30.7.

The second option implies that the prices at the power supply market will go down, however, to a lesser degree as compared to the first option. The price for the Russian oil according to this option will amount to USD 26 per barrel. Increased domestic demand - both consumer and investment one - will provide for the GDP growth by 6.0%. Estimated average annual USD rate will amount to Rbl 30.2.

The third option suggests the most favourable condition of the foreign-trade situation. The price for the Russian oil will be USD 28 per barrel. This price will be used in the estimate of incomes of the federal budget for the year 2005. GDP growth will reach 6.3%. Estimated average annual USD rate will be Rbl 30.0.
Besides, the Bank of Russia does not exclude the situation when the favourable foreign-trade situation for the Russian energy carriers similar to the one available in 2004 will not only preserve but may even improve. This permitted to develop two more options of the balance of payments and the monetary program corresponding to the average annual price for the Russian oil at the level of USD 31 per barrel (option 4) and USD 35 per barrel (option 5).

Decision of the Government of the Russian Federation No. 664 of November 19, 2004 on the Endorsement of the Rules of Consumption and Recording of Resources of Subventions Provided from the Federal Budget to the Budgets of the Subjects of the Russian Federation to Make Annual Monetary Payments to Citizens Awarded with the Badge "Honoured Donor of Russia"

The subventions are entered in the budgets of the subjects of the Russian Federation on the accounts of the Federal Treasury bodies opened for cash services for the execution of the budgets of the subjects of the Russian Federation. Registration of operations of the granting of the monetary payments is arranged on the personal account of the recipient of the resources of the budget of the subject of the Russian Federation opened in the Federal Treasury body.

Decision of the Government of the Russian Federation No. 663 of November 19, 2004 on the Procedure of Awarding the Citizens with the Badge "Honoured Donor of Russia" and Providing the Annual Monetary Payment to Citizens Awarded with the Badge "Honoured Donor of Russia"

The badge "Honoured Donor of Russia" is awarded to citizens having donated blood 40 times and more and blood plasma 60 time and more free of charge. The awarding is vested in the Ministry of Public Health and Social Development of Russia at the presentation of the bodies of executive power of the subjects of the Russian Federation. When receiving the badge, the awarded get explanations of their rights for the social support. In particular, the mentioned citizens are entitled for the annual monetary payments in the amount of Rbl 6,000 (with subsequent indexing).

The Direction is entered into force from January 1, 2005.

Decision of the Plenum of the Supreme Court of the Russian Federation No. 23 of November 18, 2004 on the Judicial Practice in Cases of Illegal Entrepreneurial Activities and Legalisation (Laundering) of Monetary Resources and Other Property Obtained in a Criminal Way

Explains individual issues of application of legislation on the criminal responsibility for the crimes in the sphere of economic activities envisaged in Articles 171, 174 and 174.1 of the Criminal Code of the Russian Federation.

The incomes in Article 171 of the Criminal Code of the Russian Federation implies receipts from the sale of commodities (works, services) during the period of illegal entrepreneurial activities including the expenses made by the person pertaining to the illegal entrepreneurial activities.

If the person not registered as an independent entrepreneur purchased immovable property for personal needs or inherited it or obtained it under a donation contract, and leased it on the temporary basis because of the absence of the need to use it while getting an income as a result of such transaction (including the one in large and especially large amounts), the deed does not imply a criminal responsibility for the illegal entrepreneurial activities. If the mentioned person avoids the payment of taxes or fees from the obtained income, his actions contain the signs of the crime envisaged in Article 198 of the Criminal Code of the Russian Federation (avoidance of taxes).

If the legal entity possessing the special legal right to carry out only certain types of activities (for example, banking, insurance, audit) engages also in other types of activities not permitted in the constituent documents and available license, such actions pertaining to illegal types of activities must be regarded as illegal entrepreneurial activities.

Order of the Federal Guard Service of the Russian Federation No. 420 of October 29, 2004 on the Endorsement of the Instruction on the Procedure of Inclusion for the Servicemen of the Federal Bodies of the State Guard Service in the Length of Service for the Pension and Supplement for the Length of Service of Their Employment Periods before Admission to the Military Service

Contract servicemen out of qualified specialists may include in the length of service used for the pension purposes and calculation of the supplement for the length of service the periods of employment before admission to the military service included in the insured length of service permitting to get the pension. Inclusion of the periods of employment for the servicemen is arranged directly before their dismissal from the military service.

The periods of employment must be included in the length of service in calendar figures with the minimum length necessary to get the right for the pension, however, not greater than 10 years.

Registered in the Ministry of Justice of the Russian Federation on November 23, 2004. Reg. No. 6138.

Order of the Ministry of Finance of the Russian Federation No. 71n of August 26, 2004 on the Endorsement of the Procedure of Transfer of Precious Metals and Precious Stones Converted in the State Property to the Ministry of Finance of Russia

The Ministry of Finance of Russia will get handed over to it confiscated (withdrawn) and ownerless values, values declared for withdrawal in favour of the state when moved across the customs border of the Russian Federation, buried treasures and other values converted in the state property. The state body (organisation) possessing the values or the bailiff shall send the values to the state institution in charge of the forming of the State Fund of Precious Metals and Precious Stones of the Russian Federation, storage, release and use of precious metals and precious stones of the Ministry of Finance of Russia.

The State Depository of Precious Metals of Russia is used to hand over the values of the buried treasures found on the land plots or in other property possessed by the Russian Federation, as well as the buried treasures containing items qualified as monuments of history or culture.

Acceptance of values is arranged using the act of acceptance of values, the form being provided.

Registered in the Ministry of Justice of the Russian Federation on November 23, 2004. Reg. No. 6133.

Decision of the Government of the Russian Federation No. 673 of November 25, 2004 on the Prolongation of the Decision of the Government of the Russian Federation No. 40 of January 23, 2004

Prolongs for 9 months the provision of non-application of the rate of the import customs duty endorsed by the Decision of the Government of the Russian Federation No. 830 of November 30, 2001 for aluminium oxide other than artificial corundum (code according to the Foreign-Trade Commodity Nomenclature of the Russian Federation 2818 20 000 0).

The Decision is entered into force from November 29, 2004.

Order of the Ministry of Emergency Situations of the Russian Federation No. 484 of October 25, 2004 on the Endorsement of the Typical Safety Certificate of the Territories of the Subjects of the Russian Federation and Municipal Formations

The safety certificate is worked out to determine the figures of the level of risk of emergency situations, assess their possible consequences, assess the status of works of the territorial bodies in prevention of emergency situations, as well as to work out the measures to reduce the risk and alleviate the consequences of emergency situations on the territory. The working out of the safety certificate shall be arranged by the body of executive power of the subject of the Russian Federation or the body of local government. The Order lists the sections of the safety certificate, provides its form.

Registered in the Ministry of Justice of the Russian Federation on November 23, 2004. Reg. No. 6144.

Order of the Ministry of Culture and Mass Communication of the Russian Federation No. 52 of September 16, 2004 on the Endorsement of the Rules of Granting Subsidies to Creative Associations at the Expense of Resources of the Federal Budget

Specifies the procedure of rendering state support to creative associations at the expense of resources of the federal budget in the form of subsidies. The functions of the chief administrator of resources of the federal budget envisaged for the state support of creative unions is vested in the Ministry of Culture of Russia. The subsidies are provided to the creative unions engaged in economic activities and paying the profit tax to the federal budget. The subsidies are allocated to provide for the measures in the sphere of culture and arts, social support of creative workers, outstanding figures of art, young talented authors and performers, assistance of promotion of arts in mass media in compliance with the chartered activities of the creative unions.

Registered in the Ministry of Justice of the Russian Federation on November 23, 2004. Reg. No. 6140.

Order of the Ministry of Public Health and Social Development of the Russian Federation No. 179 of November 1, 2004 on the Endorsement of the Procedure of Rendering of Emergency Medial Aid

Emergency medical aid is rendered to persons needing an emergency medical interference (in cases of accidents, injuries, intoxication and other conditions and diseases), is provided without delay by medical treatment and preventive institutions regardless of the territory, agency affiliation and forms of ownership by medical workers, as well as the persons who have to render the first aid according to the law or special rule. Emergency medical aid to the citizens of the Russian Federation and other persons on its territory is provided free of charge.

The stations of the emergency medical aid are deployed within 20 minutes of travel. The covered areas are specified proceeding from amount and population density, city planning particulars, availability of industrial enterprises, condition of transport routes, traffic intensity.

The procedure is entered into force from January 1, 2005.

Registered in the Ministry of Justice of the Russian Federation on November 23, 2004. Reg. No. 6136.

Decision of the Constitutional Court of the Russian Federation of November 29, 2004 on the Case of Constitutionality of Paragraph 1 of Item 4 of Article 64 of the Law of the Leningrad Province on the Elections of the Deputies of Representative Bodies of Local Government and Officials of Local Government in the Leningrad Province Pursuant to the Appeal of Citizens V.I.Gnezdilov and S.V.Pashigorov

According to the applicants, the norm of the mentioned Law depreciate the rights of the electorate having voted against all candidates, because their opinion is not taken into account in the vote count. In the determination of the winners, only those votes are summed up who voted in favour of the candidates. According to the common rule, if there were more votes against all candidates than for the leading candidate, the election must be invalidated. However, according to the mentioned Law, in all other cases, the votes against all candidates do not affect the vote count. According to the applicants, this contradicts the norms of the Constitution of the Russian Federation stating that the supreme bearer of power in the Russian Federation is the people, the norms of free elections, as well as the norms of equality of citizens. According to the applicants, the challenged norm separates the citizens into two groups unequal in their rights: into those who voted for any candidate and whose votes are taken into acco unt and those who voted against all candidates and whose votes are not taken into account. Besides, the voter feels under pressure knowing that his vote will not be taken into account if he votes against all candidates.

The Constitutional Court of the Russian Federation pointed out that the fact of the negative attitude of the majority of voters to all candidates confirmed with the vote against all candidates by a larger number of voters as compared to those who voted for the candidate having collected the majority of votes means that the given candidate did not get support of the voters necessary and sufficient for the genuine representation of the people. Therefore, such candidate may not be recognised as elected under the available legal regulation.

The Constitutional Court of the Russian Federation recognised the provision of Paragraph 1 of Item 4 of Article 64 of the Law of the Leningrad Province on the elections of the deputies of representative bodies of local government and officials of the local government in the Leningrad Province as not contradicting the Constitution of the Russian Federation since the norm contained in it does not violate the delimitation of the sphere of reference and authority between the bodies of state power of the Russian Federation and the bodies of state power of its subjects specified in the Constitution of the Russian Federation, as well as the electoral rights of the citizens of the Russian Federation specified in it.

The Decision is entered into force immediately after annunciation.

Decision of the Government of the Russian Federation No. 690 of November 26, 2004 on the Program of State Guarantees of Rendering of Free Medical Aid to the Citizens of the Russian Federation in 2005

The program of state guarantees defines the types and volumes of medical aid rendered to the population free of charge. The financing of the program is implemented at the expense of resources of the budgets of all levels, resources of obligatory medical insurance and other receipts. The program is used by the bodies of state power of the subjects of the Russian Federation to work out and endorse the territorial programs that may envisage additional volumes and types of medical aid at the expense of resources of the budgets of the subjects of the Russian Federation.

In the framework of the program, the citizens of the Russian Federation shall enjoy free of charge emergency medical aid, out-patient and stationary medical aid, as well as the necessary medicines for individual categories of citizens. The program specifies the normatives of the volumes of medical aid, normatives of financial expenses per unit of volume of medical aid and per capita normatives of financing of the program.

The per capita normatives amount on the average to Rbl 3,157 per person per year, including Rbl 1,507.5 at the expense of resources of obligatory medical insurance (without expenses for the necessary medicines).

The Decision is entered into force from January 1, 2005.

Decision of the Government of the Russian Federation No. 689 of November 26, 2004 on the Fixing of the Cost of Living in Per Capita Figures and for the Main Socio-Demographic Groups of Population for the Whole of the Russian Federation for the III Quarter of 2004

The cost of living is specified for the whole of the Russian Federation for the III quarter of 2004 in the amount of Rbl 2,396 per capita, Rbl 2,629 for the able-bodies population, Rbl 1,816 for the pensioners, Rbl 2,336 for children.

Decision of the Government of the Russian Federation No. 688 of November 26, 2004 on the Amendments to the Regulation on the Duties for the Patenting of Inventions, Useful Models, Industrial Prototypes, Registration of Trade Marks, Service Marks, Names of the Places of Origin of Commodities, Rights of Use of the Names of the Places of Origin of Commodities

Specifies that the patent duties are collected for the patenting of secret inventions. Prolongation of the time of submission of the application for the invention, application for the useful model, application for the industrial prototype requesting conventional priority is charged with the duty in the amount of Rbl 150.

The Decision is entered into force from the day of its official publication.

Decision of the Government of the Russian Federation No. 682 of November 25, 2004 on the Endorsement of the Procedure of Granting of Subventions from the Federal Budget to Finance Additional Expenses of Scientific Cities of the Russian Federation

The Ministry of Finance of Russia shall grant subventions to municipal formations possessing the status of scientific cities of the Russian Federation to finance the measures of development and support of the social, engineering and innovation infrastructure of the scientific cities.

Within 2 weeks of the adoption of the federal law on the federal budget, the body of local government of the scientific city shall submit the list of the mentioned measures for endorsement to the Ministry of Education and Science of Russia.

Decision of the Government of the Russian Federation No. 681 of November 25, 2004 on the Endorsement of the Procedure of Consideration of Suggestions to Assign the Status of the Scientific City of the Russian Federation to the Municipal Formation and Terminate This Status

Defines the procedure of examination of the documents for the assigning of the status of the scientific city of the Russian Federation to a municipal formation, as well as the procedure of termination of this status. Suggestion to assign the status of the scientific city to the municipal formation is submitted to the Ministry of Education and Science of Russia by the head of the municipal formation in coordination with the bodies of state power of the subject of the Russian Federation. If the directions of activities specified for the scientific city are excluded from the priority directions of development of science, technologies and equipment, or if there is a motivated request of the representative body of local government of the municipal formation, the Ministry of Education and Science of Russia prepares a suggestion for an early termination of the status of the scientific city.

Decision of the Government of the Russian Federation No. 678 of November 25, 2004 on the Amendments to the Decision of the Government of the Russian Federation No. 100 of February 12, 2001

Amends the procedure of recognising as desperate for collection and writing off of arrears and debts in penalties for the federal taxes and fees. The given procedure applies to the debts in insurance contributions to the state social extra-budgetary funds, accrued penalties and fines available with organisations as of January 1, 2001.

Information Letter of the Presidium of the Higher Arbitration Court of the Russian Federation No. 85 of November 17, 2004

Provides the review of the practice of solving of disputes under the contract of commission. The review contains the issues of determination of the legal nature of the contract of commission, rights and duties of the parties, remuneration, execution of the order of commission and other.

Thus, the right of claim of the remuneration does not depend on the execution of the transaction concluded between the commission agent and the third party if otherwise is not implied in the obligation or agreement of the parties.

If the buyer pays for the commodity in instalments, the commission agent, in the absence of another agreement, may collect the commission in full amount from the first received amount.

In case of a refusal on the part of the commission agent to provide to the client information on transactions concluded in execution of the commission order of sale of commodities, the client may demand reimbursement of the full market cost of all handed over to the commission agent commodities without paying the remuneration.

Order of the Federal Service of Tariff Rates No. 142-e/1 of October 26, 2004 on the Amendments to the Decision of the Federal Power Supply Commission of the Russian Federation No. 88-e/1 of October 28, 2003 on the Endorsement of the Methodology Directions on the Regulation of Tariff Rates for the Services in Gas Transportation over Gas Distribution Networks

According to the amendments, tariff rates are endorsed for one year. Tariff rates may be revised during the year in case of a request of the subject of regulation or at the initiative of the body in charge of the regulation (Federal Service of Tariff Rates of Russia) if there are reasons resulting in the loss of profitability of the regulated type of activities for the subject of regulation, or if he gets an unexpected profit, or for other justifiable reasons. Gas distribution organisations where tariff rates for transportation were not revised shall apply from January 1, 2004 tariff rates for gas transportation to end users equal to the sum of the actual rates for the use of gas distribution networks and for the services of gas transportation taking into account their differentiation by the groups of end users endorsed before January 1, 2004.

The new wording is provided for the following appendices: "Coefficients of Specific Complexity of Servicing of the Gas Distribution System", "Calculation of Expenses of Gas Transportation over Gas Distribution Networks", "Calculation of Maintenance Expenses for the In-House Gas Equipment", "Description of Operating and Non-Sale Expenses", "Calculation of Profits Necessary for the Economic Activities" and "Information on the Main Production Funds Used in Gas Transportation in the Sphere of Responsibility".

Registered in the Ministry of Justice of the Russian Federation on November 23, 2004. Reg. No. 6135.

Federal Law No. 141-FZ of November 29, 2004 on the Amendments to Part 2 of the Tax Code of the Russian Federation and Some Other Legislative Acts of the Russian Federation, As Well As on Invalidation of Individual Legislative Acts (Provisions of Legislative Acts) of the Russian Federation

Part 2 of the Tax Code is extended to include new Section X "Local Taxes" and its Chapter 31 "Land Tax". The Law defines the circle of payers of the tax, object of taxation, taxable base and procedure of its determination and reduction.

The tax period is assumed to be a calendar year, for organisations and independent entrepreneurs, the reporting periods are assumed to be the first quarter, six months and nine months of the calendar year. According to Article 393 of the Code, local bodies may abstain from imposing the reporting period. Tax declarations for the tax are submitted no later than February 1 of the year following the expired tax period. Calculation of the amount of advance payments of the tax are submitted during the tax period no later than the last of the month following the expired reporting period.

Representative bodies of municipal formations (legislative (representative) bodies of state power of the cities of federal significance of Moscow and St.Petersburg), while specifying the land tax, must define the tax rates, procedure and time limits for tax payment. The tax rates may not be greater than 0.3% for the land plots qualified as the lands of agricultural destination, occupied by the housing fund and the objects of the engineering infrastructure of the housing complex, granted for personal auxiliary use, gardening or animal breeding, and 1.5% for other land plots. Differentiated rates may be introduced depending on the category of lands and/or permitted use of the land plot. In 2005, the rates of 2004 shall apply with the factor of 1.1, except for the land tax for the lands of agricultural destination.

Besides, tax exemptions, the grounds and procedure of their application may be introduced, including the exempted amount for individual categories of payers.

The Federal Law is entered into force from January 1, 2005, however, no sooner than one month after the day of its official publication, with exceptions. From January 1, 2006, the Law of the Russian Federation No. 1738-I of October 11, 1991 on the payment for the land is invalidated (except for Article 25 on the normative price for the land) and a number of other laws.

The text of the Federal Law has been published in Rossiyskaya Gazeta on November 30, 2004, No. 265.

Decision of the Government of the Russian Federation No. 686 of November 26, 2004 on the Non-Application of the Rate of the Export Customs Duty for Vanadium Oxides and Hydroxides

For vanadium oxides and hydroxides (code according to the Foreign-Trade Commodity Nomenclature of the Russian Federation 2825 30 000 0), the rate of the export customs duty endorsed by the Decision of the Government of the Russian Federation No. 1364 of December 9, 1999 does not change.

The Decision is entered into force one month after the day of its official publication.

Letter of the Federal Agency for Construction and the Housing and Communal Sector No. AP-5536/06 of November 18, 2004 on the Procedure of Application of the Normatives of Estimated Profit in Construction

When using in the local estimates the normatives of estimated profit for the types of construction, installation and repair works, the normatives are calculated for the sets of works defined according to the names of the guides: GESN-2001, GESNm-2001, GESNp-2001, GESNr-2001.

The Letter provides recommended normatives of estimated profit by the types of construction, repair and installation works. For organisations using the simplified system of taxation, the mentioned normatives of estimated profit are applied with the factor of 0.9.