Analytics and brochures

Electronic payment systems are gaining popularity, and clients often ask us whether they can use electronic money to pay salaries to their employees. This question is of particular interest to companies engaging teleworkers and temporary or part-time staff.

The Pepeliaev Group has announced the opening of its office in Sakhalin, the large Russian island in the North Pacific Ocean that is about one fifth the size of Japan. Attorney Andrey Mikulin — who practices in the areas of administrative, financial, customs, and civil law — has been appointed as the head of the Yuzhno-Sakhalinsk office, and Moscow-based Partner Pavel Kondukov, who head's the firm's Offshore Projects and PSA Group and whose practice includes a number of Sakhalin-based clients, has been appointed the Manager of the Pepeliaev Group's practice in the Far East (which also encompasses an alliance office in Vladivostok operated in unison with with Russin & Vecchi).

The ongoing reform of Russian civil law has distracted many of us from giving enough consideration to a new law that came into force September 1, 2015. Although it changes only one Article of the Russian Civil Code (Article 222 of the Russian Civil Code), it is likely to have a great impact on the rules for the demolition and recognition of title to an unauthorized construction (Federal Law No. 258-FZ of the Russian Federation dated 13 July 2015 "On amending Article 222 of Part One of the Russian Civil Code and the law "On bringing Part One of the Russian Civil Code into force" ("Law No. 258").

In view of the new requirements to localize personal data in Russia, which came into effect September 1, 2015, virtually all companies that process personal data are concentrating their attention and resources (both technical and economic) on ensuring that they comply with these obligations. What is causing companies one of the greatest concerns is whether they will be able to use foreign databases in future to process the personal data of Russian citizens.

When it comes to fostering foreign trade relationships with the BRICS countries, Russian companies are most attracted to China and India. Around two years ago, a published OECD forecast suggested that, by 2060, these two countries will account for 46 percent of the world's GDP. These are the countries that need to be put at the heart of the measures to be planned and implemented with a view to attracting foreign capital to Russia. 

Russia’s Constitutional Court has found a section of the Russian Tax Code to be invalid during a dispute between Sony Mobile and the Russian tax authorities. The ruling affects VAT paid on insurance taken out to guard against non-payment for goods or services, and will save taxpayers 18% on such insurance payouts. The decision is likely to be most beneficial for companies selling consumer goods. “Companies that defer payments for goods, work and services they have sold and insure against the risk of non-payment… will save 18% on amounts of insurance payouts they receive,” said Natalia Faizrakhmanova, a senior associate at Pepeliaev Group.