MOSCOW, December 25Russian President Vladimir Putin signed a law, starting March 1, obliging Russian exporters to provide the Bank of Russia with information about the foreign currency assets and liabilities of their subsidiaries, including foreign ones. The document is posted on the website of the official publication of legal acts.
The law clarifies the procedure for the submission by residents — subjects of foreign economic activity to the Central Bank of information on assets and liabilities denominated or payable in foreign currencies in favor of non-residents, for a more complete assessment of currency risks in the context of international sanctions.
The law «On Currency Regulation and Currency Control» is being amended to oblige residents from March 1, 2024 to provide the Central Bank with information not only about their currency assets and liabilities, but also about similar assets and liabilities of subsidiaries, including those located outside the Russian Federation (if any).
These changes, according to the explanatory note, are aimed at more effective monitoring and assessment of the uniformity of the inflow and outflow of foreign currency, as well as the timely identification of potential imbalances that threaten the stability of the financial market.
At the same time, the requirements for the compilation and presentation by resident-exporters of information on foreign currency assets and liabilities on a consolidated basis are unified. The composition, form, timing, procedure for compiling and presenting this information will have to be established by its regulatory act, the Central Bank in agreement with the Ministry of Finance and the Ministry of Economic Development of the Russian Federation.
This eliminates the obligation of the Bank of Russia to post on its website a list of exporters providing it with relevant information. The regulator itself will establish the procedure for informing residents about their inclusion in this list.
In addition, Russian legal entities that are part of the same international group of companies (MGK) with foreign legal entities, from July 1, 2024, will notify the tax authorities at the place of their registration about the opening (closing) of accounts (deposits) of such non-residents abroad. They will also be required to submit reports on the movement of funds on such accounts and on electronic transfers through foreign payment systems with supporting documents.
The procedure for submitting such reports will be established by the government in agreement with the Bank of Russia. These responsibilities will not be required if they are performed for such persons by the parent company of the MGK or a group member authorized by it. The Cabinet of Ministers, in agreement with the Central Bank, will be able to establish other cases of exemption from these duties.