Monitoring of the Federal Legislation dated 1.07.2005

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.