Monitoring of the Federal Legislation dated 10.06.2003

Federal Law No. 65-FZ of June 6, 2003 on the Amendment to Part 2 of the Tax Code of the Russian Federation, Amendments to Some Other Legislative Acts of the Russian Federation and Invalidation of Some of the Legislative Acts of the Russian Federation

The Tax Code of the Russian Federation is extended to include new Chapter 26.4 "Taxation System in Product Sharing Agreements". The new special tax regime envisages replacement of the multitude of taxes and fees with the sharing of produced items under the product-sharing agreement, preserving the duty to pay a number of taxes (including VAT, profit tax, uniform social tax, tax on extraction of mineral resources and other) taking into account the particulars envisaged in the new chapter of the Tax Code.
Meanwhile, there are changes to the Federal Law on the product sharing agreements, Law of the Russian Federation on the mineral resources and a number of other legislative acts.
The Federal Law is entered into force from the day of its official publication.

Federal Law of the Russian Federation No. 66-FZ of June 6, 2003 on the Ratification of the Charter of the Shanghai Cooperation Organisation

Ratifies the Charter of the Shanghai Cooperation Organisation signed on behalf of the Russian Federation in St.Petersburg on June 7, 2002.

Federal Law of the Russian Federation No. 62-FZ of May 29, 2003 on the Ratification of the Treaty between the Russian Federation and the United States of America on Strategic Offensive Reductions

Ratifies the Treaty between the Russian Federation and the USA on strategic offensive reductions (hereinafter, SORT) signed in Moscow on May 24, 2002.
Specifies the authority of the President of the Russian Federation, chambers of the Federal Assembly of the Russian Federation and the Government of the Russian Federation in execution of the SORT treaty. Defines exclusive circumstances permitting to exit the Treaty. Such circumstances may include: significant violations of the obligations under the Treaty by the other side, deployment by the other state or group of states of the antimissile defence system capable of reducing significantly the efficiency of strategic nuclear forces of the Russian Federation, the stockpiling by the other state or group of states of strategic offensive armaments or decisions taken by them in the military sphere, as well as other obligations, that may jeopardize the highest interests of the Russian Federation.
The Federal Law is entered into force from the day of its official publication.

Decree of the President of the Russian Federation No. 613 of June 5, 2003 on the Law Enforcement Service in the Bodies in Charge of Control of the Circulation of Narcotic and Psychotropic Substances

Endorses the Regulation on the law enforcement service in the bodies in charge of control over the circulation of narcotic and psychotropic substances.
The law enforcement service in the bodies of control over circulation of narcotic and psychotropic substances is a type of state service of the citizens of the Russian Federation occupying positions in the law enforcement service of the State Committee of the Russian Federation for Control over Circulation of Narcotic and Psychotropic Substances and its territorial bodies.
The Decree specifies restrictions for admission to service in the bodies of the state drug control, as well as age restriction specified for the bodies in the bodies of the state drug control. Employees of the federal bodies of the tax police, bodies of internal affairs of the Russian Federation, servicemen dismissed from the mentioned bodies and military service because of the transfer to the bodies of control over circulation of narcotic and psychotropic substances are exempted from the age restrictions envisaged in the present Regulation.
The Decree is entered into force from July 1, 2003.

Decision of the Government of the Russian Federation No. 328 of June 5, 2003 on the Endorsement of the Rules of Suspension of Operations on Personal Accounts of Chief Administrators, Administrators and Recipients of the Resources of the Federal Budget Opened in the Federal Treasury Bodies

Specifies the procedure of suspension of operations on personal accounts of chief administrators, administrators and recipients of resources of the federal budget opened in the federal treasury bodies.
The suspension of operation on the personal accounts is effected in cases of failure to submit within specified time limits of reports and other accounting and financial documents pertaining to the use of resources of the federal budget, information on the sources of the building debts and the figures of the budget classification of the Russian Federation implying the expenses of the federal budget in execution of the requirements of the writs of execution or in cases of violation of the procedure of recording of obligations due for execution at the expense of the federal budget specified by the Government of the Russian Federation.
If violations are revealed, the chief administrator, administrator and recipient of the resources of the federal budget having committed this violation get a representation demanding to eliminate the violation drawn up according to the form endorsed by the Ministry of Finance of the Russian Federation. If the demand to eliminate the violation is not executed within 5 working days from the date of receiving of it, the federal treasury takes the decision to suspend operations on the personal accounts until elimination of the violation.
The Decision provides the list of officials who may take the decision to suspend operations on personal accounts.

Decision of the Government of the Russian Federation No. 327 of June 5, 2003 on the Amendments to the Customs Tariff of the Russian Federation

The Foreign Trade Commodity Nomenclature of the Russian Federation now does not include Subheading 3904 10 009 0 and includes Subheadings 3904 10 009, 3904 10 009 1 and 3904 10 009 9 (varieties of polyvinyl chloride). Specifies the rates of import customs duties for the subheadings included in the Foreign Trade Commodity Nomenclature.
The Decision is entered into force one month after the day of its official publication and preserves its force for 9 months.