Monitoring of the Federal Legislation dated 21.06.2005

Federal Law No. 67-FZ of June 18, 2005 on the Ratification of the Agreement between the Russian Federation and the Republic of Kazakhstan on the Development of Cooperation in Efficient Use of the Baykonur Complex

Ratifies the Agreement signed in Astana on January 9, 2004. The Agreement envisages, in particular, prolongation of the lease term of the Baykonur complex till 2050 by the Russian Federation.

Federal Law No. 66-FZ of June 18, 2005 on the Amendment to Article 18.13 of the Code of Administrative Violations of the Russian Federation

Increases administrative fines for the violations pertaining to assistance in employment abroad rendered to Russian citizens. In cases of such violations, the citizens are fined with the amount of 20 to 25 minimum amounts of labour remuneration (earlier, 5 to 10), officials - from 40 to 50 minimum amounts of labour remuneration (earlier, 10 to 20), legal entities - from 400 to 500 (earlier, 100 to 200) minimum amounts of labour remuneration.

Federal Law No. 65-FZ of June 18, 2005 on the Dissolving of Some of the Regional Courts of the Ivanovo Province

Dissolves the Verkhnelandekhovsky, Ilyinsky and the Luksky regional courts of the Ivanovo province. Issues in the sphere of jurisdiction of these courts are handed over to the Pestyakovsky, Teykovsky and the Palekhsky regional courts of the Ivanovo Province.

The Teykovsky City Court of the Ivanovo Province becomes the Teykovsky Regional Court of the Ivanovo Province.

The Federal Law is entered into force one month after the day of its official publication except for individual norms where another time limit for the entry into force is envisaged.

Federal Law No. 64-FZ of June 18, 2005 on the Amendments to Article 346.29 of Part 2 of the Tax Code of the Russian Federation

Permits the subjects of the Russian Federation to specify not only the value of the correction coefficient K2 showing the impact of individual factors on the results of entrepreneurial activities subject to the uniform tax, but also the procedure of its calculation.

The Federal Law is entered into force from January 1, 2006, however, no sooner than one month after the day of its official publication and no sooner than the 1st of the subsequent tax period for the uniform imputed income tax for individual types of activities.

Federal Law No. 63-FZ of June 18, 2005 on the Amendments to Article 346.26 of Part 2 of the Tax Code of the Russian Federation

Envisages that in determination of the types of activities for the uniform imputed income tax, the subjects of the Russian Federation may choose the household services classified under the All-Russia Classifier of Services to the Population where the given tax regime applies.

The Federal Law is entered into force from January 1, 2006.

Federal Law No. 62-FZ of June 18, 2005 on the Amendment to Article 363 of Part 2 of the Tax Code of the Russian Federation

Item 3 of Article 363 of the Tax Code of the Russian Federation specifies the time limit for handing in to natural persons of the tax notifications to pay the transport tax no later than June 1 of the year of the tax period. However, according to Article 52 of the Tax Code of the Russian Federation, the tax notification is sent to the taxpayer no later than 30 days in advance of the time of payment. Since the time limit for payment of the transport tax is specified by the subjects of the Russian Federation, the time limit for calculation of the mentioned tax for the tax bodies was significantly reduced.

According to the new wording of Item 3 of Article 363, the mentioned natural person taxpayers shall pay the transport tax on the basis of the tax notification sent by the tax body.

The Federal Law is entered into force from January 1, 2006, however, no sooner than one month after the day of its official publication.

Federal Law No. 61-FZ of June 18, 2005 on the Amendments to the Federal Law on the Securities Market, Federal Law on the Protection of Rights and Legal Interests of Investors at the Securities Market and the Federal Law on the Central Bank of the Russian Federation (Bank of Russia)

If the issue of emission securities is not subject to the state registration, an identification number is assigned to it. The identification number is implied to be a digital (alphabetic, character) code identifying the particular issue (additional issue) of emission securities not subject to the state registration. The identification number of the issue (additional issue) of the bonds of the Bank of Russia is assigned by the Bank of Russia according to the procedure specified by the federal body of executive power in charge of the securities market.

The Law specifies the particulars of issue and circulation of the bonds of the Bank of Russia. Invalidates the provision stating that the mentioned particulars are specified by the Government of the Russian Federation. Specifies, in particular, that the issue of the bonds of the Bank of Russia is made without the state registration of the issue (additional issue) of such bonds, without the prospectus and without the state registration of the report of the results of issue (additional issue) of the bonds.

Federal Law No. 60-FZ of June 18, 2005 on the Amendments to Article 3 of the Federal Law on the Entry into Force of the Land Code of the Russian Federation and to Article 3 of the Federal Law on the Privatisation of the State Municipal Property

Land plots available in the state or municipal property housing the buildings and structures owned as of the day of entry into force of the Land Code of the Russian Federation by all-Russia public organisations of invalids and organisations where the sole founders are all-Russia public organisations of invalids are granted as property to the mentioned organisations free of charge.

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

Decision of the Government of the Russian Federation No. 383 of June 17, 2005 on the Endorsement of the Typical Code of Professional Ethics of the Management Companies, Specialised Depositary, Brokers Engaged in Activities Pertaining to Generation and Investing of Savings for the Housing Support of Servicemen and the Rules of Coordination of the Codes of Professional Ethics of the Management Companies, Specialised Depositary, Brokers Engaged in Activities Pertaining to Generation and Investing of Savings for the Housing Support of Servicemen with the Federal Service for Financial Markets

The typical code defines fundamentals of professional ethics of officials and employees of the management companies, specialised depositaries, brokers intended to protect the rights and legal interests of owners of savings for the housing support of servicemen and participants of the accumulated mortgage system. The typical code includes rules and procedures obligatory for observation by officials and employees of the organisation, as well as the sanctions to violators for the failure to execute them.

Specifies the procedure of coordination of the typical codes with the Federal Service for Financial Markets of Russia.

Letter of the Ministry of Finance of the Russian Federation No. 03-03-02-04/1-138 of June 8, 2005

The provision specifying the duty of the taxpayer using the simplified system of taxation to pay the minimum tax if the amount of the uniform tax calculated as a result of the tax period according to the common procedure appears to be less than the amount of the minimum tax calculated for the same period applies also to the taxpayer having lost the right for the simplified system of taxation during the calendar year.

Tax declarations for the appropriate tax period are submitted, and the minimum tax is paid, upon expiry of the reported period where the taxpayer lost the right for the simplified system of taxation, however, no later than the time limit specified for submission of the tax declarations and transfer of the quarterly advance payments for the uniform tax for this reporting period.

Letter of the Department of the Tax and Customs Tariff Policy of the Ministry of Finance of the Russian Federation No. 03-06-05-04/156 of June 7, 2005 on the Procedure of Calculation of the Property Tax for the Fixed Assets Available on the Balance of a Separate Division

Explains the issue of calculation of the taxable base for the property tax from organisations when the object of fixed assets of the division is in the place of location of the parent organisation.

The movable property is taken into account in the determination of the taxable base of the separate division with a separate balance, and the tax is paid at the place of location of this division. The immovable property is taken into account in the determination of the taxable base of the organisation, and the tax is paid at the place of location of the organisation.