Monitoring of the Federal Legislation dated 15.12.2006

Letter of the Ministry of the Industry and Power Supplies of the Russian Federation and the Ministry of Regional Development of the Russian Federation Nos. AP-6893/08, 12325-YuT/08 of November 29, 2006

Explains that Construction Norms and Rules adopted by the State Construction Committee of Russia in 2001-2003 before the entry into force of the Federal Law on the technical regulation must be applied on the obligatory basis together with other similar norms adopted earlier and registered in the Ministry of Justice of Russia before the entry into force of the appropriate technical regulations, since the Ministry of Justice of the Russian Federation reported that it has decided to abstain from processing them for the purposes of state registration.

Letter of the Federal Service for Labour and Employment No. 1904-6-1 of November 20, 2006

If the payment for the leave earlier was calculated from the actually accrued earnings for the most recent three calendar months, from October 6, 2006, the average earnings are determined proceeding from the earnings for the most recent 12 calendar months. The new procedure of calculation of the average earnings applies when the leave is granted to the employee after October 6, 2006.

Calculation of the average earnings includes all payments envisaged in the labour remuneration system and applied in the appropriate organisation regardless of the sources of these payments. To determine the average earnings for the purposes of the leave, it is necessary to determine: the estimate period for the calculation of the average earnings; amount of earnings in the estimated period taken into account in the calculation of the average earnings; average daily earnings for the purposes of the leave; number of days of the leave due for payment; amount of earnings to cover the leave.

If one or several months of the estimate period are not complete, the average earnings are determined by dividing the amount of the actually accrued earnings for the estimate period by the amount of the average monthly calendar days (29.4 or 29.6 for the leave provided before October 6, 2006) multiplied by the number of complete months and the number of calendar days in incomplete months of the estimate period. The number of calendar days in incomplete months is calculated by multiplying the working days using the five-working-days-a-week pattern falling on the time of work by the factor of 1.4.

Letter of the Federal Tax Service No. ShT-6-21/1062@ of November 2, 2006 on the Property Tax from Organisations

The object of taxation for the property tax from organisations for the Russian organisations is recognised to be movable and immovable property run on the balance as objects of fixed assets.

The objects of the dwelling fund being the objects of immovable property run on the balance as objects of fixed assets are included in the objects of taxation for the property tax from organisations. In this case, these objects are excluded from objects where redemption of their cost through amortisation is not envisaged.

As to the objects of the dwelling fund accepted as objects of fixed assets for accounting purposes, the amortisation must be accrued after January 1, 2006, and for the objects of the dwelling fund accepted on the balance before the mentioned date, the organisations continue to accrue the amortisation in the end of the year.