Chapter 2. System of Taxes and Fees in the Russian Federation

Article 12. Types of Taxes and Fees in the Russian Federation

1. The following types of taxes and fees shall be imposed in the Russian Federation: federal taxes and fees, taxes and fees of Russian Federation member territories (hereinafter referred to as regional taxes and fees), and local taxes and fees.

2. Federal taxes and fees shall be defined as taxes and fees imposed by this Code and payable throughout the Russian Federation.

3. Regional taxes and dues shall be recognized to be the taxes and dues established by this Code and the laws of the subjects of the Russian Federation, carried into effect in accordance with this Code, the laws of the subjects of the Russian Federation and subject to obligatory payment on the territories of the respective subjects of the Russian Federation. With the introduction of a regional tax by the legislative (representative) bodies of the subjects of the Russian Federation it is necessary to define the following elements of taxation: the tax rates within the limits fixed by this Code, the procedure and the terms of payment of the tax, and also the forms of reporting on the given regional tax. Other elements of taxation shall be established by this Code. With the introduction of the regional tax by the legislative (representative) bodies of the subjects of the Russian Federation it is possible to provide tax concessions and grounds for their use by a taxpayer.

4. Local taxes and dues shall be recognized to be those established by this Code and the normative legal acts of the representative bodies of local self-government and those carried into effect in conformity with this Code by the normative legal acts of the representative bodies of local self-government and subject to obligatory payment on the territories of the respective municipal entities.

Local taxes and dues in the cities of federal importance - Moscow and St.Petersburg - shall be established and carried into effect by the laws of the said subjects of the Russian Federation.

With the introduction of a local tax by the representative bodies of local self-government the normative legal acts define the following elements of taxation: the tax rates within the limits set by this Code, the procedure and the terms of the payment of the tax, and also the forms of accounting on this local tax. Other elements of taxation shall be established by this Code. Upon the establishment of the local tax the representative bodies of self-government may also provide for tax concessions and grounds for their use by a taxpayer.

5. No regional or local taxes (fees) may be imposed which are not provided for by this Code.

Article 13. Federal Taxes and Fees

1. Federal taxes and fees shall include:

1) value added tax;

2) excise taxes on particular types of goods (services) and separate types of mineral raw materials;

3) tax on profit (income) of organisations;

4) capital gains tax;

5) personal income tax;

6) contributions to state social off-budget funds;

7) state duty;

8) customs duty and customs fees;

9) tax on subsoil use;

10) tax on rehabilitation of the mineral raw materials base;

11) tax on additional income from hydrocarbons production;

12) fee for the right of use of fauna and water biological resources;

13) forest tax;

14) water tax;

15) ecological tax;

16) federal license fees.

Article 14. Regional Taxes and Fees

1. Regional taxes and fees shall include:

1) tax on property of organisations;

2) tax on real estate;

3) road tax;

4) transport tax;

5) sales tax;

6) tax on gambling business;

7) regional license fees.

2. After enactment of real estate tax, the tax on property of organisations, individual property tax and land tax shall cease to be effective in the corresponding area.

Article 15. Local Taxes and Fees

1. Local taxes and fees shall include:

1) land tax;

2) individual property tax;

3) tax on advertising;

4) inheritance or gift tax;

5) local license fees.

Article 16. Information About Taxes and Dues

Information and copies of laws and other normative legal acts about the introduction and repeal of regional and local taxes and duties shall be sent by the government authorities of a Russian Federation member territory and local self-government bodies to the Ministry of Taxation of the Russian Federation and the Ministry of Finance of the Russian Federation, and also to the relevant regional tax authorities and financial bodies.

Information on current regional taxes and fees and their basic provisions shall be published on a quarterly basis by the Ministry of Taxation of the Russian Federation, and information on current local taxes and fees and their basic provisions shall be published at least once a year by the relevant regional tax authorities.

Article 17. General Conditions of Imposition of Taxes and Fees

1. A tax shall only be considered as imposed if the taxpayers and the elements of taxation are defined, namely,

taxable item;

tax base;

tax period;

tax rate;

procedure for calculation of tax;

procedure and dates of tax payment.

2. In tax imposition, a legislative act on taxes and dues may also provide if necessary tax benefits and grounds for using them by the taxpayer.

3. In imposing fees, their payers and elements of taxation shall be defined relative to particular fees.

Article 18. Special Types of Tax Treatment

A special tax treatment shall be recognized to be a special procedure for the calculation of taxes and dues during a definite period of time, applicable in cases and in the order established by this Code and the federal laws adopted in accordance with it.

Upon the establishment of special tax treatments the elements of taxation, and also tax privileges shall be determined in the order prescribed by this Code.

Special tax treatments include: the simplified system of the taxation of small business subjects, the system of taxation in free economic zones, the system of taxation in closed administrative-territorial entities, and the system of taxation during the fulfilment of contracts of concessions and product-sharing agreements.