FEDERAL LAW OF THE RUSSIAN FEDERATION

of June 28, 2014 No. 173-FZ

About features of implementation of financial transactions with the foreign citizens and legal entities, about introduction of amendments to the Russian Federation Code of Administrative Offences and recognition who voided separate provisions of legal acts of the Russian Federation

Accepted by the State Duma of the Russian Federation on June 20, 2014

Approved by Council of the Russian Federation on June 25, 2014

Article 1. Subject of regulation of this Federal Law

This Federal Law establishes features of implementation by credit institution, the insurer performing activities for voluntary insurance of life, the professional participant of the security market performing broker activities, and (or) activities for management of securities, and (or) depository activity, managing according to the property trust management agreement, non-state pension fund, joint-stock investment fund, managing company of investment fund, mutual investment fund and non-state pension fund, the clearing organization (further - the organizations of the financial market) financial transactions in the territory of the Russian Federation with persons to whom the legislation of foreign state on the taxation of foreign accounts existing on the date of entry into force of this Federal Law extends.

Article 2. Obligations of the organizations of the financial market for identification of persons to whom the legislation of foreign state on the taxation of foreign accounts, and to their servicing extends

1. The organizations of the financial market take reasonable and available in the circumstances measures for identification among the persons signing (signed) with the organization of the financial market the agreement providing rendering financial services (further - the client), persons to whom the legislation of foreign state on the taxation of foreign accounts extends (further - the client - the foreign taxpayer).

2. If other is not established by the Federal Laws, the customer information provided by this Federal Law is not subject to collection and transfer:

1) physical persons - citizens of the Russian Federation, except for physical persons:

a) having nationality of foreign state along with citizenship of the Russian Federation (except for nationality of state member of the Customs union);

b) having the residence permit in foreign state;

2) the legal entities created in accordance with the legislation of the Russian Federation whose more than 90 percent of shares (shares) of the authorized capital are directly or indirectly controlled by the Russian Federation and (or) citizens of the Russian Federation including having nationality of state member of the Customs union along with citizenship of the Russian Federation (except for the physical persons specified in subitems "an" and "b" of Item 1 of this part).

3. Criteria of reference of clients to category of the client - the foreign taxpayer and methods of obtaining from them necessary information are determined by the organization of the financial market based on this Federal Law in internal documents which are subject to placement on its official site on the Internet no later than fifteen calendar days after day of their approval. The specified internal documents of the organization of the financial market regarding criteria of reference of clients to category of the client - the foreign taxpayer and methods of obtaining from them necessary information are subject to change of the financial market by the organization for the instruction of the Central bank of the Russian Federation in the terms established by it.

4. The organizations of the financial market have the right to perform transfer to foreign tax authority and (or) foreign tax agents, authorized foreign tax authority on deduction of the foreign taxes and charges (further - foreign tax authority), information only when obtaining from the client - the foreign taxpayer of consent to information transfer in foreign tax authority and in case of observance of requirements of part 4 of article 3 of this Federal Law.

5. Term for provision by the client on requests of the organizations of the financial market of information identifying it as the client - the foreign taxpayer, and also consent (refusal of consent provision) to information transfer in foreign tax authority cannot be less than fifteen working days from the date of the direction to the client of the corresponding request.

6. The consent of the client - the foreign taxpayer on information transfer in foreign tax authority is at the same time consent to transfer of such information in the Central bank of the Russian Federation, the federal executive body authorized on implementation of function on counteraction of legalization (washing) of income gained in the criminal way, to financing of terrorism, extremist activities and financing of distribution of weapons of mass destruction and federal executive body, the representative for control and supervision in the field of taxes and fees (further - authorized bodies).

7. If the organization of the financial market has proved, documentary confirmed assumption that the client belongs to the category of clients - foreign taxpayers, but at the same time it did not provide requested according to the internal documents of the organization of the financial market specified in parts 3 of this Article, information allowing to confirm the specified assumption or to confute it, and also in case of failure to provide by the client - the foreign taxpayer within fifteen working days from the date of sending an inquiry of the financial organization of consent (refusal of consent provision) to information transfer in foreign tax authority the organization of the financial market has the right to make the decision on refusal of making of the transactions performed in advantage or at the request of specified the client under the agreement providing rendering financial services (further - the decision on refusal of making of transactions) and (or) in cases, provided by this Federal Law to terminate unilaterally the agreement providing rendering financial services, having notified the client on the made decision no later than the day following behind day of decision making.

8. Decision making about refusal of making of transactions means the termination of the financial market of transactions by the organization for the agreement providing rendering financial services including the termination of transactions by credit institutions on transfer of money on the bank account (contribution) opened for the client - to the foreign taxpayer.

9. Accepted according to this Federal Law the organization of the financial market concerning the client - the foreign taxpayer the decision on refusal of making of transactions with money does not extend to implementation of the payments provided by paragraphs the second - the fifth Item 2 of Article 855 of the Civil code of the Russian Federation, and also to money transfers on the bank account of the client - the foreign taxpayer, opened in other credit institution, or issue of money to the client - to the foreign taxpayer.

Disclaimer! This text was translated by AI translator and is not a valid juridical document. No warranty. No claim. More info