Is foreign organization realizing building activity in the territory of the Russian Federation obliged to accredit its branch?
The term “permanent representation” also includes building area, building, assembly or mounting project, but only if such an area or a project have been in existence for not less than 12 months.
The definition of the notion of permanent representation as building area has its peculiarities in agreements on avoidance of double taxation with concrete states.
During the period when a building area in the territory of Russia doesn’t lead to foundation of permanent representation according to international agreement of the Russian Federation with the foreign state on avoidance of double taxation, such organizations don’t pay advance payments for income tax and don’t estimate the amount of income tax.
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