Tax Service will receive expanded access to banking secrecy

MOSCOW, March 14 – RIA Novosti. The tax authorities of the Russian Federation will have expanded access to bank secrets from March 17. Banks will have to provide tax authorities with copies of clients' passports, copies of powers of attorney for the disposal of funds, copies of an agreement for opening an account and an application for closing it, as well as copies of cards with samples of signatures and imprints of seals within three days from the date of receipt of the request.

In addition, credit institutions will be required to provide information in electronic form or on paper about beneficial owners, client representatives, and beneficiaries, including information in relation to individual transactions or for a specific period.

The list of information received by tax authorities from banks and constituting banking secrecy about individuals, individual entrepreneurs and organizations has expanded, said Nadezhda Karavaeva, senior analyst of NRA bank ratings. She recalled that earlier the tax authorities could receive data on the accounts and deposits of bank clients only as part of tax audits. The innovation gives the right to request information outside of checks.

The purpose of the innovation is to increase control over the cash flows of citizens and enterprises – not only about their income, but also about their expenses, which will make it possible to draw conclusions about the amount of possible non-declared income. “Part of the economy's cash flows is in the gray zone, and the tax authorities are trying to force the participants in the gray sector to pay taxes, thereby replenishing the budget,” Karavaeva explained.

The innovation is unlikely to cause a noticeable departure of bank clients from non-cash payments, according to experts interviewed by RIA Novosti. money in banks, I would not, “said Vladimir Teterin, Senior Director for Banking Ratings at Expert RA agency.

Pavel Baranov, senior lawyer at Deloitte Legal in the CIS, does not expect a significant flow of legal entities into cash.

Author: wedocount

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