Russian Tax Law Terms

Here are 25 Russian tax terms that matter to people who live in California but still own property, receive income or inherit assets in Russia: NDFL, NDS, FNS, rezident, vychet, deklaratsiya and more. The rules sit in the Tax Code of the Russian Federation (NK RF). Each entry shows the Russian term and what it means for a taxpayer abroad.

Attorney Elena Petrova uses these terms daily when she explains Russian tax positions to US clients.

Taxes You Are Likely to Meet

• NDFL — personal income tax. Russian residents pay on a progressive scale that starts at 13%.
• NDS — value added tax, charged on sales of goods and services by businesses.
• Nalog na imushchestvo fizicheskikh lits — annual property tax on apartments, houses and land.
• Kadastrovaya stoimost — cadastral value, the state valuation used as the base for property tax.
• Zemelny nalog — land tax, charged separately from the tax on buildings.

Who Collects and Controls

• FNS — the Federal Tax Service, often written FTS in English.
• IFNS — the local tax inspectorate that holds your file.
• INN — taxpayer identification number. A foreigner can obtain one.
• Lichny kabinet nalogoplatelshchika — the online taxpayer account on nalog.gov.ru, where notices and returns appear.
• Nalogovy agent — a tax agent, such as a bank or employer, that withholds tax before paying you.

Residency and Its Consequences

Nalogovy rezident is a person who spent at least 183 days in Russia within 12 consecutive months. Citizenship does not decide the status. A Russian citizen who lives in California usually becomes a nerezident for Russian tax.

• Spravka o nalogovom rezidentstve — a residency certificate used under tax treaties.
• SIDN — a double tax treaty. Since 2023 Russia has suspended key provisions of treaties with a number of states, including the USA, so check its current effect before relying on it.

Deductions and Exemptions

• Vychet — a tax deduction. The main types are imushchestvenny (property), sotsialny (medical, education) and standartny.
• Minimalny srok vladeniya — the minimum holding period, usually three or five years, after which a resident's property sale is tax-free.
• Osvobozhdenie — an exemption, for example for gifts between close relatives.

Returns and Deadlines

• Deklaratsiya 3-NDFL — the personal tax return. It is due by 30 April of the following year when no agent withheld the tax.
• Nalogovoe uvedomlenie — a notice for property and land tax, sent to the online account or by post.
• Utochnennaya deklaratsiya — an amended return correcting earlier figures.

When the Tax Office Makes a Claim

• Kameralnaya proverka — a desk audit of a filed return.
• Vyezdnaya proverka — a field audit, typical for businesses.
• Trebovanie ob uplate — a formal demand to pay.
• Nedoimka — tax arrears, which accrue peni daily until paid.
• Shtraf — a fine for late filing or underpayment.

Handling Russian Tax Matters From Abroad

A person in California can file a 3-NDFL through the online account or through a representative with a notarised power of attorney. Keep bank statements, sale contracts and proof of your days outside Russia. They decide residency and the rate.

Elena Petrova checks residency, prepares returns and responds to tax demands for clients abroad.

The main channel of communication with the attorney is email: attorneypetrova1@gmail.com.