Key facts Russia taxation

Russia is a powerful economy in Europe and the Russian government encourages foreign investments and entrepreneurs who want to start a company in Russia.

Limited Liability Company (OOO):

  • minimum share capital of 10.000 rubles, 50% to be paid upon incorporation
  • any form of commercial activity
  • at least one shareholder is required of any nationality
  • board of Directors and board of Management is required
  • Quarterly reports must be submitted to the tax authorities.
  • Annual financial statements are required

Joint Stock Company (OAO):

  • The company may offer shares to the public
  • A shareholder may sell his shares without the consent of the other shareholders
  • The company is managed by a board of directors
  • The liability of the members is limited to the amount of capital invested
  • The accounts and reports need to be done in Russian (roubles)
  • The yearly statements will be audited in roubles by an auditor


  • Standard corporate tax is 20% (3% of revenues is allocated to the federal budget, whereas 17% is allocated to the budgets of the relevant constituent regions)
  • Foreign companies that have Russian-sourced income from the use, maintenance or rent of charter ships, aircraft and other vehicles or containers for international traffic purposes are taxed at 10%.
  • Capital gains are treated as ordinary business income and taxed at the normal corporate rate of 20%. Qualifying capital gains are taxed at 0% and 15.5%.

Proceeds from the sale of property located in Russia by a Russian tax non-resident are taxable at a rate of 30%.