Business and Economy - Logistical Nightmares. Logistical Nightmares World Bank Experts Say Businesses Still Face a Logistics Nightmare in Russia By Tai AdelajaRussia Profile05/14/2012 Despite the government's best efforts, Russian logistics services continue to be slow, bureaucratic and unpredictable, a new World Bank report has found. The quality of Russia's trade and transport related infrastructure is subpar even when compared to infrastructural facilities in other former Soviet states, according to the bank's Logistics Performance Index report published on Friday.
Russia not only received declining scores in the survey's “ease of arranging competitively priced shipments to international markets” category, but also ranks low in the ability to track and trace such consignments or confirm whether shipments reach their destination. Russia occupies the unenviable place of 94th out of 155 countries, sandwiched between Georgia and Tanzania, according to the regular Logistics Performance Index compiled by the World Bank. Add to blog. Analysis: Russian oil the winner from Syria, Iran sanctions.
Russia’s Schools and Clinics to be Free from Profit Tax « Russia Briefing News. Nov. 21 – Russia’s Cabinet has finally approved a list of educational and medical services that are no longer subject to pay profit tax. Authorities believe the move will attract investment and inspire entrepreneurs to set up new schools and hospitals, but the market is predicting only modest results. The law on zero taxes for these kinds of entrepreneurs until January 1, 2020 was signed last year, but it could not come into effect until the list was compiled. Now the organizations providing the listed services will be exempt from the 20 percent profit tax. Until now, only the Central Bank and residents of Skolkovo innovation hub were fully exempt from the profit tax. Residents of special economic zones were partially exempt.
Also, the list includes various types of medical examinations and expertise, dietary science, laboratory work, medical statistics, and nursing. The list as well includes therapeutic and surgical cosmetology, chiropractic and dentistry. CMS Bureau Francis Lefebvre | Publication Detail | Nouvelle réglementation russe sur les prix de transfert – quels enjeux pour les groupes français présents en Russie ? La nouvelle loi sur les prix de transfert entrera en vigueur le 1er janvier 2012. Cette réglementation, très inspirée des principes OCDE et relativement proche de la réglementation française, va fortement modifier la donne et introduire des exigences nouvelles très spécifiques. En particulier, la nécessaire adaptation des politiques de prix de transfert et préparation de la documentation locale qui s’en suivra va, à coup sur, requérir des efforts substantiels de la part des groupes de sociétés opérant en Russie à compter du 1er janvier 2012. Champ d’application La loi couvre à la fois les transactions locales et transfrontalières.
Il est intéressant de noter, à cet effet, que le concept de “parties liées” englobe les sociétés (ou individus vis-à-vis d’une ou plusieurs sociétés), dont l’un(e) détient directement ou indirectement au moins 25% du capital social de l’autre, ainsi que les sociétés détenues directement ou indirectement, à due concurrence, par une même société mère. Sanctions. Russia May See Fuel Shortages as Export Tax Falls, Analysts Say. Oct. 17 (Bloomberg) -- Russia may encounter short-term shortages of oil products such as gasoline and winter diesel as demand grows, refineries conduct seasonal maintenance and export duties fall, encouraging shipments abroad, analysts said.
Repairs on refineries in September and October have led to a scarcity of products including gasoline, jet fuel and diesel on a wholesale level, Alexander Nazarov, an oil and gas analyst at OAO Gazprombank, said by e-mail today. “That together with new duties and increased demand could create a temporary shortage,” Nazarov said. The shortage may be felt for only one or two days by end users, he said. Prime Minister Vladimir Putin this month lowered the export tax rates for crude and some products to spur investment in the world’s biggest oil producer.
“We are sure that there is a shortage of gasoline and jet fuel,” Alexander Kirevnin, an oil and gas analyst at VTB Capital, said by phone today. Falling Duties --Editors: Alex Devine, Randall Hackley. Russian-European gas relations tensing up. Valdaiclub.com interview with Tatyana MITROVA, Head of the Center for the Study of World Energy Markets at the Russian Academy of Sciences’ Institute of Energy Research (since 2006), Head of Global Energy at SKOLKOVO Energy Centre. Why has Ankara rejected significant amounts of gas ahead of the winter season? How will it affect the general situation with gas supply in Turkey? The contract in question expires on December 31, 2011, and the parties may either extend it or not. Turkey was supposed to announce its decision six months in advance, but postponed it several times, haggling over the gas price in the extended contract, where the formula would be reworked. Russia and Turkey failed to agree on the price, and by the last deadline, September 30, the Turkish state-owned company Botas notified Gazprom that it would not extend the agreement on gas supply along the so-called western route.
The whole situation reflects the difficulty of all negotiations with Turkey. Transfer Pricing in Russia - Mazars - Russia. The Mazars in Russia Tax & Legal team informs that, finally, after years of considerations the Law on Transfer Pricing rules was adopted on July 18, 2011. Thus, starting from January 1, 2012 new Transfer Pricing rules (“TP rules”) became reality in Russia. What a company should do to be in compliance with the new Transfer Pricing rules? Starting from January 01, 2012 the new Transfer Pricing rules take force in Russia. In accordance with these rules a company should: By May 20, 2013 file with the tax authorities the Notification on controlled transactions.
During 30 days starting from the tax authorities’ request file with the tax authorities a Transfer Pricing Documentation. Conclusions: As of the moment of preparation of the Notification a company should be ready to present rather detailed information on pricing mechanism per each controlled transaction included into the Notification. How Mazars can help your company? We are ready to provide you with the following services: Why Mazars? INTERVIEW-Le "BBB" de la Russie est pour le moment assuré/ S & P, Actualités boursières. Economists to Doubt Russia’s Right to Be in the BRIC Club « Russia Briefing News.
Sept. 13 – Russia’s reliance on oil and natural gas means that it does not belong among the so-called BRIC nations, Nobel-prize winning American economist Paul Krugman has said while giving a speech at Russian President Dmitry Medvedev’s global policy forum in Yaroslavl city, central Russia. “Russia really doesn’t belong in the group. It’s a petro-economy in terms of world trade,” Krugman said. “There are a lot of people and a lot of technical skills and at least potentially Russia could be a part, but its role in the world right now is not at all similar to China.”
Oil and gas account for 17 percent of Russia’s gross domestic product — versus less than 10 percent of Brazil’s — and contribute about 40 percent to state revenue. Russia is the largest oil exporter in the world and the second largest exporter of natural gas. Nevertheless, oil and gas do dominate in both tax and export revenues where they make up for about two-thirds of all the dollars Russia earns abroad.