Money transfers in Russia: which ones will be taxed from April 1

The Ministry of Finance previously warned that from April 1, amendments to the rules for making money transfers will come into force and updated requirements for filling out payment orders will come into effect. They regulate the procedure for entering details for transfers to the budget (taxes, fees, fines) and transferring payments to treasury accounts.

According to Neukryty, to a large extent, such innovations are technical and were introduced in order to “structure the data that comes in the form of transactions, clearly track all budget revenues and understand what payments are made for.”

Mostly, the changes will affect business, he emphasized.

And if we talk in the long term about why this is being introduced, then, of course, it is an increase in control and, let’s call it, financial culture. In order for a business to take a responsible approach and understand that the requirements for details must be met and not be a formalitysaid Unsheltered.

So, if previously individual entrepreneurs could only indicate their first name or simply write “IP” when making transfers, now they will have to write down the full last name, first name and patronymic and the legal status of the individual entrepreneur. If these are persons who are engaged in private practice, it is necessary to indicate the type of activity and TIN, the expert clarified.

This also applies to legal entities, structures and banks. If previously unofficial abbreviations were allowed and the purpose of payment was conventionally written “Payment under the agreement” for some product, now it is necessary to indicate the full namee,” added Unsheltered.

As for the rumor that all transactions by individuals will now be taxed, “that’s not entirely true,” he said. Ordinary transfers between individuals, according to current legislation, are not taxed, Neukryty said.

But if earlier, when transferring funds to the budget, certain abbreviations were allowed, for example, initials in the name entry line, now it will be necessary to enter the full last name, first name and patronymic in the field, the expert explained.

Transactions between individuals have taken place and can take place… From one card to another card — to a brother, sister, friend, and so on — if they are irregular and it is not clearly stated that this is a significant amount and may arouse suspicion from the tax authorities, they will not be subject to taxes,” Unsheltered clarified.

He emphasized that if the requirements are not met, there may be delays in the transaction or a full refund of funds to the sender’s account.

Previously about innovations regarding money transfers, told Master of Law, Associate Professor of the Department of State and Municipal Finance of the Russian University of Economics. G. V. Plekhanov Mary Valishvili.

source: RIA Novosti Crimea