Windfall tax for major companies to be introduced in Russia

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Monitoring of the Federal Legislation dated 29.07.2005

Federal Law No. 70-FZ of June 29, 2005 on the Invalidation of the RSFSR Laws on the Adygeya Autonomous Province, on the Altay Mountain Autonomous Province, on the Jewish Autonomous Province, on the Karachayevo-Cherkess Autonomous Province, on the Khakassiya Autonomous Province and Individual Provisions of Some of the Legislative Acts of the Russian Federation

To bring the actual legislation of the Russian Federation in compliance with the Constitution of the Russian Federation, the federal and regional legislation invalidates the RSFSR Laws of December 2, 1981 on the Adygeya Autonomous Province, on the Altay Mountain Autonomous Province, on the Jewish Autonomous Province, on the Karachayevo-Cherkess Autonomous Province, on the Khakassiya Autonomous Province and individual provisions of some of the legislative acts of the Russian Federation having amended the mentioned laws.

Federal Law No. 69-FZ of June 29, 2005 on the Amendments to Article 80 of the Federal Law on the Main Guarantees of Electoral Rights and the Right to Participate in the Referendum of the Citizens of the Russian Federation and to Article 83 of the Federal Law on the General Principles of Organisation of Local Government in the Russian Federation

The amendments envisage an exemption from the prohibition specified for the elected official of local government to be a deputy of the legislative (representative) body of state power of the subjects of the Russian Federation for the persons having been elected the deputies of the legislative (representative) bodies of state power of the subjects of the Russian Federation before the entry into force of the Federal Law 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 No. 47-FZ of May 7, 2002 (i.e. until May 13, 2002).

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

Federal Law No. 68-FZ of June 29, 2005 on the Amendments to Chapter 26.1 of Part 2 of the Tax Code of the Russian Federation

Amends Chapter 26.1 of the Tax Code of the Russian Federation "System of Taxation for Agricultural Producers (Uniform Agricultural Tax)".

Agricultural producers shall include city- and town-forming Russian fishing organisations with the number of employees in them, taking into account family members living with them, being at least half of the population of the appropriate residential settlement, being in operation as of January 1, 2002 for at least five years, operating only fishing vessels owned by them, registered as a legal entity, and the volume of fish products sold by them and/or caught objects of water biological resources making more than 70% of the total volume of their sales moneywise.

The amendments permit agricultural producers to switch over to the uniform agricultural tax on condition that the share of incomes from the sale of agricultural produce made by them, including products of initial processing made from own agricultural raw materials, makes at least 70% in the total volume of incomes obtained in the previsions year (earlier, in the previous nine months of the current year).

In the determination of the object of taxation, the taxpayers shall reduce their obtained incomes by expenses for the training of specialists for the taxpayers in institutions of the secondary and higher professional education. The mentioned expenses are taken into account for taxation purposes on condition that natural persons undergoing study in the mentioned educational institutions conclude contracts for the study envisaging their work with the taxpayer for at least three years in the speciality after graduation of the appropriate educational institution.

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

Decree of the President of the Russian Federation No. 756 of June 29, 2005 on the Amendments to the Regulation on the Procedure of Examination of Candidates for the Position of the Higher Official (Head of the Higher Executive Body of State Power) of the Subject of the Russian Federation Endorsed by the Decree of the President of the Russian Federation No. 1603 of December 27, 2004

Specifies that a proposal to nominate a candidate for the position of the higher official of the subject of the Russian Federation must have attached materials characterising the candidate, as well as information and other reference materials. The mentioned materials must be attached also in cases if the higher official of the subject of the Russian Federation puts forward the issue of confidence and an early termination of his authority to the President of the Russian Federation.

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

Decision of the Government of the Russian Federation No. 403 of June 29, 2005 on the Endorsement of the Rates of Import Customs Duties for Dry Fruits and Margarines

The rates of the import customs duties for dry fruits and margarines earlier introduced by the Decision of the Government of the Russian Federation No. 473 of September 10, 2004 for nine months are prolonged on unlimited basis.

The Decision is entered into force from July 15, 2005.

Order of the Ministry of Transport of the Russian Federation No. 59 of June 2, 2005 on the Endorsement of the Rules of Granting Subventions in 2005 from the Federal Budget to Organisations of the Air, Marine and River Transport

Subventions are granted to transport organisations regardless of their organisational and legal form to implement expenses for the navigation and hydrographical safety of navigation in the Northern Sea Route, provide for the preparedness to eliminate the consequences of marine accidents in the zone of responsibility of the Russian Federation, provide for the safety of navigation in the Moscow Canal, as well as the rescue support of the flights of air vessels of the civil aviation. Subventions are granted by the Federal Agency of Marine and River Transport and the Federal Agency of the Air Transport using the criteria specified by these bodies.

Registered in the Ministry of Justice of the Russian Federation on June 29, 2005. Reg. No. 6758.

Order of the Ministry of Internal Affairs of the Russian Federation No. 453 of June 8, 2005 on the Amounts of Monetary Resources to Pay for the Cost of Accommodations to School-Age Children to Be Paid out to Contract Servicemen of Internal Troops of the Ministry of Internal Affairs of Russia and Individual Categories of Pensioners of the Ministry of Internal Affairs of Russia to Arrange the Leisure and Rehabilitation of Children

Contract servicemen, as well as pensioners of the Ministry of Internal Affairs of Russia with the length of service of 20 years and more, shall get payments for the purchased accommodations for children in the places of leisure and rehabilitation in the amount of Rbl 6,900 in 2005.

Registered in the Ministry of Justice of the Russian Federation on June 29, 2005. Reg. No. 6756.

Order of the Ministry of Internal Affairs of the Russian Federation No. 445 of June 7, 2005 on the Endorsement of the Instruction on the Paying out of Mark-Ups in Percent to the Salary for the Occupied Position (Tariff Rate, Salary for the Military Position) to Employees, Federal State Servants and Employees of the Bodies of Internal Affairs of the Russian Federation, Federal Migration Service of Russia, Servicemen and Civil Personnel of Internal Troops of the Ministry of Internal Affairs of Russia Who Have Access to the State Secret

Defines the procedure of paying out of mark-ups in percent to the employees, federal state servants and workers of the bodies of internal affairs, Federal Migration Service of Russia, servicemen and workers of civil personnel of internal troops of the Ministry of Internal Affairs who have access to secret information and whose duties include work with information comprising the state secret. Depending on the level of secrecy, the mark-up makes from 10% to 25% of the salary.

The length of work in the divisions in charge of protection of the state secret of the mentioned bodies implies a 5% mark-up for up to 5 years, 10% for 5 to 10 years and 15% for the length of service greater than 10 years.

The mark-ups are paid out from October 1, 2004.

Registered in the Ministry of Justice of the Russian Federation on June 29, 2005. Reg. No. 6753.

Federal Constitutional Law No. 5-FKZ of June 30, 2005 on the Amendments to the Federal Constitutional Law on the Forming of the New Subject of the Russian Federation As a Result of the Merger of the Perm Province and the Komi-Permyatsky Autonomous District

The amendments are introduced pursuant to the introduction of the new procedure of empowering of the higher officials (heads of the higher executive bodies of state power) of the subjects of the Russian Federation with appropriate authority. Specifies that the Governor of the Perm Territory is empowered with his authority at the presentation of the President of the Russian Federation by the Legislative Assembly of the Perm Province and the Legislative Assembly of the Komi-Permyatsky Autonomous District for five years.

In the transient period, the laws shall be adopted by the Legislative Assembly of the Perm Province and the Legislative Assembly of the Komi-Permyatsky Autonomous District in the form of the laws of the Perm Territory, shall be singed and conveyed to the public by the Governor of the Perm Territory.

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

Federal Law No. 78-FZ of July 1, 2005 on the Invalidation of Some of the Legislative Acts (Provisions of Legislative Acts) of the Russian Federation and on Amendments to Some of the Legislative Acts of the Russian Federation Pursuant to the Revocation of the Tax on Inherited and Donated Property

Abandons the tax on inherited or donated property. In this connection, invalidates the Law of the Russian Federation No. 2020-I of December 12, 1991 on the tax on inherited or donated property with amendments. The tax on inherited or donated property is excluded form the list of the federal taxes and fees specified in Article 13 of the Tax Code of the Russian Federation.

The list of incomes of natural persons exempted from taxation includes incomes in the monetary form and in kind obtained from natural persons according to donation procedure, except for the cases of donation of immovable property, transport vehicles, stocks, shares and contributions. However, the incomes obtained according to the donation procedure are exempted from taxation completely if the donator and the beneficiary are family members and/or close relatives.

Invalidates the provision stating that the notary must present to the tax body a certificate of the cost of the property transferred in the citizens' property necessary for the calculation of the tax on the inherited or donated property.

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. 77-FZ of June 30, 2005 on the Amendments to Article 29 of the Federal Law on the Military Duty and Military Service

According to the amendments, the draft commissions of the subjects of the Russian Federation are empowered with authority to take decisions similar to those of the subordinate draft commissions. Earlier, the draft commission of the subject of the Russian Federation could only revoke the decisions of the subordinate draft commissions, not to take its own decision.

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

Federal Law No. 76-FZ of June 30, 2005 on the Invalidation of the Provisions of Legislative Acts of the Russian Federation on the State Accreditation of Scientific Organisations

Abandons the functions of the state accreditation of scientific organisations recognised to be overabundant.

Federal Law no. 75-FZ of June 30, 2005 on the Ratification of the Agreement between the Government of the Russian Federation and the Government of the Italian Republic on Cooperation in the Sphere of Utilisation of the Russian Nuclear Submarines Withdrawn from the Navy and on Safe Handling of Radio Active Waste and Spent Nuclear Fuel

Ratifies the Agreement signed in Rome on November 5, 2003. The Agreement envisages, in particular, the granting of a free aid by the Italian side to the Russian side by allocating financial resources in the amount of EUR 360 million within 10 years for the works, supply of commodities and rendering services in the sphere of utilisation of nuclear submarines, processing of spent nuclear fuel, physical protection of nuclear objects and other.

Federal Law No. 74-FZ of June 30, 2005 on the Amendments to Article 182 of Part 2 of the Tax Code of the Russian Federation

Removes a technical error in Article 182 of the Tax Code of the Russian Federation specifying the objects of taxation for excise duty taxes. Specifies that the excise duty tax on oil products is collected exclusively when operations are carried out on the territory of the Russian Federation.

The previous wording of this Article did not specify the procedure of taxation with excise duty tax of operations of purchase and sale of oil products outside the territory of the Russian Federation. Therefore, in the absence of the special norm, such operations abroad were subject to the common taxation procedure, and organisations had to accrue the excise duty tax without the right for subsequent exemption, which is in contradiction of the economic essence of the given tax.

The Federal Law is entered into force one months after the day of its official publication. The Federal Law applies to legal relations emerging form January 1, 2003.

Federal Law No. 73-FZ of June 30, 2005 on the Creation of the Tere-Kholsky Regional Court of the Republic of Tyva

Creates the Tere-Kholsky Regional Court of the Republic of Tyva with jurisdiction covering the territory of the Tere-Kholsky Kozhuun (rural region) of the Republic of Tyva.

Jurisdiction of the Kyzylsky Regional Court of the Republic of Tyva covers the territory of the Kyzylsky Kozhuun (rural region) of the Republic of Tyva.

The Federal Law is entered into force from the day of its official publication, except for the provisions on the jurisdiction of the mentioned regional courts to be entered into force three months after the day of entry into force of the Federal Law.

Federal Law No. 72-FZ of June 30, 2005 on the Creation of the Regional Courts in the Republic of Khakassiya

Creates the Abazinsky and the Sorsky Regional Courts in the Republic of Khakassiya with jurisdiction covering the territory of the city of Abazy and the city of Sorsk of the Republic of Khakassiya respectively.

The Federal Law is entered into force from the day of its official publication except for the provisions on the jurisdiction of the mentioned courts to be entered into force three months after the day of entry into force of the Federal Law.

Federal Law No. 71-FZ of June 30, 2005 on the Amendments to Article 217 of Part 2 of the Tax Code of the Russian Federation

Increases from Rbl 2,000 to Rbl 4,000 the limiting amount of incomes of natural persons exempted from taxation in the form of the cost of gifts from legal entities and independent entrepreneurs, prizes received at contests and competitions, amounts of material aid rendered by employers to their employees, reimbursement by employers of the cost of purchased medicines paid out to their employees if assigned by their doctors, as well as the cost of any prizes in contests and games. The given provision is entered into force from January 1, 2006.

Article 32 exempts from taxation aid (in the monetary form and in kind), as well as the gifts received by veterans, invalids of the Great Patriotic War, widows of servicemen killed during the wars with Finland, Japan, Great Patriotic War, widows of diseased invalids of the Great Patriotic War and former prisoners of concentration camps, prisons, ghettos, including the underage, where they do not exceed Rbl 10,000 during the tax period. The paid amounts of the income tax from the mentioned persons must be returned no later than within two months from the day of entry into force of the Federal Law.

The Federal Law is entered into force one month after the day of its official publication with exceptions. Article 2 applies to legal relations emerging from January 1, 2005.

Ruling of the Constitutional Court of the Russian Federation No. 167-O of May 12, 2005 on the Refusal to Accept for Processing of the Appeal of the Closed-Type Joint-Stock Company "Cellular Company" against Violation of the Constitutional Rights and Freedoms by Item 5 of Article 167 of the Tax Code of the Russian Federation

According to the applicant, the challenged norm envisages the payment by the taxpayer of the value added tax for the receivables for the rendered but uncovered services, i.e. at the taxpayer own expense, which is in contradiction of the nature of the value added tax as an indirect tax.

The Constitutional Court of the Russian Federation, while refusing to accept the appeal for processing, emphasised that the fact of underpaid amounts does not exclude opportunities of collection of the value added tax that must be paid from the taxpayer own resources in principle.

Decision of the Government of the Russian Federation No. 405 of June 30, 2005 on the Amendments to the Rules of Financing of Expenses to Grant State Social Aid to Citizens in the Form of a Set of Social Services Endorsed by the Decision of the Government of the Russian Federation No. 864 of December 29, 2004

The list of the documents submitted by the citizens to the Social Insurance Fund of Russia to get accommodation for sanatorium and resort treatment now does not include the sanatorium and resort card.

Decision of the Government of the Russian Federation No. 404 of June 30, 2005 on the Amendments to the Customs Tariff of the Russian Federation Pertaining to Baryta Paper and Paperboard

The rate of the import customs duty for baryta paper and paperboard used as the basis for the photo sensitive paper and boar is reduced from 15% to 5% of the custom cost. The new rates shall apply for nine months. As to the "other" paper and paperboard, the rates remain at the previous level of 15% of the customs cost.

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

Order of the Ministry of Public Health and Social Development of the Russian Federation No. 420 of June 24, 2005 on the Endorsement of the List of Preventive Measures for the Year 2005 to Reduce Industrial Injuries and Occupational Diseases of Employees Partially Financed at the Expense of Contributions for the Obligatory Social Insurance Against Industrial Accidents and Occupational Diseases

The list includes now the following preventive measures: obligatory periodic medical examinations of employees engaged in works involving adverse and/or hazardous industrial factors; payment for the preventive treatment, including the sanatorium and resort treatment, for employees engaged in works involving adverse and/or hazardous industrial factors; payment for the cost of purchase for the employees engaged in works involving adverse and/or hazardous industrial factors, as well as the works carried out in special temperature conditions, of certified means of individual protection according to specified norms; certification of operator positions for the working conditions and certification of works for the safety of work in organisations.

Federal Law No. 83-FZ of July 2, 2005 on the Amendments to the Federal Law on the State Registration of Legal Entities and Independent Entrepreneurs and to Article 49 of the Civil Code of the Russian Federation

The amendments provide for an exclusion as soon as possible of inoperative ("dead") legal entities failing to carry out any activities that do not possess any property, management bodies and employees from the Joint State Register of Legal Entities while providing necessary guarantees of protection of rights and interests of their founders (participants), creditors and other interested parties.

The Law envisages exclusion of an inoperative legal entity from the Joint State Register of Legal Entities at the decision of the body in charger of the registration while observing the administrative procedure with subsequent court control.

Specifies the criteria permitting to identify legal entities failing to carry out any activities: failure to present within the most recent twelve months any reporting documents envisaged in the legislation on taxes and fees and absence of operations on at least one bank account within the most recent twelve months.

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

Federal Law No. 82-FZ of July 2, 2005 on the Amendments to the Code of Administrative Violations of the Russian Federation

Unauthorised collection, damage or destruction of the ground litter, moss, lichens or the bog cover implies an administrative fine (the amount being as earlier: 3 to 5 minimum amounts of labour remuneration for the citizens, 5 to 10 minimum amounts of labour remuneration for officials, 50 to 100 minimum amounts of labour remuneration for legal entities) followed by confiscation of the instrument of violation and the product of illegal use of natural resources or without them.

Similar administrative responsibility is envisaged for the deployment of beehives and apiaries, procurement of tree juices, collection or commercial procurement of wild fruits, nuts, mushrooms, berries, medicinal and nutrient plants or parts thereof, technical raw materials on the land spots where it is prohibited or permitted only in the presence of the forest permit, or using unauthorised methods or devices, or in excess of specified volumes, or in violation of the specified time limits, and, equally, collection, procurement or sale of plants prohibited from it.

Introduces an administrative responsibility for the illegal felling, damage or digging of trees, bushes or lianas committed using mechanisms, motor vehicles, self-propelled machines and other types of equipment if these actions do not imply criminal responsibility.

The Federal Law is entered into force 30 days after the day of its official publication.

Federal Law No. 81-FZ of July 2, 2005 on the Ratification of the Protocol of Privileges and Immunities of the Parliamentary Assembly of the Black Sea Economic Cooperation

Ratifies the Protocol singed in Baku on October 31, 2003. The Parliamentary Assembly of the Black Sea Economic Operation represents national parliaments of Albania, Armenia, Azerbaijan, Bulgaria, Georgia, Greece, Moldova, Rumania, Russia, Turkey and Ukraine. The protocol envisages individual privileges and immunities of the Parliamentary Assembly and its representatives.

Federal Law No. 80-FZ of July 2, 2005 on the Amendments to the Federal Law on the Licensing of Individual Types of Activities, Federal Law on the Protection of Rights of Legal Entities and Independent Entrepreneurs during State Control (Enforcement) Measures and the Code of Administrative Violations of the Russian Federation

Reduces significantly the list of the types of activities subject to licensing. Earlier, the mentioned list included 125 types of activities. The new wording of Item 1 of Article 17 of the Federal Law No. 128-FZ of August 8, 2001 on the licensing of individual types of activities envisages only 103. The Law terminates from the day of entry into force of the amendments, in particular, the licensing of distribution of medicines and items of medical destination, passenger transportation on commercial basis by cars, public demonstration of audio and visual pieces of art in cinema halls, veterinary activities, production of tobacco items. The Law envisages a further stepwise reduction of the list of the licensed types of activities. From January 1, 2006, the reduction applies to 9 types of activities, in particular, assessment and audit activities. The duty to get the license from January 1, 2007 shall not apply to organisations and independent entrepreneurs engaged in the following 5 types of activities: tourist operator, tourist agent, design works, construction of buildings and structures and engineering surveys for the purpose of construction of buildings and structures (except for structures of seasonal and auxiliary destination). Besides, from the day of entry into force of technical regulations, 15 more types of activities will not be licensed, in particular, development, production, repair and testing of aircraft, operation of production objects featuring explosion, fire and chemical hazards, geodesy, cartography activities and some other.

The Law optimises the procedure of obtaining the licenses. Reduces the list of the documents submitted to the licensing body, reduces the time limit for adopting decisions on the issue of the license from 60 to 45 days. If there is an application from the party requesting the license or licence-holder, a simplified procedure of licensing may apply for the types of activities licensed to protect the proprietary rights and legal interests of citizens on condition that the party requesting the license or license-holder concludes an insurance contract for the civil liabilities or if the license-holder possesses a certificate of compliance of the licensed type of activities with international standards.

Also changes the procedure of license control. Introduces an article dedicated to responsibility of officials of the licensing bodies for the licensing of particular types of activities.

The Federal Law is entered into force 10 days after the day of its official publication except for individual provisions where other time limits of entry into force are envisaged.

Federal Law No. 79-FZ of July 2, 2005 on the Ratification of the Agreement between the Government of the Russian Federation and the Government of the Yemen Republic on the Promotion and Mutual Protection of Capital Investments

Ratifies the Agreement signed in Moscow on December 17, 2002. According to the Agreement, the participating countries shall create favourable conditions for capital investments and introduce a regime of capital investments no less favourable as compared to own investors.

Decision of the Government of the Russian Federation No. 408 of June 30, 2005 on the Amendments to Some of the Decisions of the Government of the Russian Federation

The rules of connection of telecommunication networks and their interaction endorsed by the Decision of the Government of the Russian Federation No. 161 of March 28, 2005 are suspended until January 1, 2006.

The rules of rendering services of local, regional, intercity and international telephone communication endorsed by the Decision of the Government of the Russian Federation No. 310 of May 18, 2005, as well as the rules of rendering of the services of mobile communication endorsed by the Decision of the Government of the Russian Federation No. 328 of May 25, 2005, are suspended to shift the period of entry into force from July 1, 2005 to January 1, 2006.

Decision of the Government of the Russian Federation No. 407 of June 30, 2005 on the Endorsement of the Rules of Adjustment of the Aggregate Investment Portfolio of the Management Companies Providing Trust Control for the Savings of the Housing Support

Defines the rules of adjustment of the aggregate investment portfolio of the management companies providing trust control for the savings of the housing support in case of violation of the requirements to the structure of the aggregate investment portfolio. Lists the requirements to the notification of such violation that the specialised depositary must send to the authorised federal body, federal body of executive power in the sphere of financial markets and each of the management companies no later than one working day after the day of revealing of such violation. The specialised depositary shall also be obliged to notify the mentioned subjects of the elimination of violations of the requirements to the structure of the aggregate investment portfolio no later than one working day after the day of its elimination.

The management company must take steps to sale the assets within one month from the day of receiving of the notification of the specialised depositary of the violation of the requirements to the structure of the aggregate investment portfolio, and in case of violation of these requirements as a result of the change of the market value of securities where the savings of the housing support are invested in - within 6 months. In this case, the sale applies to the assets where the violations of the requirements to the structure of the aggregate investment portfolio were found or other assets where the sale is necessary to eliminate such violation.

Decision of the Government of the Russian Federation No. 406 of June 30, 2005 on the Assigning of the Federal Highways of Public Use in Operative Control of the Federal State Institutions

The federal highways of public use included in the lists of federal highways of the RSFSR and endorsed by the Decision of the Government of the RSFSR No. 62 of December 24, 1991 are being assigned for operative control with the federal state institutions supervised by the Federal Highway Agency.

Decree of the President of the Russian Federation No. 773 of July 2, 2005 "Issues of Interaction and Coordination of Activities of the Bodies of Executive Power of the Subjects of the Russian Federation and Territorial Bodies of the Federal Bodies of Executive Power"

Higher officials of the subjects of the Russian Federation (heads of the higher executive bodies of state power of the subjects of the Russian Federation) are empowered with authority to organise interaction and coordination of activities of the bodies of executive power of the appropriate subject and territorial bodies of the Ministry of Internal Affairs of Russia, Ministry of Emergency Situations of Russia, Ministry of Justice of Russia, Federal Service of Execution of Punishments, Federal Registration Service, Federal Bailiff Service, federal ministries and other federal bodies of executive power supervised by the Government of the Russian Federation, federal services and federal agencies subordinate to these ministries.

Federal ministers, before nominating a candidate for the position of the head of the territorial body of the federal body of executive power, shall coordinate the nomination with the higher official of the subject of the Russian Federation. The failure to coordinate the nomination must be reported by the federal minister to the President of the Russian Federation or the Government of the Russian Federation.

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

Order of the Federal Service for Financial Markets No. 05-22/pz-n of June 22, 2005 on the Amendments to the Order of the Federal Service for Financial Markets No. 04-1245/pz-n of December 15, 2004 on the Endorsement of the Regulation on the Activities in Organisation of Trade at the Securities Market

Changes the time limits for the entry into force of the norms permitting securities for tenders. Provisions permitting to include in quotation list A of the first and second levels stocks and bonds for issuers preparing annual reports according to IAS or US GAAP shall enter into force from July 15, 2005. For other issuers, the mentioned provisions shall enter into force from January 1, 2006.

A suspension of participation in tenders for at least one month or termination of access to tenders is envisaged for the violation of the terms of tenders. The norm is introduced obliging the trade organiser to notify the Federal Service for Financial Markets of Russia of securities permitted for tenders no later than the following day after the date of adoption of the appropriate decision according to the procedure specified by the Federal Service for Financial Markets of Russia.

The Order is entered into force from July 15, 2005.

Registered in the Ministry of Justice of the Russian Federation on June 29, 2005. Reg. No. 6761.

Direction of the Central Bank of Russia No. 1589-U of June 28, 2005 on the Invalidation of the Direction of the Bank of Russia No. 999-U of July 16, 2001 on the Form of the Report of Faked Currency Notes of the Bank of Russia for Credit Organisations

Pursuant to the introduction from July 1, 2005 of the new form 0409207 "Information on Available Signs of Forgery of Currency Notes Handed over to the Territorial Bodies of Internal Affairs", invalidates the Direction of the Bank of Russia No. 999-U of July 16, 2001 having specified the form of the report of faked currency notes of the Bank of Russia for credit organisations.

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

Letter of the Central Bank of Russia No. 92-T of June 30, 2005 on the Organisation of Control of the Legal Risk and the Risk of Loss of Business Reputation in Credit Organisations and Bank Groups

Provides recommendations on organisation of control of the risks of losses with the credit organisation because of the influence of individual factors of legal nature, as well as because of the factors pertaining to business reputation.

Control of the legal risk is implemented to reduce (exclude) possible losses, including the cases of payments imposed by court rulings (decisions).

Control of the risk of loss of the business reputation is necessary to reduce possible losses, preserve and maintain business reputation of the credit organisation in the face of the clients and partners, founders (participants), participants of the financial market, bodies of state power and local government, bank unions (associations), self-regulating organisations where the credit organisation participates.

The Letter lists the provisions recommended for inclusion in internal documentation of credit organisations.

Taking into account the opportunities, nature and scale of activities of the credit organisation, it is recommended to define a division (assign an employee) in charge of control of the legal risk and the risk of loss of the business reputation.

Letter of the Federal Tax Service No. ShS-6-24/480@ of June 10, 2005 on Individual Issues of Filling and Submission of the Forms of Documents Containing Information on the Opening (Closing) and Change of Numbers of Bank Accounts of Legal Entities and Independent Entrepreneurs

Explains the procedure of filling and sending to the tax body of notifications of the opening of the bank account and of the change of its number. Such information may be submitted both in electronic form and on paper medium. In the latter case, the bank must send a notification by registered mail or otherwise permitting to determine the date of sending of the given message by the bank and the date of receiving it by the tax body.

Decision of the Constitutional Court of the Russian Federation No. 7-P of June 27, 2005 on the Case of Constitutionality of Provisions of Parts 2 and 4 of Article 20, Part 6 of Article 114, Item 3 of Part 1 of Article 145, Part 3 of Article 318, Parts 1 and 2 of Article 319 of the Code of Criminal Procedures of the Russian Federation Pursuant to the Requests of the Legislative Assembly of the Republic of Karelia and Oktyabrsky Regional Court of the City of Murmansk

According to the applicants, existing proceedings in cases of private accusations do not permit to ensure protection of the rights and legal interests of the victims against drubbing or deliberate damage to health committed out of rowdyism if done by strangers. This is because a preliminary investigation is not carried out in such cases, and the victims must conduct independently investigation to identify and show up the culprits.

The Constitutional Court of the Russian Federation recognised as not complying with the Constitution of the Russian Federation provisions of Parts 2 and 4 of Article 20, Part 6 of Article 114, Item 3 of Part 1 of Article 145, Part 3 of Article 318 where they exempt the prosecutor, investigator, investigating body from the duty to take steps to identify the culprit and call him to account in the presence of application of the victim of the crime envisaged in Article 115 ("Deliberate Light Damage to Health") or Article 116 ("Drubbing") of the Criminal Code of the Russian Federation.

Provisions of Part 6 of Article 114, Item 3 of Part 1 of Article 145, Parts 1 and 2 of Article 319 of the Code of Criminal Procedures of the Russian Federation defining the authority of the judge to check the victims application in the case of a private accusation and render aid to the parties to collect evidence are recognised as complying with the Constitution of the Russian Federation.

The Decision is entered into force immediately after annunciation.

Decision of the Government of the Russian Federation No. 412 of July 5, 2005 on the Procedure of Purchase, Maintenance and Operation of Special Cars for the Convicts and Persons under Arrest

From January 1, 2006, the Ministry of Internal Affairs of Russia shall provide for the purchase, maintenance and operation of the special cars for the convicts and persons under arrest, organisation of their transportation over the railways, as well as interaction with the owners of the infrastructure of the railway transport, carriers and organisations repairing the rolling stock on issues of organisation of traffic of the special cars, their maintenance and repair.

Decision of the Government of the Russian Federation No. 410 of July 1, 2005 on the Amendments to Appendix 1 to the Decision of the Government of the Russian Federation No. 344 of June 12, 2003

Significantly changes the normatives of payment for the discharge into the atmospheric air of pollutants by stationary sources and the normatives of payment for the deployment of waste from production and consumption. Amount of payment for the discharges into the atmosphere of individual pollutants is increased 50 times.

The normatives of payment for the deployment of waste from production and consumption within the specified limits are applied with the factor of 0 if deployed in compliance with specified requirements for the waste subject to temporary storage and actually utilised within three years from the moment of deployment in own production according to technological regulations or handed over for use within this time limit.

Order of the Federal Service for Tariff Rates No. 212-e/2 of May 24, on the Amendments to the Method of Calculation of the Cost of Deviations of the Volumes of Actual Production (Consumption) of Electric Power of Participants of the Wholesale Market from the Volumes of Their Planned Hourly Production (Consumption) Endorsed by the Order of the Federal Service for Tariff Rates No. 44-e/3 of August 24, 2004

The method is extended to include new Section 6 defining the procedure of calculation of the cost of deviations of the volumes of actual production (consumption) of electric power of participants of the wholesale market from the volumes of their planned hourly production (consumption) for the groups of points of delivery located in the second pricing zone. The given section shall be in effect until October 1, 2005.

Also defines the procedure of calculation of the cost of electric power within the limits of the normative level of deviations when the volume of production is changed (increased or reduced) at the initiative from the outside.

Registered in the Ministry of Justice of the Russian Federation on July 6, 2005. Reg. No. 6766.

Order of the Ministry of the Industry and Power Supplies of the Russian Federation No. 119 of June 14, 2005 on the Minimum Amount of Own Capital of Organisations Selling Electric Power to Citizens

Endorses the minimum amounts of own capital of organisations selling electric power to citizens applied depending on the quantity of citizen consumers serviced by these organisations.

If the organisation serves up to 10,000 citizens, its minimum amount of own capital must be Rbl 1 million, and if it serves more than 1 million consumers - Rbl 10 million.

Registered in the Ministry of Justice of the Russian Federation on July 6, 2005. Reg. No. 6764.

Letter of the Central Bank of Russia No. 04-31-3/2325 of May 31, 2005 on the Application of the Acts of the Bank of Russia in the Sphere of Combating of Legalisation (Laundering) of Incomes Obtained in a Criminal Way and Financing of Terrorism

Explains that recommendations on the working out by credit organisations of the rules of internal control for combating legalisation (laundering) of incomes obtained in a criminal way and financing of terrorism endorsed by the Operative Direction of the Bank of Russia No. 137-T of November 28, 2001 are not being a normative act of the Bank of Russia. Application of the recommendations is the prerogative of the credit organisation depending on the particulars of its organisation, main directions of its activities, client base and the level of its risks pertaining to clients and their operations.

Decision of the Government of the Russian Federation No. 415 of July 7, 2005 on the Import to the Russian Federation of the Blank Printed Items Protected Against Forgery Including Blank Securities

Import of blank printed items protected against forgery, including blank securities (codes according to the Foreign Trade Commodity Nomenclature of Russia 4820 40, 4907 00 101 0, 4907 00 900 0 and 4911 99 000 0) is permitted on the basis of the license issued by the Ministry of Economic Development. The licence is issued only after coordination of the application for the license with the Federal Tax Service of Russia.

The Decision lists the documents to be submitted to the licensing body. The Decision is entered into force 60 days after the day of its official publication.

Order of the Ministry of Transport of the Russian Federation No. 45 of May 12, 2005 on the Endorsement of the Transport Strategy of the Russian Federation for the Period Until 2020

Defines the priorities of the state transport policy of Russia, the main directions of development of the transport infrastructure of the country, as well as the main tasks of development of the transport system on individual types of transport for the period until 2020.

Expected goal is creation of a uniform transportation system until 2020 without the gaps and bottlenecks and reduction of transportation costs by 16% as compared to the year 2000. Eight out of ten families would be able to use cars actively (in 2003 only every second family in Russia could use a car on the average, and there are about 1.5 cars per family in the countries of Eastern Europe on the average). The speed of the cargo transportation will increase 15% to 20%, or 20% to 30% on international routes. Transit shipments through the territory of Russia will amount to 90-100 million tons a year. The death rate per 1,000 automobiles will decrease 50% (in 2003, this figure in Russia amounted to 1.2, while in developed countries - 0.3). The share of transport in the air pollution will decrease one and half times to make 22% ( in 2003, it amounted to 33% in Russia and less than 20% in developed countries).

Letter of the Federal Service of Enforcement in the Sphere of Public Health and Social Development No. 02I-262/05 of June 14, 2005 on the Licensing of Medical Activities

To carry out medical examinations to issue medical certificates for the driver's license, the legal entity must have a license for medical activities regardless of the organisational and legal form.

Organisation licensed to carry out professional fitness certification, as well as periodic and preliminary medical examinations, may carry out medical examinations of drivers of motor vehicles, including the separate motor units, to issue medical certificates to get the driver's license.

The Letter provides normative acts regulating the procedure of carrying out of medical examinations.

Decision of the Government of the Russian Federation No. 419 of July 11, 2005 on the Endorsement of Coefficients of Indexing (Increase) from August 1, 2005 of the Basic and Insured Parts of the Labour Pension and the Additional Increasing Coefficient from August 1, 2005 of the Amount of the Insured Part of the Labour Pension

From August 1, 2005, coefficients of indexing (increase) of the basic and the insured parts of the labour pensions are fixed in the amount of 1.06. The additional increasing coefficient for the insured part of the labour pension will amount to 1.048.

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

Decision of the Government of the Russian Federation No. 418 of July 11, 2005 on the Endorsement of the Index of Growth of the Average Monthly Earnings in the Russian Federation for the Year 2004 and the Index of Growth of Incomes of the Pension Fund of the Russian Federation per Pensioner Allocated to Pay out the Insured Part of the Labour Pensions for the Year 2004

The index of growth of the average monthly earnings in the Russian Federation for the year 2004 is fixed in the amount of 1.23. The index of growth of incomes of the Pension Fund per pensioner allocated to pay out the insured part of the labour pensions for the year 2004 makes 1.114.

Decision of the Government of the Russian Federation No. 417 of July 11, 2005 on the Endorsement of the Coefficient of Indexing of the Estimated Pension Capital of the Insured

The coefficient of indexing of the estimated pension capital of the insured defined as of January 1, 2004 is fixed in the amount of 1.114. The Decision is entered into force from August 1, 2005.

Federal Law No. 84-FZ of July 5, 2005 on the Amendments to the Federal Law on the Federal Budget for the Year 2005

The incomes part of the budget is increased by Rbl 271.6 billion and expenses - by Rbl 348.3 billion. Additional budget allocations are earmarked to fulfil social obligations assumed by the state: to pay out the basic part of the labour pension and the state pension support, to increase monetary subsistence of servicemen and employees of law enforcement bodies, to index compensations and other payments to Chernobyl victims and other.

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

Decision of the Presidium of the Higher Arbitration Court of the Russian Federation No. 15378/04 of June 15, 2005

The tax inspection carried out an on-site tax check of the enterprise for correctness of calculation and payment of taxes for the years 2000-2002. As a result of the check, the enterprises had to pay additional taxes, penalties and fines. According to the inspection, the enterprise did not include in the taxable base monetary resources received from user enterprises for the services of acceptance of waste water with concentration of pollutants higher than permissible level, which reduced the taxable base and resulted in underpayment of taxes.

However, the enterprise regarded the mentioned payment as fines for the violation of the obligation to dispose of the waste water and, therefore, did not include it in the taxable base. In substantiation of its position, the enterprise presented the acts of the previous on-site checks carried out by the inspection where the inspection recognised that additional payment is legally qualified by the enterprise as fines.

The Presidium of the Higher Arbitration Court of the Russian Federation emphasised that additional payment for excessive disposal of waste water and pollutants is a kind of differentiated tariff rate for the services of acceptance and decontamination of hazardous substances in the waste water. This payment is fixed on the basis of an agreement between the parties and is not qualified as fines or another responsibility for the failure to fulfil obligations under the contract. In this case, amounts of additional payment for the disposal of waste water and pollutants is the payment for the rendered services and, therefore, must be included in the taxable base as appropriate taxes. Meanwhile, since the given tax violation was revealed in the course of a repeated tax check only, with the tax body failing to recognise it as such initially, the Presidium agreed to the conclusion of the judges of the first and appellate instances exempting the enterprise from the fines in this case.

Order of the Ministry of the Industry and Power Supplies of the Russian Federation No. 194 of June 23, 2005 on the Endorsement of the Rules of Granting Subsidies to Organisations of Popular Crafts in 2005

The subsidies are granted within the limits of endorsed budget obligations to the Federal Agency of the Industry and must be allocated first and foremost to reimburse 50% of tariff rates for the railway transportation over the territory of the Russian Federation of products made by recipients of the subsidies and dispatched in the previous month. The subsidies are granted on the monthly basis on condition of presenting by recipients of the subsidies of the documents according to the lists and forms endorsed by the Order within specified time limits. The checking of the documents is vested in the association "Popular Crafts of Russia".

Registered in the Ministry of Justice of the Russian Federation on July 11, 2005. Reg. No. 6771.

Order of the Federal Service for Financial Markets No. 05-21/pz-n of June 15, 2005 on the Endorsement of the Regulation on the Procedure and Time Limits of Determination of the Cost of Net Assets of Joint-Stock Investment Funds, Cost of Net Assets of the Shared Investment Funds, Estimated Cost of Investment Shares of the Shared Investment Funds, As Well As the Cost of Net Assets of Joint-Stock Investment Funds per Stock

Specifies the procedure and time limits of determination of the cost of net assets of joint-stock and shared investment funds, including the procedure of calculation of their average annual cost, as well as the procedure and time limits of determination of the estimated cost of investment shares of the shared investment funds and the cost of net assets of joint-stock investment funds per stock. The cost of net assets is determined as a difference between the cost of assets of this fund and the amount of obligations due for execution at the expense of the mentioned assets as of the moment of determination of the cost.

The rules of determination of the cost of assets are specified in the internal document of the joint-stock investment fund or the management company of the shared investment fund.

The average annual cost of net assets is calculated as a ratio of the cost of net assets of the fund for each day of the calendar year to the number of days in the calendar year. The cost of net assets of the joint-stock investment fund per stock is determined by dividing the cost of net assets by the number of placed stocks of this fund as of the moment of its determination.

The Order provides the form of the certificate of the cost of net assets showing the results of determination of the cost of net assets of the investment fund, as well as the cost of net assets of the joint-stock investment fund per stock and the estimated cost of investment share of the shared investment fund.

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

Registered in the Ministry of Justice of the Russian Federation on July 11, 2005. Reg. No. 6769.

Letter of the Central Bank of Russia No. 94-T of July 4, 2005 on the Fixing of the Rouble Equivalents for the Figures Envisaged in the Direction of the Bank of Russia No. 1346-U of December 1, 2003

In the III quarter of 2005, the rouble equivalent of the registered capital for created banks regardless of the share of participation of foreign capital in them must be at least Rbl 172,620,500 (in the II quarter, Rbl 180,282,000).

The registered capital for the created non-bank credit organisations must be at least Rbl 17,262,050 (in the II quarter - Rbl 18,028,200).

For the actual credit organisations requesting the general license, the rouble equivalent of the registered capital must make at least Rbl 172,620,500 (in the II quarter - Rbl 180,292,000). The same amount is envisaged for non-bank credit organisations requesting the status of a bank.

Decision of the Government of the Russian Federation No. 424 of July 12, 2005 on the Amendment to the Decision of the Government of the Russian Federation No. 239 of March 7, 1995

The list of services where the state regulation of prices (tariff rates) at the internal market of the Russian Federation is implemented by the bodies of executive power of the subjects of the Russian Federation now does not include: payment for the dwelling and communal services by the population, ritual services and the services of the system of water supplies and sewage. The amendment pertaining to water supply and sewage system is entered into force simultaneously with the entry into force of the Federal Law on the fundamentals of regulation of tariff rates of organisations of communal complex (from January 1, 2006).

Decision of the Government of the Russian Federation No. 423 of July 11, 2005 on the Invalidation of the Decisions of the Government of the Russian Federation No. 1145 of November 25, 1995 and No. 193 of February 28, 1996

Invalidates the Decision of the Government of the Russian Federation stating that the Ministry of Agriculture and Food Supplies of the Russian Federation was empowered with regulation of the issues of development of dog breeding in the Russian Federation.

Order of the Ministry of Finance of the Russian Federation No. 72n of June 15, 2005 on the Procedure for Taking Decisions Recognising As Desperate for Collection and Writing off of Arrears and Debts in Penalties for the Federal Taxes and Fees, Amounts of Tax Sanctions for the Violation of the Legislation of the Russian Federation on Taxes and Fees That Were Collected on Indisputable Basis before the Entry into Force of the Tax Code of the Russian Federation and Where the Decision of the Tax Body Was Taken before January 1, 1999, As Well As the Debts in Insurance Contributions to the State Extra-Budgetary Funds of the Russian Federation Available with Organisations as of January 1, 2001, Accrued Penalties and Fines

Decision recognising as desperate for collection and writing off of the debt is taken by the head of the tax body at the place of location of the organisation (place of residence of the natural person).

The decision is taken on the basis of a packet of documents different depending on the legal grounds of liquidation of the organisation or insolvency of the independent entrepreneur. Thus, the decision recognising as desperate for collection and writing off of the debt of the organisation liquidated according to bankruptcy proceedings is taken on the basis of the ruling of the court of arbitration terminating the bankruptcy proceedings, certificate of the tax body at the place of location of the organisation on the amount of debt and an excerpt from the Joint State Register of Legal Entities. The decision recognising as desperate for collection and writing off of the debt of the independent entrepreneur found to be insolvent (bankrupt) is taken on the basis of the ruling of the court of arbitration terminating the bankruptcy proceedings, decision of the court of arbitration recognising the debtor bankrupt, certificate of the tax body at the place of residence of the natural person on the amount of debt to be written off and an excerpt from the Joint State Register of Independent Entrepreneurs.

The decision is taken according to the form endorsed by the Order.

Registered in the Ministry of Justice of the Russian Federation on July 11, 2005. Reg. No. 6781.

Order of the Ministry of Finance of the Russian Federation No. 75n of June 20, 2005 on the Endorsement of the Form "Information on the Land Plots Recognised to Be an Object of Taxation for the Land Tax" and Its Filling Recommendations

Endorses the form of the information on the land plots recognised to be an object of taxation for the land tax (KND Form 1153004) and its filling recommendations.

The mentioned information is necessary for the calculation of the land tax paid by legal entities and natural persons and is filled out by the bodies in charge of the keeping of the State Land Cadastre. According to Item 12 of Article 396 of the Tax Code of the Russian Federation, the mentioned bodies must report on the annual basis until February 1 of the year being the tax period to the tax bodies at the place of their location information on the land plots recognised to be an object of taxation as of January 1 of the year being the tax period.

Registered in the Ministry of Justice of the Russian Federation on July 11, 2005. Reg. No. 6780.

Order of the Federal Customs Service No. 533 of June 10, 2005 on the Monthly Monetary Award Paid out to Officials of the Customs Bodies of the Russian Federation Depending on the Complexity, Volume and Importance of Fulfilled Tasks

From July 1, 2005, introduces the monthly monetary award to be paid out to employees of the customs bodies depending on the complexity, volume and importance of fulfilled tasks in the amount of one salary for the occupied position, and to the state civil servants of the customs bodies - in the amount of two salaries for the occupied position. The mentioned awards do not apply to employees and state civil servants of the central office of the Federal Customs Service of Russia.

The monthly monetary award is assigned to employees from the date of assigning to the position, however, no sooner than the date of assigning of the first special grade, and to the state civil servants - from the day of assigning to the position.

The award shall be paid out simultaneously with the monetary subsistence. The award is not paid out to the persons being in the maternity leave until the child is 3 years old, as well as to those undergoing service abroad and getting salaries in foreign currencies and the monetary subsistence in roubles.

Registered in the Ministry of Justice of the Russian Federation on July 14, 2005. Reg. No. 6789.

Order of the Ministry of Information Technologies and Communication of the Russian Federation No. 64 of June 1, 2005 on the Endorsement of the Procedure of Keeping of Separate Records of Incomes and Expenses by Communication Operators by the Types of Carried out Activities, Rendered Communication Services and the Parts of Telecommunication Networks Used to Render Theses Services

Defines the principles and rules of keeping of separate records by communication operators by the types of carried out activities, rendered services, services of connection and transfer of traffic and the parts of telecommunication networks used to render these services. The separate record keeping includes collection of information and drawing up reports of incomes and expenses by communication operators separately for the mentioned directions of activities. The separate record keeping shall apply to major operators in a public-use communication network, operators being the subjects of natural monopolies, as well as multiple-services operators.

The Order provides quarterly forms of reports in cases of separate keeping of records of incomes and expenses of communication operators.

Registered in the Ministry of Justice of the Russian Federation on July 13, 2005. Reg. No. 6786.

Order of the Ministry of Public Health and Social Development of the Russian Federation No. 384 of June 6, 2005 on the Removal from Circulation of the Old-Type Blank Forms of Disability Sheets (of Blue Colour)

The old-type blank forms of disability sheets (of blue colour) shall be withdrawn from circulation from July 31, 2005. Beginning with this date, only the new-type forms of disability sheets must be accepted for reimbursement (of green colour), as well as the old-type disability sheets (of blue colour) with the date of issue no later than July 31, 2005.

According to the Statement of the Ministry of Justice of the Russian Federation No. 01/5326-VYA of July 6, 2005, the Order does not need the state registration.

Federal Law No. 85-FZ of July 15, 2005 on the Amendments to Article 44 of the Federal Law on the Prosecutor's Office of the Russian Federation and on Invalidation of Some of the Legislative Acts of the Russian Federation

Changes the amount and procedure of assigning of the salaries for the occupied position to employees of the prosecutor's office. The salaries for the occupied position to employees of the prosecutor's office are assigned by the Government of the Russian Federation at the presentation of the Prosecutor General as a percent of the salary for the occupied position of the First Deputy Prosecutor General, which makes 80% of the salary for the occupied position of the Chairman of the Supreme Court of the Russian Federation. Earlier, the salaries for the occupied position were assigned to the employees of the prosecutor's office by the Government of the Russian Federation as a percent of the salary for the occupied position of the Prosecutor General of the Russian Federation, which made 98% of the salary for the occupied position of the Chairman of the Supreme Court of the Russian Federation. The monetary remuneration to the Prosecutor General of the Russian Federation is assigned by the President of the Russian Fed eration.

The Law provides a scale of the monthly mark-ups for the class rating of the employees of the prosecutor's office: the maximum amount is fixed for the actual state councillor of justice - 30% of the salary for the occupied position, the minimum - for the junior lawyer - 15% of the salary for the occupied position.

Also provides a scale of the monthly mark-ups for the length of service. For example, with the length of service making 5 to 10 years, the mark-up makes 35% to the salary for the occupied position and the mark-up for the class rating.

The new amounts of the salaries for the occupied position may not be lower than the earlier specified amounts of the salaries for the occupied position of the employees of the prosecutor's office.

Decision of the Government of the Russian Federation No. 422 of July 11, 2005 on the State Program "Patriotic Education of the Citizens of the Russian Federation for the Years 2006-2010"

The program defines the contents and main directions of development of the system of patriotic education of the citizens of the Russian Federation and is aimed at further development of the patriotic awareness of the Russian citizens as an important value - one of the fundamental elements of the moral unity of the society. The program is a complex of normative and legal, organisational, scientific and methodology measures intended to solve the main tasks in the sphere of patriotic education.

The main goal of the program is improvement of the system of patriotic education providing for the development of Russia as a free, democratic state, building of a high patriotic consciousness with the citizens of the Russian Federation, loyalty to the fatherland, preparedness to fulfil constitutional duties.

Approximate total volume of financing of the program in 2006-2010 will make Rbl 497.8 million, including Rbl 378.05 million at the expense of resources of the federal budget, Rbl 119.75 million at the expense of the extra-budgetary sources allocated by creative unions, cultural organisations, sports, scientific and other organisations involved in the patriotic education, as well as resources of legal entities and natural persons received as a free aid, patronage and sponsorship.

Order of the Central Bank of Russia No. OD-440 of July 15, 2005 on the Procedure of Informing of the Heads of the Bank of Russia (Heads of the Territorial Institutions of the Bank of Russia) of the Oral Requests of Outside Parties to Employees of the Bank of Russia Pertaining to Credit Organisations

Employees of the Bank of Russia, in cases of oral requests of outside parties to present restricted-access information or requests aimed to form certain decisions pertaining to credit organisations (if the mentioned persons are not entitled to get such information), are ordered to inform of it their bosses in writing on the day of receiving of the request.

The mentioned employees must also notify the party having appealed with respective request of the need to inform of it their bosses.

Letter of the Ministry of Finance of the Russian Federation No. 03-03-02/18 of July 6, 2005 on the Procedure of Submission of the Declaration for the Profit Tax from Organisations Pursuant to the Adoption of the Federal Law No. 58-FZ of June 6, 2005

Provisions of the Federal Law No. 58-FZ of June 6, 2005 applying to legal relations emerging from January 1, 2005 must be taken into account when drawing up the declaration for the profit tax from organisations for the 7 months of 2005 by taxpayers calculating the monthly advance payments proceeding from the actual profit received by them, and when drawing up the declarations for the 9 months of 2005 - by the rest of taxpayers. Simultaneously with submission of the mentioned declarations, the taxpayers must present to the tax bodies appropriate orders of the head introducing appropriate amendments to the accounting policy for the purposes of taxation in view of the changing of the legislation.

If there are arrears in the profit tax arising form the mentioned changes pertaining to the previous tax periods and expired reporting periods of 2005, the penalties shall not accrue.

Letter of the Ministry of Finance of the Russian Federation No. 03-03-02/16 of July 6, 2005 on the Procedure of Determination of the Share of Profit Pertaining to Separate Divisions Pursuant to the Adoption of the Federal Law No. 58-FZ of June 6, 2005

According to the amendments of June 6, 2005, specific weight of the average listed number of employees and specific weight of the residual cost of amortised property are determined proceeding form the actual figures of the average listed number of employees (labour remuneration expenses) and the residual cost of fixed assets of organisations and their separate divisions for the reporting (tax) period.

Federal Law No. 92-FZ of July 18, 2005 on the Amendments to the Law of the Russian Federation on Education

Refines individual provisions of the Law of the Russian Federation No. 3266-1 of July 10, 1992 on education pertaining to the types of educational institutions implementing general educational programs, primary professional and secondary professional education.

Federal Law No. 91-FZ of July 18, 2005 on the Ratification of the Agreement between the Government of the Russian Federation and the Government of Canada on Cooperation in the Sphere of Destruction of Chemical Weapons, Utilisation of Nuclear Submarines Withdrawn from the Navy, Registration, Control and Physical Protection of Nuclear Materials and Radioactive Substances

Ratifies the Agreement signed on Sea Island on June 9, 2004. The Agreement contributes to development of organisational and legal basis of the long-term interaction of the Russian Federation and Canada in the framework of agreements on the global partnership of the Group of Eight against dissemination of weapons and materials of mass destruction. The Agreement is aimed at creation of the legal basis for obtaining free financial and technical aid from Canada to implement priority for Russia programs of destruction of stockpiles of chemical weapons and utilisation of nuclear submarines.

Federal Law No. 90-FZ of July 18, 2005 on the Amendments to Some of Legislative Acts of the Russian Federation

Amends legislative acts of the Russian Federation pertaining to currency regulation and currency control.

Permits individual currency operations between residents, in particular, covering or reimbursement of expenses of a natural person pertaining to business trips abroad the Russian Federation, transfers by resident natural persons to accounts of other resident natural persons aboard of amounts not greater than USD 5,000 equivalent within one operative day through one authorised bank, transfers by resident natural persons from their accounts abroad in favour of other resident natural persons on their accounts in authorised banks and some other operations.

Lists currency operations carried out without restrictions on accounts abroad. Such operations include, in particular, paying out of salaries to employees of a representation of the resident legal entity outside the territory of the Russian Federation.

Resident legal entities may make some types of payments without the use of bank accounts, for example, payments to non-resident natural persons in the currency of the Russian Federation in cash under the contracts of purchase and sale of commodities, as well as the payments for the transportation, hotel and other services to non-resident natural persons on the territory of the Russian Federation rendered to the population. Legalises the right of resident natural persons to pay with foreign currencies in cash in duty-free shops.

Also changes the procedure of import to the Russian Federation by natural persons of foreign currencies in cash, currency of the Russian Federation, traveller's checks, external and internal securities in the documentary form and refines the procedure of their export. Up to USD 10,000 may be exported without declaring.

Refines provisions regulating the opening of accounts of residents in the banks outside the Russian Federation. Tax bodies of the Russian Federation are empowered with the status of currency control agents. Refines the procedure of reservation and return of reserved amounts, as well as provisions regulating the terms of termination of the permissions for currency operations carried out by residents, the opening of accounts by them in the banks outside the Russian Federation, carrying out operations on them.

Appropriate changes are introduced in the Laws of the Russian Federation on the tax bodies of the Russian Federation and on organisation of insurance activities in the Russian Federation, Federal Laws on the special economic zone of the Kaliningrad Province, on the precious metals and precious stones, on the exclusive economic zone of the Russian Federation, on the Central Bank of the Russian Federation, on export control, on the particulars of issue and circulation of the state and municipal securities, on financial leasing, the Tax Code of the Russian Federation and the Customs Code of the Russian Federation.

Federal Law No. 89-FZ of July 18, 2005 on the Amendment to Article 859 of Part 2 of the Civil Code of the Russian Federation

The banks may discontinue on the unilateral basis the bank account contract refusing to execute it in the absence of monetary resources on the account, as well as operations on it, for more than two years. The bank account contract is considered to be discontinued two months after the day of sending of the written warning by the bank if the monetary resources were not received on the client account within this time limit.

The Federal Law is entered into force from the day of its official publication and applies to relations emerging from the bank account contracts concluded before its entry into force.

Federal Law No. 88-FZ of July 18, 2005 on the Amendments to the Federal Law on the Particulars of Insolvency (Bankruptcy) of the Subjects of Natural Monopolies of the Fuel and Power-Supply Complex

The amendments bring the Federal Law No. 122-FZ of June 24, 1999 on the particulars of insolvency (bankruptcy) of the subjects of natural monopolies of the fuel and power-supply complex in compliance with the Federal Law No. 127-FZ of October 26, 2002 on insolvency (bankruptcy).

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

Federal Law No. 87-FZ of July 18, 2005 on the Amendments to the Federal Law on the Circulation of Lands of Agricultural Destination and the Federal Law on the Land Planning

Simplifies the procedure of regulation of relations pertaining to circulation of land plots out of lands of agricultural destination and shares in the common property right for the mentioned land plots. Refines the particulars of disposal of these land plots, transactions with the shares in the common property right for such land plots, as well as specifies a new procedure of isolation of land plots as shares in the common property right for the land plots out of lands of agricultural destination, including the unclaimed land shares.

Instead of the subject of the Russian Federation, the priority right for the purchase of the sold land share is vested in the agricultural organisation using the land plot available in the shared property or a citizen - member of the peasant (farmers') enterprise.

In case of conclusion of a lease contract for the land plot available in the common shared property, such contract may be concluded by participants of the shared property on the basis of proxies certified by an official of the local government.

Agricultural lands available with agricultural organisations and peasant (farmers') enterprises on the basis of permanent (unlimited) use or as a life-time inherited possession shall be purchased by them in property at the price specified by the law of the subject of the Russian Federation in the amount not greater than 20% of the cadastral cost of the agricultural lands.

Without isolation of the land plot as a land share, this land share may be devised to any person, sold to a participant of the shared property, donated, transferred in the registered (shared) capital or trust control of the agricultural organisation using the land plot available in the shard property. The participant of the shared property may dispose of the land share in another way only after isolation of the land plot as a land share.

The right of convocation of the general meeting of participants of the shared property rests not only with the participant of the shared property, but also with the agricultural organisation. The Law lists the issues solved at the general meeting of participants of the shared property.

The Law also amends the Federal Law on the land planning specifying the procedure of marking of objects of land planning.

Decision of the Government of the Russian Federation No. 438 of July 16, 2005 on the Procedure of Import and Export of Medicines Intended for Medical Use

Import of medicines to the Russian Federation is permitted for producer organisations of medicines for own production of medicines, organisations of wholesale trade of medicines, scientific research institutions, institutes, as well as foreign producers of medicines and enterprises of wholesale trade of medicines on condition that they have own representations on the territory of the Russian Federation.

The Decision lists medicines and pharmacy substances intended for medical use that are imported under license. To get the license, the applicant must present to the Ministry of Economic Development of Russia the statement permitting to issue the license for the import of medicines issued by the Federal Service of Enforcement in the Sphere of Public Health and Social Development. To get the statement, the applicant must present a packet of documents together with the application coordinated with the Standing Committee for Control of Narcotics. The Decision lists the documents to be submitted to the customs bodies when importing the mentioned medicines.

Export of medicines from the territory of the Russian Federation is permitted only for producer organisations of medicines and organisations of wholesale trade of medicines.

The Decision is entered into force 60 days after its publication.

Decision of the Government of the Russian Federation No. 436 of July 16, 2005 on the Stipends for Post-Graduate and Doctorate Students of the State Institutions of Higher Professional Education and Scientific Organisations

From January 1, 2006, the stipends for post-graduate and doctorate students of the state institutions of the higher professional education and scientific organisations are fixed in the amount of Rbl 1,500 for post-graduate students and Rbl 3,000 for doctorate students. From September 1, 2003, the mentioned stipends amounted to Rbl 1,000 and Rbl 2,000 respectively.

Decision of the Government of the Russian Federation No. 435 of July 16, 2005 on the Endorsement of the Regulation on the Presentation of the Additional (Closed) Part of the Credit History to the Subject of the Credit History, to the Court (Judge) and the Bodies of Preliminary Investigation

Defines the procedure and terms of granting by the credit history bureaus of additional (closed) part of the credit history to the subject of the credit history, to the court (judge) in a processed criminal case and to the bodies of preliminary investigation when they process a criminal case in the presence of prosecutor's consent.

The mentioned part of the credit history is granted within 10 days from the day of receiving of the request. The Decision lists information to be contained in the request.

Decision of the Government of the Russian Federation No. 434 of July 15, 2005 on the Assistance to Be Rendered to the Commission for Investigation of the Air Accident or Incident at the Place of the Air Accident or Incident

Specifies the duty of legal entities regardless of the form of ownership to render assistance in the work of commissions investigating air accidents or incidents that are formed according to the rules of investigation of air accidents or incidents with civil, state or experimental air vessels. Legal entities shall render assistance on the basis of contracts with the Federal Service of Enforcement in the Sphere of Transport, Ministry of Defence of Russia or the Federal Agency of the Industry at the written request of the chairman of the commission. Expenses pertaining to the payment for the mentioned contracts shall be financed at the expense of the budget resources of the Russian Federation.

Decision of the Government of the Russian Federation No. 432 of July 15, 2005 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 2709 00) is increased from USD 136.2 to USD 140 per ton.

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

Federal Law No. 86-FZ of July 15, 2005 on the Amendments to Article 6 of the Federal Law on the Military Duty and the Military Service

Changes the procedure of material support of citizens pertaining to execution of their military duty or entering the contract military service. Citizens undergoing training exercises in the regions of the Far North, similar and other localities with unfavourable climatic or ecological conditions, including the remote ones, shall get coefficients to the salary for the military position and the salary for the military grade (regional, for the training in mountainous regions, for the training in desert localities) and percent mark-ups in the amounts specified for the citizens working and living in the mentioned regions and localities. Also removes a restriction on the amount of the average earnings or stipends at the place of permanent work or study (earlier, the amount could not be greater than Rbl 1,000) for the citizens pertaining to execution of their military duty or their entry in the contract military service.

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

Order of the Ministry of Transport of the Russian Federation No. 63 of June 8, 2005 on the Endorsement of the Regulation on the Particulars of the Working Time and Leisure Time Regime of the Employees of the Underground

The particulars of the working time and leisure time regime are obligatory when working out the rules of internal labour schedules of the organisation and the schedules of shift work of employees. Train schedules must also be worked out taking into account the Order.

When summing up the working time, the maximum permissible length of the daily work (shift) of the employees working on the line may not be greater than 12 hours, and the work of the locomotive teams - 8 hours and 30 minutes (12 hours if the working time is divided into two parts). When the working time is divided into parts, the length of the working time after the break may not be greater than 4 hours.

Overtime work may not be greater than 24 hours a month per employee and 120 hour a year.

During the working day (shift), the employees get a break for rest and taking meals with the length of at least 30 minutes and not greater than two hours, which is not included in the working time. Workers of the locomotive teams get their break for rest and meals after 3-4.5 hours of work, at least 30-minutes long.

Registered in the Ministry of Justice of the Russian Federation on July 15, 2005. Reg. No. 6804.

Direction of the Central Bank of Russia No. 1585-U of June 22, 2005 on the Invalidation of Some of the Normative Acts of the Bank of Russia

Invalidates the Direction of the Bank of Russia No. 1318-U of August 7, 2003 on the generation and amount of the reserve for operations of credit organisations with residents of off-shore zones (with amendments).

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

Registered in the Ministry of Justice of the Russian Federation on July 15, 2005. Reg. No. 6800.

Direction of the Central Bank of Russia No. 1584-U of June 22, 2005 on the Generation and Amount of the Reserve for Possible Losses for Operations of Credit Organisations with Residents of Off-Shore Zones

Credit organisations must build a reserve for the loans granted to residents of off-shore zones, as well as the debts in loans and similar debts available with residents of off-shore zones, as well as for financial instruments where the clients are residents of off-shore zones. The mentioned requirements do not apply to operations carried out through accounts opened in international clearing centres of the European Union, loans and financial instruments where the clients are resident banks of off-shore zones in the presence of the permission of the Bank of Russia and in some other cases.

The amount of the generated reserve depends on the off-shore zone rating as group 1, 2 or 3 and may not be greater than 50% of certain amount.

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

Registered in the Ministry of Justice of the Russian Federation on July 15, 2005. Reg. No. 6799.

Order of the Ministry of Finance of the Russian Federation No. 77n of June 21, 2005 on the Endorsement of the Regulation on the Coordination of the Rules of Internal Control of Organisations Buying, Selling Precious Metals, Precious Stones, Jewellery of Them and Scrap of Such Items

Defines the procedure of coordination by the state inspections of assay enforcement of the Russian State Assay Chamber of the Ministry of Finance of Russia of the rules of internal control of organisations registered in the state inspections of assay enforcement and buying, selling precious metals, precious stones, jewellery of them and scrap of such items.

Coordination of the rules of internal control of the mentioned organisations is arranged to implement the Federal Law No. 115-FZ of August 7, 2001 on the combating of legalisation (laundering) of incomes obtained in a criminal way and financing of terrorism.

Registered in the Ministry of Justice of the Russian Federation on July 15, 2005. Reg. No. 6798.

Letter of the Central Bank of Russia No. 101-T of July 15, 2005 on the Measures Applied by the Territorial Institutions of the Bank of Russia to Credit Organisations Servicing Budget Accounts

In cases of revealed facts of illegal servicing by credit organisations of the budget accounts and those of the state extra-budgetary funds by territorial institutions of the Bank of Russia, it is recommended to apply to credit organisations preventive measures, as well as send information of the mentioned violations to the bodies of the prosecutor's office, Federal Treasury and the Federal Service of Financial and Budget Enforcement.

Letter of the Central Bank of Russia No. 99-T of July 13, 2005 on the Methodology Recommendations to Work out the Rules of Internal Control by Credit Organisations for Combating Legalisation (Laundering) of Income Obtained in a Criminal Way and Financing of Terrorism

The new recommendations are introduced to replace the recommendations endorsed by the Operative Direction of the Bank of Russia No. 137-T of November 28, 2001 and take account of the latest changes of the legislation on the combating of legalisation (laundering) of incomes obtained in a criminal way and financing of terrorism. The Letter provides the main provisions of ten programs of implementation of internal control to be worked out by the credit organisation taking into account the nature and main directions of its activities, client base and the level of typical bank risks. Provides additional criteria of increased level of risk, expands and refines the criteria of revealing and the signs of unusual transactions.

Letter of the Central Bank of Russia No. 97-T of July 13, 2005 on the Methodology Recommendations on Organisation of Work in the Credit Organisation to Suspend Individual Types of Operations with Monetary Resources

Individual types of operations may be suspended by the bank to fulfil the Federal Law No. 115-FZ of August 7, 2001 on the combating of legalisation (laundering) of incomes obtained in a criminal way and financing of terrorism. The credit organisation may decide to suspend the operation for two working days in compliance with its internal documents. The suspension begins from the date when the client order must have been fulfilled.

The Letter lists information recommended for inclusion in the internal documents of the credit organisation. The final decision to suspend the operation at the presentation of the employee in charge is recommended for placing with the head of the credit organisation.

Letter of the Central Bank of Russia No. 96-T of July 13, 2005 on the Inclusion of Securities in the Lombard List of the Bank of Russia

The Lombard List of the Bank of Russia shall include now individual issues of the bonds of the OAO "Agency of Mortgage Housing Crediting", OAO "Russian Railways", OAO "Gazprom", OAO "Tyumen Oil Company", OAO "Oil Company of Lukoil", Foreign Trade Bank and the state bonds of the Khanty-Mansiysk Autonomous District.

Decision of the Constitutional Court of the Russian Federation No. 9-P of July 14, 2005 on the Case of Constitutionality of Provisions of Article 113 of the Tax Code of the Russian Federation Pursuant to the Appeal of Citizen G.A.Polyakova and Request of the Federal Arbitration Court of the Moscow District

According to the challenged Article, a person cannot be called to account for a tax violation if three years expired from the day of committing it or from the day following the end of the tax period when it was committed.

According to the applicants, only the court may make a final conclusion of the culpability or innocence of the person as regards the violation envisaged in the Tax Code of the Russian Federation, and before the court ruling (which must be taken before expiry of the period of limitation) the person is not regarded as liable. However, since the cases of tax violations are processed, and the taxpayers are called to account, by the tax bodies, the challenged norm actually permits to call the person to account after expiry of three-years of limitation, since the court may decide to collect the tax sanction upon expiry of this period.

According to the Constitutional Court of the Russian Federation, the period of limitation for applying to court to collect a tax sanction is an independent limitation and is not consumed by the limitation of sewing and does not imply that the whole of the process of calling to account must be terminated within three years. The period of collection of the tax sanction begins with the termination of the period of limitation of calling to account. And termination of the limitation of calling to account is associated with the act of the tax check or appropriate decision of the head of the tax body rather than the court ruling on the collection of the tax sanction.

The Constitutional Court of the Russian Federation emphasised that provisions of Article 113 of the Tax Code of the Russian Federation do not prevent from calling the taxpayer to account if the fact of the tax violation has been revealed by the tax body while observing the requirements of the Tax Code of the Russian Federation on the limiting period of depth of coverage of the tax check and the time limit of storage of the reporting documentation. Provisions of Article 113 of the Tax Code of the Russian Federation do not imply that the period of limitation specified in them applies equally to the taxpayers observing their duties in the course of the tax control and those resisting such control. In other words, the mentioned provisions do not exclude an opportunity for the court to recognise as justifiable the missing of the period of limitation by the tax body in cases of resistance on the part of the taxpayer to carry out the tax control and the tax check and to collect tax sanctions from the taxpayer for th e revealed violations within the limits of the depth of coverage of the tax check.

Provisions of Article 113 of the Tax Code of the Russian Federation are recognised as complying with the Constitution of the Russian Federation. The revealed constitutional and legal sense of the mentioned provisions is obligatory for all and excludes any other interpretation of them in the judicial practice.

The Decision is entered into force immediately after annunciation.

Decision of the Constitutional Court of the Russian Federation No. 8-P of July 14, 2005 on the Case of Constitutionality of Individual Provisions of the Federal Laws on the Federal Budget for the Years 2003, 2004 and 2005 and the Decision of the Government of the Russian Federation on the Procedure of Execution by the Ministry of Finance of the Russian Federation of Judicial Acts on Lawsuits against the Treasury of the Russian Federation to Reimburse the Damage Incurred through Illegal Actions (Failure to Act) of the Bodies of State Power or Officials of the Bodies of State Power Pursuant to Appeals of Citizens E.D.Zhukhovitsky, I.G.Poym, A.V.Ponyatovsky, A.Y.Cheslavsky and OAO "Khabarovskenergo"

The applicants challenged the constitutionality of the norms specifying the rules of execution of the court rulings obliging to reimburse incurred damage from the Treasury of the Russian Federation for illegal actions (failure to act) of the bodies of state power or their officials. According to the budget laws, such court rulings are executed by the Ministry of Finance of Russia according to the procedure specified by the Government of the Russian Federation rather than the bailiff.

The Constitutional Court of the Russian Federation emphasised that the federal legislator having delegated the authority in the normative regulation of the process of execution of appropriate court rulings to the Government of the Russian Federation did not specify the volume and limits of such regulation. The Decision of the Government of the Russian Federation No. 666 of September 9, 2002 being in effect permits to return the writ of execution to the collecting party without execution on formal grounds. The mentioned Decision does not contain a mechanism of responsibility for the untimely execution by the Ministry of Finance of Russia of the public duty vested in it. The Constitutional Court recognised as unconstitutional provisions of Part 1 of Article 122 of the Federal Law on the federal budget for the year 2003 where it empowers the Government of the Russian Federation with authority to regulate execution of the court rulings on lawsuits against the Russian Federation to reimburse the damage incurred th rough illegal actions (failure to act) of the bodies of state power or officials of the bodies of state power. The Decision of the Government of the Russian Federation No. 666 of September 9, 2002 remains in force until January 1, 2006. Within this period, the legislator is recommended to bring the provisions of the challenged acts in compliance with the adopted Decision.

The Decision is entered into force immediately after annunciation.

Decree of the President of the Russian Federation No. 813 of July 18, 2005 on the Procedure and Terms of Sending of the Federal State Civil Servants on Business Trips

Federal state civil servants shall be sent on business trips at the decision of the representative of the hiring party or the person authorised by him for a certain period of time to execute a service task on the territory of the Russian Federation or abroad. The length of the business trip is determined taking into account the volume, complexity and other particulars of the service task. The length of the business trip to the higher in the order of subordination state bodies may not be greater than five days without the time of travel. The sending on a business trips is drawn up in initial registration documents according to specified uniform forms of initial record keeping documents used to register the volumes of work and labour remuneration.

When being sent on a business trip, the civil servant preserves his position, monetary subsistence (average earnings), as well as gets reimbursement of travelling and lodging expenses, daily subsistence and other pertinent expenses. If the servant is sent on a business trip abroad, he may get in addition reimbursement of expenses to draw up the foreign passport, visas and other exit documents, consular and airfield fees, fees for the right of entry or transit shipment of the transport vehicle, expenses to draw up obligatory medical insurance and other obligatory expenses and fees. The daily subsistence is not paid out if the servant may return to the place of permanent living every day. The Decree specifies the norms of expenses to book the lodging: for the manager category - not more than the cost of a two-room suit, other - not more than the cost of a single-room (single-bed) suit. In the absence of confirming documents, the lodging expenses are reimbursed at 30% of the specified norm of the daily allowance . The lodging expenses abroad are reimbursed at the actual cost, however, not greater than the limiting norms of reimbursement of the lodging expenses for the short-term trips specified by the Ministry of Finance of Russia in coordination with the Ministry of Foreign Affairs of Russia.

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

Order of the Ministry of Public Health and Social Development of the Russian Federation No. 417 of June 22, 2005 on the Implementation of the Decision of the Government of the Russian Federation No. 238 of April 19, 2005 on the Financing in 2005 of Additional Payments for Obligatory Medical Insurance of Non-Working Pensioners

Lists the documents submitted by the bodies of executive power of the subjects of the Russian Federation to the Pension Fund to take the decision to allocate resources to finance additional payments for obligatory medical insurance of non-working pensioners. Endorses the form of the application for the mentioned financing.

Provides the rules of organisational and information interaction between the Pension Fund and the territorial funds of obligatory medical insurance in the course of implementation of the financing of additional payments for obligatory medical insurance of non-working pensioners.

Registered in the Ministry of Justice of the Russian Federation on July 15, 2005. Reg. No. 6806.

Order of the Ministry of Internal Affairs of the Russian Federation No. 399 of May 20, 2005 on the Procedure of Assigning (Confirmation) of the Class (Qualification) Category to Servicemen of Internal Troops of the Ministry of Internal Affairs of Russia

Defines the procedure of assigning (confirmation, lowering down and revocation) of the class (qualification) category of servicemen of internal troops of the Ministry of Internal Affairs of Russia. The testing to assign (confirm) the class (qualification) category shall be carried out two times a year, in the end of the summer and winter periods of training. Contract servicemen may get their subsequent class qualification no sooner than one year after, and the draft servicemen, no sooner than six months after getting the previous class qualification.

The class qualification to servicemen is assigned in the following sequence: "Specialist 3rd class", "Specialist 2nd class", "Specialist 1st class", "Master".

Provides the form of the certificate of the class specialist of internal troops of the Ministry of Internal Affairs of Russia, description and form of the breast sings of class specialists for the contract and draft servicemen of internal troops of the Ministry of Internal Affairs of Russia.

Registered in the Ministry of Justice of the Russian Federation on July 15, 2005. Reg. No. 6794.

Order of the Federal Customs Service No. 558 of June 20, 2005 on the Endorsement of the List of the Customs Bodies Authorised to Carry out Customs Operations with Commodities Moved Using ATA Carnets

Lists the customs bodies authorised to carry out customs operations with commodities moved using ATA carnets. The ATA carnet (admission temporaire - temporary admission) is an international customs document equal to the customs declaration permitting to identify the commodities and including an international guarantee of payment of the import duties and fees. The drawing up and issue of the mentioned carnets is vested in the Chamber of Commerce and Industry of the Russian Federation.

Registered in the Ministry of Justice of the Russian Federation on July 14, 2005. Reg. No. 6792.

Recommendations on the Procedure of Informing of Depositors by the Banks of the Issues of Deposit Insurance (New Wording) (Adopted by the Decision of the Management Board of the State Corporation "Deposit Insurance Agency" of June 30, 2005 (Protocol No. 48))

Provides a new wording of the recommendations to the banks participating in the system of obligatory insurance of deposits to provide information to depositors of their participation in the deposit insurance system, procedure and amounts of reimbursement on the deposits, as well as the placing of information on the deposit insurance system in the bank rooms accessible to depositors where they are being served.

The new wording recommends the banks to place on the stands a notification for the depositors of the need to present in due time information of the changes in information submitted when concluding the bank deposit contract or bank account contract (full name, registration address, postal address, type and requisites of the personal identification document), as well as of possible negative consequences of the failure to fulfil such actions if insured cases occur with the bank where the deposit is placed.

The new wording contains also a procedure of use of the sigh "Deposits Insured, Deposit Insurance System" by the banks. The recommendations specify, in particular, that the Deposit Insurance Agency as the right holder permits the banks to use the mentioned sign without concluding the license contract and without the payment of the license fees. It is permitted to use the sign for promotion purposes. Earlier, the Agency recommended the banks to abstain from the use of the fact of their participation in the deposit insurance system for promotion purposes.

Letter of the Ministry of Finance of the Russian Federation No. 07-03-01/647 of June 27, 2005

As a countermeasure against legalisation of incomes obtained in a criminal way and financing of terrorism, when carrying out audit checks, its is necessary to pay attention to the signs of unusual transactions when the persons rendering legal and accounting services prepare or carry out on behalf or at the order of their clients operations with monetary resources or another property. The Letter provides the signs of doubtful operations (transactions) requiring the servicing personnel to identify the clients, arrange internal control, register and keep information. Information on the client, transaction and circumstances permitting to suspect that the client operation (transaction) is carried out for the purposes of legalisation of incomes obtained in a criminal way or financing of terrorism is submitted to the Federal Service of Financial Monitoring no later than the working day following the day of revealing of the appropriate operation (transaction). The fact of transfer of the mentioned information may not be disclosed by the servicing personnel.

Federal Law No. 96-FZ of July 21, 2005 on the Ratification of the Protocol between the Government of the Russian Federation and the Government of the Republic of Armenia on the Prolongation of the Agreement between the Government of the Russian Federation and the Government of the Republic of Armenia on the Regulation of the Process of Voluntary Resettlement of August 29, 1997

Ratifies the Protocol signed in Yerevan on March 4, 2004. The Protocol prolongs for 5 years the Agreement between the Government of the Russian Federation and the Government of the Republic of Armenia on the regulation of the process of voluntary resettlement. The Agreement envisages a simplified procedure of resettlement of migrants, members of their families, as well as the shipment of their movable property.

Order of the Federal Antimonopoly Service No. 96 of May 20, 2005 on the Endorsement of the List of Information Presented to the Antimonopoly Body When Economic Subjects Wishing to Conclude an Agreement or Planning Coordinated Actions or Their Authorised Representative Submit Application

The mentioned list includes general information on the persons wishing to conclude an agreement or planning coordinated actions and their representatives, as well as on their activities, information on the agreement or coordinated actions and information on the persons of the same groups as participants of the agreement or coordinated actions. The mentioned information is presented to the federal antimonopoly body to check the compliance of the agreement or coordinated actions with the requirements of the antimonopoly legislation.

Registered in the Ministry of Justice of the Russian Federation on July 18, 2005. Reg. No. 6807.

Letter of the Department of the Tax and Customs Tariff Policy of the Ministry of Finance of the Russian Federation No. 03-02-07/1-155 of June 21, 2005

Accounts, the opening (closing) of which must be reported to the tax bodies, include settlement (current) and other accounts in the banks opened on the basis of the bank account contract and used to enter and transfer monetary resources of organisations and independent entrepreneurs. Deposit, transit currency and loan accounts do not show the signs of such accounts: they are not opened on the basis of the bank account contract and have a special, tied destination. Thus, the requirement to the banks to report to the tax bodies the opening (closing) of accounts does not apply to the deposit, transit currency and loan accounts.

Federal Law No. 115-FZ of July 21, 2005 on Concession Agreements

This Federal Law shall regulate the relations rising in connection with the preparation, making, execution and termination of concession agreements, shall establish guarantees of the rights and legitimate interests of the parties to a concession agreement. The Federal Law shall be aimed at the attraction of private investments into different units that are of socio-economic importance and that are in state or municipal ownership.

A concession agreement shall constitute a contract containing elements of different contracts. Under a concession agreement, the concessionaire shall be obliged at his own expense to create and (or) reconstruct the immovable property specified by this agreement that is or will be in the ownership of the concedent, that is, of the Russian Federation, a subject of the Russian Federation or a municipal formation, to exercise activities using (operating) the object of the concession agreement, while the concedent shall be obliged to grant to the concessionaire for the time period established by this agreement the right to possess and dispose of the object of the concession agreement for the exercise of the said activities. A concession agreement shall not provide for the transfer of ownership of the object of the concession agreement to the concessionaire. It shall not likewise be allowable to change the purpose of the object of a concession agreement under reconstruction. The Federal Law establishes an exhaust ive list of the immovable property that may constitute the object of a concession agreement. It establishes a competitive procedure for selection of applicants for the right of making concession agreements.

Federal Law No. 114-FZ of July 21, 2005 on Fees for the Issue of Licences for the Exercise of the Activities Connected with the Production and Circulation of Ethyl Alcohol, Alcoholic and Alcohol-Containing Products

This Federal Law shall regulate the relations concerning a procedure for collection and rates of fees for issuing licences for the exercise of the kinds of activities connected with the production and circulation of ethyl alcohol, alcoholic and alcohol-containing products. It provides for the increase of the rate of fees for the issue of the licences. Thus, for the production, storage and supply of produced ethyl alcohol and alcoholic products (except for wine) a fee in the amount of 3 million roubles shall be collected (it has been 500 times minimum labour wage before). Fees for the issue of the licences, for extension of the licences' duration and for the re-issue of the licences shall be remitted to the federal budget. Fees for the issue of new licences in connection with the necessity of bringing by the organisations, that have the licences as on January 1, 2006 (except for the licences for retail sale of alcoholic products), their activities into accord with the licence requirements shall be subject to t he reduction by the amount previously paid for the issue of the effective licence, if an organisation has worked under the licence within less than one year.

Federal Law No. 5-FZ of January 8, 1998 on Fees for the Issue of Licences for the Exercise of the Activities Connected with the Production and Circulation of Ethyl Alcohol, Alcoholic and Alcohol- Containing Products shall be declared invalidated.

The Federal Law shall enter into force as of January 1, 2006.

Federal Law No. 113-FZ of July 21, 2005 on Amending the Federal Law on Advertising and Article 14.3 of the Code of Administrative Offences of the Russian Federation

This Federal Law shall impose restrictions on advertising the activities of organisation and conduct of games of chance and (or) bets. Such advertising shall be allowed: 1) solely in radio and TV broadcasts from 10 p.m. till 7 a.m. of local time; 2) solely in the buildings, structures and constructions where games of chance and (or) bets are conducted, except for individual places where such advertising is entirely prohibited; 3) in advertising periodical prints, as well as in specialised periodical prints intended for employees of gambling establishments and persons participating in games of chance and (or) bets.

The specifics of such advertising is determined therein. Thus, it must not produce an impression that participation in games of chance is important for achieving much public or personal success or can assist solving material problems. Advertising must not produce an impression that there is a guarantee of winning or that the probability thereof is high, it must not hold back specific conditions or restrictions. It shall be prohibited to use in such advertising images of people or animals, as well as to address directly to children. With this, it is stressed that the said restrictions shall nor extend to advertising of stimulative lotteries (where the right of participation is not connected with making payments and the prise fund is formed at the expense of the organiser thereof) and to state lotteries.

The amendments made to the Code of Administrative Offences of the Russian Federation drastically increase the maximum amount of the fine imposed upon officials and legal entities for violations of the laws on advertising.

The Federal Law shall enter into force upon the expiry of six months as do the date of official publication thereof.

Federal Law No. 112-FZ of July 21, 2005 on Amending the Law of the Russian Federation on the Customs Tariff

This Federal Law shall establish the kinds of preferences under the Customs Tariff, specify a procedure for determining rates of customs duties, introduce the concept of 'tariff quota' in compliance with the requirements of the World Trade Organisation, as well as shall define the specifics of commodities serving as aground for their release from import customs duties or for a reduction of these duties.

Commodities shall be imported onto the customs territory of the Russian Federation within the framework of tariff quotas on the basis of a licence. A procedure and time for issuing such licences on a competitive basis (on the basis of the results of auctions) shall be established by the Government of the Russian Federation.

This Federal Law shall enter into force at the earliest upon the expiry of one month as of the date of its official publication.

Federal Law No. 111-FZ of July 21, 2005 on Amending the Land Code of the Russian Federation, the Forest Code of the Russian Federation, the Federal Law on the Transfer of Lands and Land Plots from One Category to Another One and the Federal Law on Putting into Operation the Town-Planning Code of the Russian Federation

There are more exactly defined the specifics of transferring agricultural lands, lands of settlements and the forestry into other categories. The amendments shall concern the issues of using agricultural lands and land plots within the composition of such lands allotted for the period of constructing roads, power transmission lines, communication lines, oil pipelines and other line facilities. A procedure for carrying out in the forestry of the works that are not connected with managing the forestry and forest exploration is specified.

The time for putting into operation Part 4 of Article 9 of the Town-Planning Code of the Russian Federation shall be moved from January 1, 2006 to January 1, 2008, under which the adoption by state power bodies and local self-government bodies of decisions on reservation of lands, on seizure, including by way of redemption, of land plots to meet state or municipal needs, on transfer of lands from one category to another one in the absence of territorial planning documents, except for the instances provided for by the federal laws, shall not be allowed.

Federal Law No. 110-FZ of July 21, 2005 on Amending the Federal Law on Credit Histories

The conceptual instruments of the Law is supplemented by the concept of 'credit history record' meaning the information within the credit history describing a borrower's discharge of the obligations assumed by it under one contract of loan (credit). There is likewise introduced the concept of 'the code of the subject of credit history' meaning a combination of digital and literal symbols to be used by the user of a credit history when directing to the Central Catalogue of Credit Histories an inquiry concerning the bureau of credit histories where the credit history is formed. The rules for using this code are given. The contents of a credit history, as regards putting down data from the passports of Russian and foreign citizens, are specified.

Federal Law No. 109-FZ of July 21, 2005 on Amending Article 181 of Part One of the Civil Code of the Russian Federation

The amendments provide for reduction of the limitation period in respect of a claim for applying the effects of invalidity of a null and void transaction from ten to three years. This measure is aimed at impeding the application of the provisions of the Civil Code of the Russian Federation on invalid transactions for property redistribution, at making civil circulation more stable and at improving the investment climate in the country.

The Federal Law shall enter into force as of the date of its official publication. The new limitation period shall likewise apply to the claims for which previously established limitation period are not expired before to the date of this Federal Law's entry into force.

Federal Law No. 108-FZ of July 21, 2005 on the All-Russia Agricultural Census

This Federal Law shall regulate the relations rising between legal entities, natural persons, state power bodies of the Russian Federation, state power bodies of the subjects of the Russian Federation and local self-government bodies in respect of organisation and conduct of the All -Russia Agricultural Census and publication of the results thereof. The data gained in the course of the All-Russia Agricultural Census shall be only used for the purpose of forming federal informational resources on the basic characteristics and structure of agriculture and may not be used for other purposes. Special attention shall be paid to the issues related to the confidentiality of presented data and liability of officials for their unauthorised use or application for wrong purposes. The All-Russia Agricultural Census shall be conducted at least once every ten years.

As the objects of the All-Russia Agricultural Census shall be deemed the legal entities and natural persons being owners, users, possessors or lessees of the land plots intended or used for making agricultural products or those having an agricultural livestock. Participation in an agricultural census and submission of data for inclusion into questionnaires shall be obligatory for legal entities being objects of the agricultural census. For natural persons such participation shall be a public duty thereof. A list of the data on the natural persons being objects of an agricultural census is established and a procedure for their collection is established as well.

Federal Law No. 107-FZ of July 21, 2005 on Amending Part Two of the Tax Code of the Russian Federation and on Declaring Invalidated Some Provisions of Legislative Acts of the Russian Federation

This Federal Law shall make a number of amendments to Chapter 22 'Excise Taxes' of the Tax Code of the Russian Federation. The treatment of tax warehouse in respect of alcoholic products shall be repealed and excise warehouses of wholesale organisations shall be excluded from the number of excise tax payers.

A procedure for registration of the persons making operations with excisable commodities is be specified; especially, the necessity of obtaining the certificate of registration for the person making petrochemical products with the use of straight-run petrol as a raw material, as well as making operations with denaturated alcohol, is established. With this, the obtainment (entry) of denaturated ethyl alcohol by an organisation that has the licence for making products not containing alcohol shall be excisable. A number of other amendments specifying the procedure for paying excise taxes in respect of excisable commodities is made.

The wholesale organisations, that establish excise warehouses prior to January 1, 2006 and sell as of the said date alcoholic products with a volume share of ethyl alcohol over 9% received at the excise warehouses of these organisations prior to January 1, 2006 and (or) shipped to their address before the said date, shall be deemed excise tax payers. The time for filing tax declarations and the time for paying excise taxes for such organisations are established.

The Federal Law shall enter into force as of January 1, 2006 but at the earliest upon the expiry of one month as of the date of its official publication, apart from individual exceptions for which other time of entry into force is provided for.

Federal Law No. 106-FZ of July 21, 2005 on Amending Part Two of the Tax Code of the Russian Federation as Well as on Declaring Invalidated individual Provisions of Legislative Acts of the Russian Federation

A number of amendments is made to Chapter 25.3 'State Duty' of the Tax Code of the Russian Federation aimed at releasing from of a state duty, as well as at reducing the rate thereof, as regards some legal actions. Thus, a state duty shall not be payable when granting Russian citizenship to children being orphans and to children without parental custody, as well as when issuing to such children the passports of Russian citizens. A state duty shall not be payable when opening a bank branch.

The rate of the state duty payable by the federal state power bodies, state power bodies of the subjects of the Russian Federation and by local self-government bodies for committing legal actions related to registration of rights to immovable property is drastically reduced.

Furthermore, lower rates of the state duty for making legal actions, related to operation of individual types of sea ships, as well as of inland and mixed navigation ships, are established.

The Federal Law shall enter into force upon the expiry of one month as of the date of its official publication.

Federal Law No. 105-FZ of July 21, 2005 on Amending Article 20 of the Federal Law on Putting into Operation Part Two of the Tax Code of the Russian Federation and on Making Amendments to Some Legislative Acts of the Russian Federation on Taxes

The amendments are aimed at finishing the process of paying off arrears of enterprises and organisations in respect of dues to the Pension Fund of Russia, Social Insurance Fund and obligatory medical insurance funds that they have as on January 1, 2001, as well as in respect of penalties and fines charged. In compliance with the previously established procedure, charging of penalties and fines in connection with arrears was only suspended after taking by tax authorities a decision to grant organisations the right to re-structure their debts. In this connection, charging of penalties and fines went on in 2001 pending the date of rendering a decision of a debt restructuring. The amendments provide for the possibility of restructuring the arrears, as regards the penalties and fines charged in connection with said arrears on the basis of the records of tax authorities as on the date of rendering a decision on their restructuring.

The Federal Law shall enter into force upon the expiry of one month as of the date of official publication thereof.

Federal Law No. 104-FZ of July 21, 2005 on Amending the Law of the Russian Federation on Organisation of Insurance Business in the Russian Federation

A list of the data that must contain the denomination (firm's name) of the subjects of insurance business being legal entities is specified. In addition to indicating the type of activities, the denomination thereof must contain an indication of the organisational and legal form of a subject of insurance business, as well as a designation individualising the subject of insurance business. A legal entity being a subject of insurance business shall not be entitled to use in full the designation that individualises another subject of insurance business. Such use may serve as a ground for denying the issuance of the licence to the applicant for it. However, this provision shall not extend to branch and dependent companies.

Federal Law No. 103-FZ of July 21, 2005 on Amending the Federal Law on Obligatory Civil Liability Insurance of Transport Vehicles' Owners

The degree of protection of victims of road accidents is increased. The amendments not only provide for compensation payments from the guarantees' reserve for repair of damage caused to life and health of the victim but also for reimbursement of damage inflicted upon its property, in the instances when insurance money cannot be paid by the insurer as a result of the withdrawal of its licence for the exercise of insurance activities or initiation of bankruptcy proceedings in respect of it. Compensation payments are likewise provided for from the reserve of current compensation payments for repair of damage caused to life and health of the victim, if the person that has inflicted damage has no obligatory insurance contract.

Compensation payments shall be established for repair of damages caused to life and health of several victims in the amount of 240 thousand roubles at the most and of 160 thousand roubles at the most when damage is caused to life and health of one victim. Compensation payments shall be established for repair of damage caused to the property of several victims in the amount of 160 thousand roubles at the most and of 120 thousand roubles at the most when causing damage to the property of one victim.

Federal Law No. 102-FZ of July 21, 2005 on Amending the Federal Law on the State Regulation of the Production and Circulation of Ethyl Alcohol, Alcoholic and Alcohol-Containing Products and on Declaring Invalidated Individual Provisions of the Federal Law on Amending the Federal Law on the State Regulation of the Production and Circulation of Ethyl Alcohol, Alcoholic and Alcohol- Containing Products

The amendments exclude from the scope of operation of the Law the activity of making and circulating beer, as well as natural drinks containing at the most 6% of ethyl alcohol in finished products made from wine base that are produced without adding ethyl alcohol.

The authority of the federal executive bodies in the area of control over the production and circulation of ethyl alcohol, alcoholic and alcohol-containing products is extended. The scope of authority of the said bodies shall include running the comprehensive state automated informational system of registration of the volume of production and circulation of ethyl alcohol, alcoholic and alcohol-containing products when exercising the state control over the volume of production and circulation of such products. Ethyl alcohol, alcoholic and alcohol-containing products shall be subject to withdrawal from illegal circulation, if the sale of these products is not fixed in the said informational system.

Determination of a procedure for licencing retail sale of alcoholic products, issuance of appropriate licences, the exercise of control over observance of the terms provided for by these licences, introduction of declaring retail sale of alcoholic products are referred to the scope of authority of the state power bodies of the subjects of the Russian Federation. Requirements to the production and circulation of denatured ethyl alcohol and alcohol-containing inedible products impeding their use as food substances are determined.

State enterprises, as well as organisation with the paid-up authorised capital (authorised fund) amounting to at least 10 million roubles, shall be entitled to produce ethyl alcohol, while vodka may be produced by the said enterprises and organisations with such capital amounting to at least 50 million roubles. The requirements to the production and circulation of denatured ethyl alcohol and alcohol-containing inedible products making it possible to impede their use as food substances are established.

Procurement, storage and supply by organisations of alcohol-containing inedible products shall be subject to licencing as of July 1, 2006.

Organisations that have licences for the production and circulation of ethyl alcohol, alcoholic and alcohol-containing products dated prior to July 1, 2006 shall be obliged to obtain new licences (except for licences for retail sale of alcoholic products).

This Federal Law shall enter into force as of January 1, 2006, apart from individual exceptions.

Federal Law No. 100-FZ of July 21, 2005 on Amending the Federal Law on the Duty to Undergo Military Service and on Military Service and Article 14 of the Law of the Russian Federation on Education

This Federal Law shall bring into accord the rules of the Federal law on the Duty to Undergo Military Service and on Military Service and the Law of the Russian Federation on Education, as regards the issues of obligatory and voluntary training of citizens for military service. It shall be established that at educational institutions of secondary (full) general education, educational institutions of primary vocational and secondary vocational education pupils in compliance with the state educational standards shall acquire elementary knowledge on defence of the State, on the citizens' duty to undergo military service and some skills in civil defence, while male pupils who have not undergone military service shall be trained in the basics of military service.

Federal Law No. 99-FZ of July 21, 2005 on Amending Article 55 of the Federal Law on the Duty to Go Military Service and on Military Service

There shall not be subject to periodical military training the citizens serving punishment in the form of compulsory works, correctional labour, limitation of liberty, arrest or deprivation of liberty; those with non-expunged or non-cancelled previous convictions for committing crimes, as well as citizens in respect of whom an inquiry or preliminary investigation is under way or in respect of whom criminal court proceedings are initiated.

The Federal Law shall enter into force as of September 1, 2005.

Federal Law No. 98-FZ of July 21, 2005 on Amending the Federal Law on Military Glory Days (Victory Days) of Russia

A list of memorial dates of Russia connected with the most important events in the life of the State and society is established. The following memorial dates are established by this Federal Law:

January 25 - the Day of Russian Students,

April 12 - the Day of Cosmonautics,

September 3 - the Day of Solidarity in Fighting against Terrorism,

November 7 - the Day of the October Revolution of 1917,

December 12 - the Day of the Constitution of the Russian Federation.

A procedure for conducting military glory days of Russia in the Armed Forces of the Russian Federation and in other troops and for holding events devoted to memorial dates of Russia, as well as a procedure for financial support to conducting military glory days and events devoted to memorial dates of Russia, are determined.

Federal Law No. 97-FZ of July 21, 2005 on the State Registration of Statutes of Municipal Formations

A procedure for the state registration of the statutes of municipal formations is established. This procedure shall likewise extend to the state registration of municipal legal acts on amending the statutes of municipal formations. Previously registered statutes of municipal formations shall be subject to inclusion into the state register of municipal formations.

Amendments shall be also made to Article 83 of Federal Law No. 131-FZ of October 6, 2003 on the General Principles of Organisation of Local Self-Government in the Russian Federation under which the provisions of Articles 28 and 44 of this Federal Law establishing the obligation to hold pubic hearings of the draft statutes of a municipal formation, of a draft municipal legal act on amending the statutes of a municipal formation, as well as defining the requirements with regard to the contents of the statutes of a municipal formation and to the state registration thereof, shall enter into force as of September 1, 2005.

The Federal Law shall enter into force as of September 1, 2005.

Federal Law No. 95-FZ of July 21, 2005 on Ratification of the Agreement between the Russian Federation and the Kirghiz Republic on the Status and Terms of Stay of the Russian Aviation Base on the Territory of the Kirghiz Republic

This Agreement signed in Moscow in September 22, 2003 is ratified. The Agreement establishes the legal basis for functioning of the Russian aviation base on the territory of the Kirghiz Republic.

Federal Law No. 122-FZ of July 23, 2005 on Amending the Law of the Russian Federation on the Status of the Heroes of the Soviet Union, the Heroes of the Russian Federation and the Full Knights of the Order of Glory

The citizens honoured with the title of the Hero of the Soviet Union, the Hero of Russia and full knights of the Order of Glory shall be granted the right to chose between enjoying privileges in kind and receiving monthly cash payments. By request of the said citizens, they and their family members shall be either granted privileges, as regards medical care and sanatorium-and-spa treatment, prosthetic and orthopedic services, provision of medicines, payment for public utilities and travelling or shall receive monthly payments at the rate of 25 thousand roubles with the subsequent indexation of this rate of payment similarly to the basic part of the labour pension. With this, in both cases privileges shall be preserved in respect of their servicing in the first turn at out-patient clinics and polyclinics, their treatment at in-patient clinics, military hospitals, hospitals, in respect of their provision with medicines in the first turn, delivery of medicines to their homes, obtainment in the first turn of perm its to treatment at sanatoriums, preventoriums and rest homes once a year, out-of-order use of all types of communication, installation of home telephones and some other ones.

In the event of death of the said persons their family members shall reserve the right to receiving monthly payments in cash or to the privileges in kind.

This Federal Law shall enter into force as of January 1, 2006.

Federal Law No. 121-FZ of July 22, 2005 on Amending Article 54 and 55 of the Federal Law on Making Amendments and Addenda to Some Legislative Acts of the Russian Federation, on Declaring Invalidated Individual Legislative Acts of the Russian Federation, on Granting Individual Guarantees to the Personnel of Internal Affairs Bodies, Bodies for Control over Traffic of Narcotics and Psychotropic Substances and of the Abolished Federal Tax Police Bodies in Connection with Taking Measures Aimed at Improving Public Administration

The amendments provide for granting individual social guarantees to the persons dismissed from the tax police bodies in connection with re-organisation thereof. Thus, the persons dismissed from the federal tax police bodies and employed by the federal executive bodies or other state bodies by way of transfer shall preserve the record of service in the ranks they previously had that shall be taken into account when conferring regular special ranks on them (class ranks, skill categories). The said persons shall be granted regular leaves subject to the record of service in the federal tax police bodies. The said persons shall not be subject to the personnel re-certification, and one-time allowances and dismissal wages shall not be paid to them. They shall be likewise entitled to registration as persons in need of improving living conditions at a new duty station with the account taken of the previous date of such registration.

The amendments likewise concern granting the right to the pensioners, dismissed from the federal tax police bodies that have a certain record of service, to medical aid at medical institutions of the Ministry of Internal Affairs of Russia, as well as some other privileges granted to them.

This Federal Law shall enter into force as of January 1, 2006 and shall extend to the legal relations rising as of July 1, 2003.

Federal law No. 120-FZ of July 22, 2005 on Amending the Code of Administrative Offences of the Russian Federation

The Federal law establishes a stricter administrative liability for installing at a motor vehicle wittingly false state registration plates and for driving such motor vehicle, for installation on a motor vehicle without the appropriate permit devices for giving light and sound signals (except for security alarm systems), as well as for an unlawful use of special colour schemes for motor vehicles used by operative services.

In the event of driving a motor vehicle which is unlawfully equipped with the said devices, as well as the one which bears special colour schemes of motor vehicles of operative services, without having a special permit to it, the Federal Law provides for, in addition to a fine, the probability of prohibiting to drive the transport vehicle (accompanied by the removal of state registration plates).

A stricter liability of officials is established for allowing to drive transport vehicles with wittingly false state registration plates or those equipped with forbidden light signals and devices installed without a special permit to it.

Federal Law No. 119-FZ of July 22, 2005 on Amending Chapter 21 of Part Two of the Tax Code of the Russian Federation and Declaring Invalidated Individual Provisions of the Laws of the Russian Federation on Taxes and Fees

The maximum rate of the proceeds received within the three preceding successive calendar months for the sale of commodities (works and services), which is related to the right of organisations and individual businessmen to the release from estimation and payment of value-added tax, is increased from 1 to 2 million roubles. Taxpayers shall forfeit the right to such release, if the rate of the proceeds received by them within the three preceding months exceeds 2 million roubles.

Operations of opening and keeping bank accounts of organisations and natural persons, including bank accounts used or making settlements under bank cards, as well as operations and services connected with servicing bank cards, are exempted from taxation. Furthermore, there shall be exempted from taxation operations of granting loans in the monetary form, commission by private notaries of notarial actions and rendering of services of legal and technical nature in compliance with the laws on notariat. There shall not be taxable by value-added tax the sale of scrap and waste of ferrous and non-ferrous metals and transfer for advertising purposes of commodities (works, services), one unit of which can be acquired (created) for 100 roubles at the most.

Foreign organisations that have several subdivisions (representative offices or branches) on the territory of the Russian federation shall independently select the subdivision at whose place of tax registration they shall file tax declarations and pay the tax in total on the operations of all their subdivisions located on the territory of the Russian Federation. Foreign organisations shall be obliged to notify on their choice in writing the tax authorities at the location of their subdivisions.

The specifics of determining the tax base, when transferring property rights, are established. The specifics of estimation and payment to the budget of the tax, when making operations in compliance with a contract of society in participation (a contract of joint activity) or a contract of property trust management on the territory of the Russian Federation, is defined. It is established that, when selling on the territory of the Russian Federation commodities of foreign persons which are not registered with tax bodies as taxpayers, there shall be deemed as tax agents the organisations and individual businessmen engaged in business activities with the participation in settlements on the basis of contracts of agency, contracts of commission agency or agency contracts made with the said foreign persons. In this instance, the tax base shall be determined by a tax agent as the value of such commodities subject to excise taxes (for excisable commodities) without the inclusion therein of the amount of the tax.

As on January 1, 2006, payers of value-added tax shall be obliged to hold an inventory of accounts payable and receivable as on December 31, 2005 inclusive. On the basis of the results of the inventory shall be determined accounts receivable for commodities sold but not paid for and preferential rights, the operations of whose sales (transfer) are recognised as objects of taxation, and accounts payable for commodities (works, services), that are not paid for, and for property rights accepted for registration prior to January 1, 2006 which include the amounts of value-added tax advanced for payment by the sellers of commodities (works and services) and of property rights and are subject to tax deductions. Payers of value-added tax that have previously determined the time of assessing the tax base as the date of payment shall include into the tax base the monetary funds received prior to January 1, 2008 for paying off the said accounts. If the accounts receivable are not paid prior to January 1, 2008, they sh all be subject to inclusion by a taxpayer into the tax base in the first tax period of 2008.

If prior to January 1, 2008 a taxpayer does not pay the amount of the tax advanced to it by the sellers of commodities (works and services) and property rights which are registered by it prior to January 1, 2006, tax deductions of such amounts of the tax shall be made in the first tax period of 2008.

This Federal Law shall enter into force as of January 1, 2006, apart from individual provisions that shall enter into force as of January 1, 2007.

Federal Law No. 118-FZ of July 22, 2005 on Amending Chapter 21 of Part Two of the Tax Code of the Russian Federation

The amendments specify a procedure for imposition on value-added tax on organisations being re-organised and on newly established organisations in the course of re-organisation of legal entities. Making by re-organised organisations operations connected with the transfer of rights and duties by way of legal succession must not lead to the rise of unreasonable tax obligations or double taxation of both re-organised and newly established companies. Chapter 21 'Value-Added Tax' of the Tax Code of the Russian Federation is supplemented by Article 162.1 establishing the specifics of taxation when re-organising companies. The amendments made shall allow to avoid an unreasonable increase of legal successors' outlays in the course of re-organisation and to advance the appropriate amounts of value-added tax for deduction.

This Federal Law shall enter into force upon the expiry of one month as of the date of official publication thereof but at the earliest on the first day of the following tax period, as regards value-added tax. The operation of this Law shall extend to the legal relations rising as of January 1, 2005.

Federal Law No. 117-FZ of July 22, 2005 on Amending Some Legislative Acts in Connection with the Adoption of the Federal Law on Special Economic Zones in the Russian Federation

The amendments are aimed at ensuring the conditions for implementation of the provisions of Federal Law No. 116-FZ of July 22, 2005 on Special Economic Zones in the Russian Federation. The amendments establish privileges and preferences for participants of special economic zones in the Tax Code, Customs Code, Land Code, Town-Planning Code and in some other federal laws.

This Federal Law shall enter into force as of January 1, 2006.

Federal Law No. 116-FZ of July 22, 2005 on Special Economic Zones in the Russian Federation

A procedure for creation, functioning and termination of special economic zones in the Russian Federation is established by this law.

As a special economic zone shall be deemed a part of the territory of the Russian Federation determined by the Government of the Russian Federation where a special procedure for exercising business activities is in effect. Special economic zones shall be created for the purpose of developing processing branches of industry, high technology branches thereof, making new types of products and development of transport infrastructure. The zones to be created may be only located on the territory of one municipal formation; with this, a zone may not include the whole territory of any administrative and territorial unit.

On the territory of the Russian Federation may be created two types of economic zones, that is, industrial-production ones and technical- promotional ones. The said zones shall be managed by the federal executive body authorised to exercise the appropriate functions and by territorial bodies thereof. As residents of a special economic zone shall be deemed profit-making organisations or individual businessmen which are registered on the territory of the municipal formation, within whose boundaries the special economic zone is located, and which have made with the managerial bodies of the given zone an agreement on the exercise of the appropriate type of activity. A wide range of preferences aimed at stimulation of business activities shall be granted to residents of a special economic zone.

As of the date of entry into force of this Federal Law, the functioning of special economic zones and of free economic zones (except for the special economic zones in the Kaliningrad and Magadan regions) created prior to the entry thereof into force shall be terminated.

The Federal Law shall enter into force upon the expiry of 30 days as of the date of its official publication.

Federal law No. 101-FZ of July 22, 2005 on Amending Chapter 26.2 and 26.3 of Part Two of the Tax Code of the Russian Federation and Some Legislative Acts of the Russian Federation on Taxes and Fees, as Well as on Declaring Invalidated Individual Provisions of Legislative Acts of the Russian Federation

Chapter 26.2 'Simplified Taxation System' and Chapter 26.3 'Taxation System in the Form of Uniform Tax on Imputed Earnings for Individual Types of Activities' of the Tax Code of the Russian Federation are amended by this law.

The rate of a taxpayer 's incomes allowing him to apply the simplified taxation system is increased from 11 to 15 million roubles, as well as the possibility of indexing the said rate subject to changes in consumer prices of commodities (works, services) is established. A procedure for transfer to the simplified taxation system and for transfer therefrom to other tax treatments, a list of outlays decreasing the tax base, as well as a procedure for recognising them, are specified.

One novation made to the Tax Code of the Russian Federation is the introduction of the provision making it possible to apply the simplified taxation system on the basis of a patent. This procedure is established for individual businessmen who do not have employees and exercise the types of activities determined by the laws of the subjects of the Russian Federation. The specifics of such procedure for applying the simplified taxation system lies in the establishment of a fixed tax rate. A patent may be issued for a quarter, six months, nine months and a year at a taxpayer's choice.

Furthermore, a list of the types of activities in respect of which the simplified taxation system in the form of uniform tax on imputed earnings for individual types of activities is widened.

The remaining amendments likewise expand the possibilities of applying special tax treatments for small-scale business subjects and simplify the required procedures.

Taxpayers which have passed over to the simplified taxation system as of January 1, 2003 and which have chosen incomes as the object of taxation shall be entitled as of January 1, 2006 to change the object of taxation notifying tax authorities on it at the latest in 2005.

This Federal Law shall enter into force upon the expiry of one month as of the date of official publication thereof, apart from individual exceptions entering into force as of January 1, 2006.

Federal Law No. 94-FZ of July 21, 2005 on Placing Orders for Supply of Commodities, Carrying Our Works and Rendering Services to Meet the State and Municipal Needs

This Federal Law shall regulate the relations rising in the course of placing orders for supply of commodities, carrying out works and rendering services to meet the state and municipal needs, as well as shall establish a uniform procedure for placing orders aimed at more efficient use of funds received from the budget and from off-budget sources, at providing greater opportunities for participation of natural persons and legal entities in orders' placement, development of fair competition, ensuring publicity and transparency when placing orders.

The provisions regulating the procedure for placing orders on a competitive basis are specified, including the procedure for forming a tender commission, the requirements to the contents of tender documentation and to the procedure for explanation and change thereof, the criteria and procedure for assessment and drawing up of tender bids, as well as a procedure for keeping the record of a tender are determined. The division into competitive and out-of-competition procurement ways is introduced and the conditions, under which out-of-competition procedures for placing orders and a close-end tender may be held, are determined.

The Government of the Russian Federation is vested with the authority of normative and legal regulation when placing orders for the supply of commodities, carrying out works and rendering services to meet the state and municipal needs.

Federal Law No. 93-FZ of July 21, 2005 on Amending Legislative Acts of the Russian Federation on Elections and Referendums and Other Legislative Acts of the Russian Federation

The amendments are introduced in connection with the adoption of Federal Law No. 51-FZ of May 18, 2005 on Elections of Deputies of the State Duma of the Federal Assembly of the Russian Federation. A greater part of the amendments is made to Federal Laws No. 67-FZ of May 18, 2005 on Basic Guarantees of Election Rights and of the Right to Participation in a Referendum of Citizens of the Russian Federation and No. 19-FZ of January 10, 2003 on Elections of the President of the Russian Federation. The amendments establish a procedure for independent participation of political parties in the elections to state power bodies and local self government bodies; political blocks are be excluded from the number of participants of the election process.

There are established single days for voting at the elections to state power bodies of the subjects of the Russian Federation and local self-government bodies, that is, the second Sunday of March and the second Sunday of October of the last year of exercising the authority by an appropriate body or deputies. Moreover, a 7-per cent barrier is established for admittance of lists of candidates to distribution of the deputy's mandates in the legislative (representative) state power body of a subject of the Russian Federation. The provisions regulating the activities of deputies of the State Duma elected in single-member constituencies and of assistants thereof are excluded from Federal Law No. 3-FZ of May 8, 1994 on the Status of a Member of the Federation Council and on the Status of a Deputy of the State Duma of the Federal Assembly of the Russian Federation. The Federal Law is supplemented by the article defining the concept of a fraction in the State Duma meaning an association of all deputies of the State D uma elected within the composition of the federal list of candidates admitted to the distribution of deputy's mandates. The transfer of a deputy of the State Duma out of a fraction shall be deemed a ground for termination of his deputy's authority.

The amendments made to Federal Law No. 95 -FZ of July 11, 2001 on Political Parties specify the procedure for nomination by political parties of candidates for the deputies (including within the composition of the lists) and for other elective offices in state power bodies and local self-government bodies. The provisions concerning financial report documents of political parties, including a procedure for submitting financial reports to the appropriate bodies, are specified. The increase as of January 1, 2005 of the extent of the state financing of the political parties supported by voters at the federal elections and the indexation as of January 1, 2007 of the rate of the state financing subject to the forecast inflation rate are provided for.

The appropriate amendments are made to the to the Criminal Code of the Russian Federation, Tax Code of the Russian Federation, Code of Administrative Offences of the Russian Federation, Civil Procedural Code of the Russian Federation, as well as to the Laws on Mass Media, on Ensuring the Constitutional Rights of Citizens of the Russian Federation to Elect and to Be Elected to Local Self-Government Bodies and to a number of other legislative acts.

Decree of the President of the Russian Federation No. 855 of July 22, 2005 on the Federal Agency for Management of Special Economic Zones

The Federal Agency for Management of Special Economic Zones subordinate to the Ministry of Economic Development and Trade of the Russian Federation is being established. The Government of the Russian Federation is given an instruction to endorse within a three-month term the regulations on the said agency.

Decision of the Government of the Russian Federation No. 447 of July 23, 2005 on Endorsing the Rates of Export Customs Duties in Respect of the Commodities Made of Petroleum That Are Exported from the Territory of the Russian Federation Behind the Boundaries of the Member States of Agreements on the Customs Union

The export rate in respect of black oil, oil, waste oil products, fuel oils, coke, oil vaseline and paraffin is increased from 56 to 57,4 US dollars per one ton. The export rate in respect of benzol, toluol, xylol, propane, butanes, ethylene, butylene and butadiene, other liquefied gases, light and average distillates and their products, gas oils are increased from 104,1 to 106,6 US dollars per 1 ton.

The Decision shall enter into force upon the expiry of one month as of the date of the official publication thereof.

Decision of the Government of the Russian Federation No. 445 of July 23, 2005 on the Procedure for Rendering by Legal Advice Offices and Bar Associations of Legal Aid to the Military Servicemen Drafted for Military Service on the Issues of Carrying Out Military Service by Them and for Other Reasons Established by Federal laws

Legal aid shall be rendered to military servicemen by legal advice offices and bar associations located in the garrisons where they carry on their military service. Rates of payments to legal advice offices and to bar associations as a remuneration and (or) compensation for outlays, related to rendering by them legal aid to military servicemen, are determined. The payments shall be made by a military unit on the basis of agreements made by way of remitting funds on a cashless basis to the current (settlement) account of a legal advice office or a bar association.

The rate of payment shall be determined by an agreement but may not exceed one minimum labour wage per day.

Decision of the Government of the Russian Federation No. 466 of July 23, 2005 on Endorsing the Regulations on the Council for Investing Savings Intended for Provision of Military Servicemen with Living Quarters

The Council is established for the purpose of exercising public control over investing of savings intended for provision of military servicemen with living quarters. In the event of detecting the facts of violation of the laws in respect of such investing and disposal of savings for provision of military servicemen with living quarters, appropriate proposals shall be directed by the Council to the authorised federal executive bodies for deciding on calling the offenders to account.

The Council shall include an equal number of representatives of the federal executive bodies and self-regulated organisations of professional participants of the securities market (of other public organisations).

Decision of the Government of the Russian Federation No. 444 of July 23, 2005 on the Procedure for Reducing the Indebtedness of Executive Bodies of the Subjects of the Russian Federation by the Amount of Fines and Penalties Charged for Failure to Return in Due Time the Material Valuables Supplied from the State Material Reserve Prior to January 1, 2001

The amount of indebtedness of executive bodies of the subjects of the Russian Federation in respect of borrowed material valuables (the principal debt) and the amount of indebtedness for charged fines and penalties shall be established by the Federal Agency on State Reserves and the executive body of a subject of the Russian Federation on the basis of the certificate of estimation verification. Within 2005 the Federal Agency on State Reserves shall make with executive bodies of the subjects of the Russian Federation agreements on paying the principal debt and on reducing the indebtedness by the amount of fines and penalties charged. Charging of penalties shall be suspended as of the date of making such agreement.

The principal debt may be paid off by way of supplying other material valuables, included into the nomenclature of the state material reserve, having the equivalent value or by way of remittance to the revenues of the federal budget the assets whose rate shall be established on the basis of the value of borrowed material valuables subject to the market prices as of the date of paying off the debt.

The indebtedness shall be reduced by the amount of charged fines and penalties in proportion to actual paying of the principal debt and on condition of making timely payments to the revenues of the federal budget for borrowing material valuables.

Order of the Federal Registration Service of the Ministry of Justice of the Russian Federation No. 89 of July 7, 2005 on Measures Aimed at Enhancing the Level of Legal Support to the Activities of the Federal Registration Service

As of August 1, 2005, the state civil servants holding in the central staff and in the territorial agencies of the Federal Registration Service the offices of state registrars, whose basic official duties include making legal expert examinations of legal acts, preparation and editing of draft legal acts and signing thereof in the capacity of a jurist or executor and who have higher legal education shall be paid a monthly bonus in the amount up to 70 % of their official salaries.

The Order is registered by the Ministry of Justice of the Russian Federation on July 21, 2005 under Registration No. 6820.

Order of the Ministry of Defence of the Russian Federation No. 235 of June 16, 2005 on Measures Aimed at the Implementation of Decision of the Government of the Russian Federation No. 909 of December 31, 2004

A procedure is established for paying monetary compensation for tenancy (subtenancy) of living quarters in military units and organisations of the Armed Forces of the Russian Federation to the military servicemen of the Russian Federation carrying out military service on a contractual basis, as well as to the citizens transferred to the reserve and to their family members. A list of single forms of the documents required for deciding on payment of monetary compensation to the said citizens, that were registered as those in need of improving housing conditions before January 1, 2005, is given.

The Order is registered by the Ministry of Justice of the Russian Federation on July 21, 2005 under Registration No. 6819

Regulations of the Central Bank of Russia No. 271-P of June 9, 2005 on Considering the Documents Submitted to a Territorial Institution of the Bank of Russia for Deciding on the State Registration of Credit Organisations, the Issue of Licences for Making Bank Operations and Keeping Databases on Credit Organisations and Subdivisions Thereof

A procedure for registration by territorial institutions of the Bank of Russia of the information on issued state registration certificates of credit organisations and on licences for making bank operations, on permits to acquisition of over 20 % stocks (shares) of a credit organisation, on decisions rendered on the basis of the results of considering the issue of coordination of the candidacy for the office of the manager, as well as a procedure for keeping databases on credit organisations and subdivisions thereof, are established. In a territorial institution the running of the time period for consideration of submitted documents shall start on the following working day after the calendar date of their registration.

The Regulations shall enter into force upon the expiry of 10 days as of the date of official publication thereof in the 'Vestnik Banka Rossii'.

The Regulations are registered by the Ministry of Justice of the Russian Federation on July 21, 2005 under Registration No. 6814.

Order of the Ministry of Defence of the Russian Federation No. 243 of June 16, 2005 on Lump Sum Payments to the Staff Members of the Foreign Intelligence Body of the Ministry of Defence of the Russian Federation and to Their Family Members

The documents are enumerated that are required for deciding on making to the staff

members of the foreign intelligence body of the Ministry of Defence of Russia and to their family members lump sum payments in the event of infliction of harm on their health or in the event of their perish (death) in connection with the exercise of intelligence activity.

The Order is registered by the Ministry of Justice of the Russian Federation on July 21, 2005 under Registration No. 6811

Order of the Ministry of the Russian Federation for Civil Defence Issues, Emergency Situations and Liquidation of the Consequences of Natural Disasters of the Russian Federation No. 543 of July 18, 2005 on the Cash Allowance to the Federal Civil Servants Holding Public Offices of the Federal Civil Service at Territorial Agencies of the Ministry of the Russian Federation for Civil Defence Issues, Emergency Situations and Liquidation of the Consequences of Natural Disasters

The rates of official salaries paid to federal civil servants of territorial agencies of the Ministry of the Russian Federation for Civil Defence Issues, Emergency Situations and Liquidation of the Consequences of Natural Disasters are stated. The terms of paying a monthly increment for special conditions of the civil service, bonuses subject to the results of work and of rendering material support to the said employees are defined.

The Order is registered by the Ministry of Justice of the Russian Federation on July 20, 2005 under Registration No. 6810.

Letter of the Social Insurance Fund of the Russian Federation No. 02-18/11-6502 of July 20, 2005

Forms of medical temporary disability certificates of the old (blue colour) type shall be destroyed in the procedure which is similar to that for destroying spoiled forms in compliance with the Instructions on the Procedure for Providing Forms of Medical Temporary Disability Certificates, Their Registration and Storage endorsed by Order of the Ministry of Public Health and Social Development of Russia No. 18/29 of January 29, 2004.

A medical temporary disability certificate of the old (blue colour) type issued after July 31, 2005 shall be subject to replacement by way of completing the duplicate of the form of a medical temporary disability certificate of the new (green colour) type. The duplicate shall be issued by decision of the medical (clinicoexpert ) commission of a medical organisation in the presence of the reference that an allowance under a given medical temporary disability certificate is not paid. With this, in the upper right corner the word 'Duplicate' shall be put down, while in the section 'Release from Work' the total disability period shall be stated in a single line.

Decision of the Government of the Russian Federation No. 443 of July 23, 2005 on Endorsing the Rules for Drawing Out a List of Data Constituting State Secrets

The draft list shall be drawn up, and the activities of state power bodies concerning the preparation of proposals in respect of the inclusion of data in the draft list, shall be coordinated by the Interdepartmental Commission for the Protection of State Secrets. The draft list shall specify the state power bodies vested with the authority to dispose of the data contained in the list. The draft list shall be introduced by the Interdepartmental Commission to the Government of the Russian Federation.

Decision of the Government of the Russian Federation No. 440 of July 16, 2005 on the Procedure for Keeping the Register of Expense Obligations of the Russian Federation

The Register shall be kept for the purpose of registration of expense obligations of the State and estimation of the amount of the federal budget funds and off-budget funds required for discharge thereof. A procedure for keeping the Register is endorsed. The regulations on drawing up by the Ministry of Finance of Russia the preliminary and specified register and on registration of expense obligations that are not included into the register, as well as the procedure for submission of the preliminary and planned registers by a state off-budget fund, shall enter into force as of January 1, 2006.

Order of the Federal Guard Service of the Russian Federation No. 233 of June 15, 2005 on Obligatory State Insurance of Life and Health of the Military Servicemen of the Federal State Guard Bodies and of the Citizens Called Up for Military Refresher Training

The life and health of the military servicemen of the federal state guard bodies carrying out their military service on a contractual basis, including those attached to state power bodies, other ministries, departments, enterprises and organisations, of the military servicemen drafted for military service, as well as of the citizens called up for military refresher training at these bodies, shall be subject to obligatory state insurance. If the death of physical disability are caused by the severe injury (a wound, trauma or contusion) or illness received when carrying out military service or in the course of military refresher training, the said persons shall be deemed insured within one year after their discharge from military service or from termination of military refresher training.

Insurance payments under obligatory state insurance shall not be made to the military servicemen elected deputies of state power bodies of the Russian Federation, of the subjects of the Russian Federation and of local self-government bodies.

If an insured accident happens, insurance payments shall be made to the insured person or, in the event of his perish (death), to the beneficiaries under obligatory state insurance. The rate of insurance payments shall be estimated on the basis of monthly salaries of these military servicemen.

The Order is registered by the Ministry of Justice of the Russian Federation on July 25, 2005 under Registration No. 6826.

Letter of the Federal Customs Service No. 14-14/20697 of June 1, 2005 on Some Issues of Application of Instructions No. 117-I of June 15, 2004

The certificates of transactions, attested solely by the signature of the responsible person of the authorised bank, where a resident draws up or re-draws up the certificate of a transaction, and by the imprint of the bank's stamp without the signature and stamp of the resident in connection with the submission by the resident to the authorised bank of the certificate of the transaction for its drawing up in the electronic form, must be accepted by the customs authorities when effecting the customs registration of commodities.

Decree of the President of the Russian Federation No. 881 of July 26, 2005 on Raising Official Salaries of Judges in the Russian Federation

As of July 26, 2005, official salaries of judges of the Constitutional Court, the Supreme Court and other federal courts of general jurisdiction, of the Higher Arbitration Court and other federal arbitration courts, as well as of justices of the peace of the subjects of the Russian Federation, shall be raised 1,8-fold.

The Decree shall enter into force as of the date of its official publication.

Decree of the President of the Russian Federation No. 880 of July 26, 2005 on Improving the Remuneration of Labour of the Persons Holding Public Offices of the Federal Civil Service on the Staffs of the Constitutional Court of the Russian Federation, the Supreme Court of the Russian Federation and the Higher Arbitration Court of the Russian Federation

The persons holding public offices of the federal civil service on the staff of the Constitutional Court of the Russian Federation shall be paid a monthly monetary reward in the amount from 2 (to the chief consultant and an adviser) to 11 (to the head of the Secretariat of the Constitutional Court of the Russian Federation) official salaries thereof.

Similar payments shall be stipulated for the persons holding public offices of the federal civil service on the staff of the Higher Arbitration Court and the Supreme Court.

The Decree shall enter into force as of July 26, 2005.

Decree of the President of the Russian Federation No. 879 of July 26, 2005 on Improving the Remuneration of Labour of the Persons Holding Individual Public Offices of the Federal Civil Service at the Bodies of the Office of Pubic Prosecutor of the Russian Federation and the System of Money Allowances to the Military Servicemen Holding Individual Military Posts in the Chief Military Prosecutor's Office

A monthly monetary reward in the amount from 2,6 to 5,2 official salaries, depending on the post held, shall be paid to the persons holding public offices of the federal civil service in the Office of the Procurator General of the Russian Federation (except for prosecutors) and to the military servicemen holding military posts in the Chief Military Prosecutor's Office (except for military prosecutors and investigators).

A monthly monetary allowance in the amount of one official salary shall be paid to other officials of prosecutor's offices holding public posts of the federal civil service (except for prosecutors, military prosecutors and investigators).

The Decree shall enter into force as of July 26, 2005.

Decree of the President of the Russian Federation No. 878 of July 26, 2005 on Improving the Remuneration of Labour of Deputy Procurators General of the Russian Federation

Deputy Procurators General of the Russian Federation shall be paid a monthly monetary reward in the amount of two official salaries.

The Decree shall enter into force as of July 26, 2005.

Decree of the President of the Russian Federation No. 877 of July 26, 2005 on Remuneration of Labour of the Procurator General of the Russian Federation

The monetary remuneration of the Procurator General of the Russian Federation is 117 130 roubles per month where 53 thousand roubles constitute the official salary thereof, 15,9 thousand roubles constitute additional payments for the class rank and 48,23 thousand roubles constitute long-service bonuses. It is provided that the monetary remuneration of the Prosecutor General shall be indexed or raised in the same procedure as the wages of judges.

The Decree shall enter into force as of July 26, 2005.

Order of the Federal Agency of Physical Culture, Sports and Tourism No. 394 of July 4, 2005 on the Procedure for Publication and Entry into Force of the Acts of the Federal Agency of Physical Culture, Sports and Tourism Which Are Recognised by the Ministry of Justice of the Russian Federation as Not Requiring State Registration

The acts of the Federal Agency of Physical Culture, Sports and Tourism recognised by the Ministry of Justice of the Russian Federation as not requiring the state registration shall be subject to the official publication in a quarterly informational bulletin 'Vestnik Federalnogo Agentstva Po Fizicheskoy Kulture i Sportu' and to the simultaneous placement on the official Internet-site of the Federal Agency of Physical Culture, Sports and Tourism. Acts of the Federal Agency of Physical Culture, Sports and Tourism shall enter into force as of the time of their signing (endorsement), if other procedure for, and/or time of, entry thereof into legal force is not provided for by the acts proper.

Registered by the Ministry of Justice of the Russian Federation on July 25, 2005 under Registration No. 6827.

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