Source: http://www.pif-energ.ru/en/funds/balanced/taxation/
Timestamp: 2018-12-19 04:04:47
Document Index: 386877336

Matched Legal Cases: ['art. 226', 'art.214', 'art.214', 'art 4', 'art. 214', 'art 7']

Taxation laws for collective investment funds have it that since collective investment funds do not require establishment of a legal person, the fund itself is not liable to pay income taxes, which leads to the fact that there is no double taxation. Taxes are paid by unit owners on the profit they receive.
In accordance with art. 226 of the Tax Code of the Russian Federation, Energocapital Asset Management is a fiscal agent that handles calculation and deduction of personal income tax on stock exchange transactions.
Units in collective investment funds are regarded as securities traded in organized security exchanges.
Natural persons include:
Russian Federation tax residents including individual entrepreneurs who stay in the Russian Federation for at least 183 days over a period of 12 subsequent months. Stay period of a natural person is not broken off should they leave the territory of the Russian Federation on short-term trips (less than six months) for treatment or education purposes.
Natural persons who receive income from sources in the Russian Federation and are not tax residents of the Russian Federation are those who stay in the territory of the Russian Federation for less than 183 days over a period of 12 subsequent months.
Taxation rate for the sales of units in collective investment funds for natural persons who are tax residents of the Russian Federation is 13 % of the income calculated in accordance with art.214 of the RF Tax Code.
For natural persons that are not tax residents of the Russian Federation taxation rate for all types of income, including the sales of units in collective investment funds, is 30 % of the income calculated in accordance with art.214 of the RF Tax Code. Special provisions:
If a tax payer is the resident of a country that has a Double Taxation Convention with Russia, such person must file a tax-exemption claim or a tax benefit claim for all income acquired in the Russian Federation and present documents certifying the status of tax resident in such a country. The documents must be presented to a fiscal agent prior to filing a request to sell the units owned.
If a tax-payer has changed the country of tax-residence to Russia within the current tax year, tax return is paid out by the tax authority that the tax-payer was registered with based on domicile or commorancy
Tax deduction procedure
Calculation and deduction of taxes due is only done by the Asset Management when a natural person sells units of an collective investment fund. Taxes are deducted at disbursement.
Taxable income for transactions concerning collective investment funds is calculated according to standard procedure specified in part 4 - 6 art. 214.1 of the Tax Code of the Russian Federation and taking into account requirements specified in part 7 of the same article:
TAXABLE INCOME = INCOME – EXPENSES
INCOME from unit transactions for a natural person is progressive total for a given tax period.
EXPENSES for the acquisition of units are determined for each redemption transaction, including purchase price, extra charges when buying and selling units (for example, front-end load and back-end load). Expenses are calculated using prices of first purchases (FIFO method).