Windfall tax for major companies to be introduced in Russia

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Daily Monitoring of the Legislation

Monitoring of the Federal Legislation dated 30.10.2001

Land Code of the Russian Federation No. 136-FZ of October 26, 2001

Citizens and legal entities have the right for equal access to the purchase of land plots as property. The Code envisages private and state property right for the land. Besides the property right, the Code envisages other grounds for possessing and using the land plots, such as the permanent (unlimited) use, life-time inherited possession of the land plots, restricted use of somebody else's land plots (servitude), land plot leasing, free limited use of land plots.
The right for the permanent (unlimited) use of land plots is granted only to state and municipal institutions, federal state-run enterprises, as well as the bodies of state power and bodies of local government.
Land plots in the state or municipal possession are provided to citizens and legal entities as property at a cost. The decision providing the land plot in possession must be taken within two weeks from the day of submission of the application in writing to the executive body of state power or body of local government. It is not permitted to refuse to provide land plots in possession for construction except for the cases of: removal of the land plots from circulation, prohibition of privatization specified in the Federal Law, land plot reservation for state or municipal needs.
In case of a transfer of the property right for a building, structure located on somebody else's land plot, the new owner acquires the right of use of the appropriate part of the land plot occupied by the building, structure necessary for its use on the same conditions and in the same amount as the previous owner.
Alienation of the building, structure is carried out together with the land plot. It is not permitted to alienate a land plot without the building, structure located on it if they belong to one and the same person.
The object of the purchase-and-sale deal may only be the land plots having undergone the state cadastral registration.
The Land Code is published in Rossiyskaya Gazeta on October 30, 2001, No. 211-212.

Federal Law No. 137-FZ of October 26, 2001 on the Entering into Force of the Land Code of the Russian Federation

The Land Code of the Russian Federation is entered into force from the day of its official publication.
The Law introduces the procedure of determination of the cost of the land plots in the state or municipal possession in cases of sale of these land plots to the owners of buildings, structures located on them. An adjustment coefficient is applied to the cost of the land plot in case of its sale, depending on the use of the building, structure located on the land plot.
The rights for the land other than those envisaged in the Land Code of the Russian Federation are to be reregistered from the day of its entry into force. Legal entities, except for the state and municipal institutions, federal state-run enterprises, as well as the bodies of state power and bodies of local government, must reregister the right for the permanent (unlimited) use of the land plots as the lease right for the land plots or purchase the land plots in possession according to their desire before January 1, 2004.
The property right of citizens for the land plots earlier provided to them for the permanent (unlimited) use, life-time inherited possession has no time restrictions.
It is not permitted to contribute the right of the permanent (unlimited) use for the land plots to the registered (shared) capitals of commercial organizations.
Privatization of buildings, structures without the simultaneous privatization of the land plots where they are located is not permitted, except for the cases if such land plots are removed from circulation or have circulation restrictions.
Circulation of agricultural lands shall be regulated by the special law. Before its adoption, the actual legislation remains in effect taking into account the fact that the category and use of the land plot for the designated purposes in case of a transfer of the property right may not be changed. Foreign citizens, stateless persons and foreign legal entities may possess and use land plots of agricultural destination only on lease terms. Privatization of land plots of agricultural destination in the state or municipal possession is not permitted.
The text of the Law is published in Rossiyskaya Gazeta on October 30, 2001, No. 211-212.

Federal Law No. 141-FZ of October 25, 2001 on the Amendment to Article 12 of the Federal Law on Obligatory Social Insurance against Industrial Accidents and Occupational Diseases

Changes the procedure of calculation of the amount of the monthly insurance pay for the persons entitled for insurance payments in case of death of the insured. Earlier, the amount of pay was calculated proceeding from the average monthly earnings of the insured, as well as the pensions, life endowment and other similar payments received during his life less the shares due to himself and the able-bodied persons not entitled for insurance payments. From the moment of entry of the Federal Law into force, the calculation does not include able-bodied persons not dependent on the insured and not entitled for insurance payments. This will permit to increase the amount of insurance payments to persons entitled for insurance support.
The Federal Law is entered into force from the day of its official publication. The text of the law is published in Rossiyskaya Gazeta on October 30, 2001, No. 211-212.

Federal Law No. 140-FZ of October 25, 2001 on the Execution of the Budget of the State Employment Fund of the Russian Federation for the Year 2000

Endorses the report of execution of the budget of the State Employment Fund of the Russian Federation for the year 2000, with incomes exceeding the expenses by Rbl 4,776.1 million.
The Federal Law is entered into force from the day of its official publication. The text of the Law is published in Rossiyskaya Gazeta on October 30, 2001, No. 211-212.

Federal Law No. 139-FZ of October 25, 2001 on the First-Grade Tariff Rate (Salary) of the Uniform Tariff of Labor Remuneration of Employees of Organizations of the Budget-Supported Sphere

Beginning with January 1, 2001, the tariff rate of labor remuneration of the mentioned employees is fixed to amount to Rbl 132, and beginning with December 1, 2001, Rbl 450 per month. Beginning with December 1, 2001, the correlation of the first-grade and eighteenth-grade tariff rates (salaries) of the Uniform Tariff of Labor Remuneration of Employees of Organizations of the Budget-Supported Sphere is fixed to amount to at least 1 to 4.5. Intergrade tariff coefficients shall be endorsed by the Government of the Russian Federation upon coordination with the all-Russia associations of trade unions and all-Russia associations of employers.
The Federal Law is entered into force from the day of its official publication.

Decision of the Government of the Russian Federation No. 738 of October 26, 2001 on the Granting of the State Guarantee of the Russian Federation in Insurance of Civil Responsibility of the Russian Air Carriers

Defines the procedure and cases granting the state guarantees in insurance of the military risk of responsibility of the Russian air carriers to third parties. The state guarantee is provided to the insurer free. When insurance policy for the civil responsibility to third parties backed with the state guarantee is drawn up and issued to the Russian air carriers, the insurer may not collect insurance premium, brokerage or commission from air carriers.

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