RBC: The Ministry of Finance proposed to exempt the sale of shares by sanctioned companies from taxes

The Ministry of Finance plans to exempt sub-sanctioned companies from income tax on the sale of shares in 2022. The department has developed appropriate amendments to the Tax Code. This was reported RBC with a link to the document. The press service of the Ministry of Finance also reported that on December 5 the document was approved by the government commission on legislative activities.

According to RBC, the Ministry of Finance proposes to establish a zero income tax rate for income received from the sale of shares or stakes in companies. “The Ministry of Finance of Russia, on behalf of the government of the Russian Federation, has prepared a draft amendment that proposes to establish a zero income tax rate for organizations under sanctions pressure in 2022 during their restructuring. This will limit the expansion of the sanctions impact on such companies, as well as ensure the stabilization of the financial condition of organizations that have not previously planned to sell assets,” the press service of the Ministry of Finance said.

As follows from the document, companies that sold their assets and fell under US, EU or milder sectoral sanctions in 2022 will be able to receive the benefit. In addition, in order to receive a zero rate, the shares to be sold must be owned by the same taxpayer for more than one year.

According to experts interviewed by RBC, the measure should ease the tax burden on companies that had to sell their stakes in subsidiaries in order to get them out of sanctions risks.

Previously, a similar measure was taken for income tax for individuals. Individuals who fell under sanctions and sold their shares in companies to sell their shares in companies were exempted from income tax so that businesses avoid sanctions risks.

Olesya Pavlenko