The status of a tax resident means that the citizen is liable to the Russian tax law and should pay a 13-% income tax to the Russian budget.
In accordance with the current tax law, tax residents of Russia include "physical persons who stay on Russian territory for at least 183 days of a calendar year."
The Finance Ministry suggested that the status of a tax resident be extended to another seven categories of citizens, regardless of how long they have been staying in Russia.
These include officials delegated outside Russia for work-related purposes (including officials of diplomatic and consular institutions, international organizations, and also members of their families); crewmembers of Russian vehicles and fishing vessels; servicemen and civil personnel of the troops stationed outside Russia; people working at Russian facilities based outside the Russian borders.
Moreover, in the future, tax residents may include students, trainees and student assistants undergoing training or practicing abroad; researchers and teachers working abroad; and also citizens receiving treatment outside Russia.
Talking to reporters Thursday, Deputy Finance Minister Sergei Shatalov expressed the hope that the amendments to the first part of the Tax Code would be approved by the Duma this September. If duly passed by parliament, they will come into force in 2006.
The original text of the amendments was on the whole approved by the government on April 28 and sent for further improvement.
Speaking at the session, Shatalov said the status of a tax resident would be provided in accordance with the principle "of close contacts with the country where the interests of the tax payer in question are concentrated."
Therefore, the status is to be granted to those Russians who are temporarily staying abroad.
