Please be reminded that it is necessary to submit a notification of controlled transactions for 2020. The deadline for submitting the document to the tax authorities is May 20, 2021.
The notification should be submitted by taxpayers who have made controlled transactions in the calendar year. Controlled transactions are recognized as transactions between related parties, if the conditions and summational limits set by article 105.14 of the Tax Code of the Russian Federation are met.
The main criteria for interdependence include:
The summational limits and the scope of conditions for recognizing a transaction as a controlled one depend on the category of the related party.
If such a person is a resident of the Russian Federation, the transaction will be recognized as controlled one if the amount of income for the corresponding calendar year exceeds by more than 1,000,000,000 rubles, and at least one of the conditions is met:
If the related party is a non-resident of the Russian Federation, then a transaction with a summational income criterion exceeding 60,000,000 rubles will be recognized as controlled one.
Also, any transactions with off-shore companies are equated with transactions between related parties, even if there is no such interdependence actually. However, for such transactions, the summational criterion of 60,000,000 rubles for year is also applied.
Transactions may also be considered controlled for a number of other reasons.
In addition, at the request of the tax authority, the taxpayer is obliged to provide documentation regarding a specific transaction or a group of similar transactions. The tax authorities are entitled to send such a request not earlier than June 1 of the year following the year of performance of controlled transactions (i.e., starting from June 1, 2021, documentation for 2020 may be requested). The taxpayer is obliged to submit documentation within 30 days from the date of receiving such a request.
The documentation is drawn up in any form and contains the information listed in article 105.15 of the Tax Code of the Russian Federation, including:
In the matters of preparing a notification of controlled transactions and providing documentation on them, please contact Acsour specialists.