On December 29, 2015, Federal Law No.401-FZ “On introducing amendments to Article 5 of Federal law ‘On voluntary declaration of assets and accounts/deposits by individuals and on introducing amendments to certain legislative acts of the Russian Federation’” (the “Law”) became effective, which extends until June 30, 2016 the period for submitting a declaration as part of the voluntary declaration of assets and accounts in foreign banks held by individuals. 

As before, in this declaration an individual can provide information on his/her property (real estate, vehicles, securities, including stock and stakeholding in charter capitals of Russian and foreign organizations), on foreign companies under his/her control, on accounts/deposits in foreign banks and on bank accounts if the declarant is recognized as a beneficiary owner of the account. 

If the declaration is submitted by June 30, 2016, the declarant will enjoy various guarantees releasing him/her from criminal, administrative and tax liability for violating rules connected with acquisition, use or disposal over property and foreign companies under his/her control that are indicated in the declaration, or  with opening accounts and transferring monies to accounts that are indicated in the declaration. 

Please note that, as before, the guarantees are provided only as regards violation of rules committed by the applicant prior to January 1, 2015. 

Dmitry Churin   Principal Associate   St. Petersburg       Tel.: +7 (812) 346 79 90   dchurin@cls.ru

Elena Lepneva   Senior Associate    St. Petersburg       Tel.: +7 (812) 346 79 90    elepneva@cls.ru

Additional notes

Should any questions arise in connection with the above or if you need any additional materials, please contact Dmitry Churin or Elena Lepneva, St. Petersburg Office of Capital Legal Services.

This Information letter keeps the clients of Capital Legal Services and other interested parties abreast of information that may, to any extent, affect their activity or cater to their particular interests. The opinions and commentaries expressed in this information letter shall not be deemed as legal opinions and do not cancel the need to obtain legal advice or legal opinion on separate issues.