The “Transparent Business” service has been launched

LEGAL DIGEST \ 20.01.2019

The Federal Tax Service has launched, in test mode, its “Transparent Business” e-service that allows users to check whether a contracting party acts in good faith.

According to statistics, an inspector identifies violations in 99% cases of field audits. The main reason (54.6%) for subsequently charging additional tax lies with VAT: as a consequence of a bad-faith contracting party having been selected. With the service, due diligence of such companies will become considerably easier, because the service contains the following information:

• a company’s identification details;
• a company’s principal business and issued capital;
• a company’s address and whether or not such address is inaccurate;
• whether or not information about its CEOs is inaccurate;
• whether a company’s management is heavily involved in other companies;
• whether the company is included in the Unified Register of Small- and Medium-Sized Enterprises;
• whether any posts have been made in the State Registration Bulletin, e.g. regarding the start of the company’s liquidation.

When using the service, a user may obtain information from the following official sources:

• the Unified State Register of Legal Entities;
• the Register of Disqualified Persons;
• the Unified Register of Small- and Medium-Sized Business Entities;
• the State Register of Accredited Branches and Representative Offices of Foreign Legal Entities.

Should you have any issues regarding the above or any difficulties while using this e-service, our specialists will gladly offer you any necessary support. Please contact Acsour for advice.

* Please note that the service has been launched in test mode and in the Russian language only.