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Bels
23-10-2009, 22:48
In regards to those who have an interest in Entrepreneursí license.

This is useful because it gives you the responsibility of paying taxes in Russia. Normally 6% of your total turnover. This license is useful for those who want to be self employed or to act as a freelance worker for their company. There might also be an advantage for some with the 6% tax. However you may well not have same deals such as health cover and accommodation as you have being employed. Negotiations are up to you and your company.

There is another scheme but it all depends on your business. This is the scheme of which my wife and I have chosen. You will receive a list into which profession or business you chose to be. Remember this is a form designed for individual entrepreneurs or small partnerships. Not major companies as that is another more complicated direction.

When we started we visited the Odentsova Tax office, our regional area tax office. We found it most confusing with queues of people in different doors. Asking around in different areas we could not find the right office where to get the application for Entrepeneursí license. We saw long queues everywhere with some of the doors they were holding many documents obviously for more than one person. They were obviously couriers and we gave up. First of all we were not sure of which line of people to join, and we were also certain that we might not get anywhere being at the end of the queue.

So we found a local accountant to help us, this accountant only serves the Rublevka or the Odintsova area. She has a courier who will queue up for you and get your application sorted out. She will have the Entrepreneursí application form for you to fill in and will give you full guidance on what to do next.

So what do you need for the license? Your passport properly translated. The application form. two passport pictures. You will will be sent to a specified lawyer to verify you from your identity, passport and photograph. If you want to jump the queue to see this lawyer rather than wait several hours do so, and offer him an extra few thousand roubles. It works and itís the Russian way.

Anything else. YES. Purchase your stamps on completion. The stamps have your number and identity for you to give that much wanted receipt or invoice to a company.

incspiimp
28-10-2009, 11:25
Da, that is what i did , came here on a tourist visa and waited for my temporary residency to be approved. Then applied for my work permit after that


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Swarbs
10-11-2009, 23:57
I also have an entrepreneur's license. One other thing you should be aware of is that you need to open a special entrepreneur's bank account, so the tax authorities can check all your income. They're a suspicious bunch you see. Also, if you are paid in dollars, euros or any other currency, you will need to fill in currency control documents detailing the amount and why you are bringing it into the RF. This is my situation, as I do lots of work for client's overseas, and am paid in GBP. Opening the account also requires lots of documents, including translated passport, all your tax documents etc, and make sure to budget for the account fees, which can be quite steep if you need a currency account. However, for me at least, it still works out much cheaper to pay 6% tax and the account fee than to pay 20% tax in the UK! :1306:

Bogatyr
11-11-2009, 09:49
I also have an entrepreneur's license. One other thing you should be aware of is that you need to open a special entrepreneur's bank account, so the tax authorities can check all your income. They're a suspicious bunch you see. Also, if you are paid in dollars, euros or any other currency, you will need to fill in currency control documents detailing the amount and why you are bringing it into the RF. This is my situation, as I do lots of work for client's overseas, and am paid in GBP. Opening the account also requires lots of documents, including translated passport, all your tax documents etc, and make sure to budget for the account fees, which can be quite steep if you need a currency account. However, for me at least, it still works out much cheaper to pay 6% tax and the account fee than to pay 20% tax in the UK! :1306:

Does the UK not tax you on your worldwide income? The US taxes US citizens on all worldwide income regardless of where or how it is earned. There are provisions for deducting foreign taxes but it does not reduce the tax burden to zero because of a minimal amount of required taxes (the "self employment" taxes). Or do they just not know about the Russian income? :ignore:

Dave78
11-11-2009, 10:30
I think the US is mostly alone in taxing worldwide income regardless of whether you spend time in the US physically.

Most countries will not tax on worldwide income unless you spend over three months in the country.

For Russia, I believe it is 183 day (six months roughly).

Please correct me if I'm wrong - this is going from memory.

trebor
11-11-2009, 13:07
In regards to those who have an interest in Entrepreneursí license.

This is useful because it gives you the responsibility of paying taxes in Russia. Normally 6% of your total turnover. This license is useful for those who want to be self employed or to act as a freelance worker for their company. There might also be an advantage for some with the 6% tax. However you may well not have same deals such as health cover and accommodation as you have being employed. Negotiations are up to you and your company.

There is another scheme but it all depends on your business. This is the scheme of which my wife and I have chosen. You will receive a list into which profession or business you chose to be. Remember this is a form designed for individual entrepreneurs or small partnerships. Not major companies as that is another more complicated direction.

When we started we visited the Odentsova Tax office, our regional area tax office. We found it most confusing with queues of people in different doors. Asking around in different areas we could not find the right office where to get the application for Entrepeneursí license. We saw long queues everywhere with some of the doors they were holding many documents obviously for more than one person. They were obviously couriers and we gave up. First of all we were not sure of which line of people to join, and we were also certain that we might not get anywhere being at the end of the queue.

So we found a local accountant to help us, this accountant only serves the Rublevka or the Odintsova area. She has a courier who will queue up for you and get your application sorted out. She will have the Entrepreneursí application form for you to fill in and will give you full guidance on what to do next.

So what do you need for the license? Your passport properly translated. The application form. two passport pictures. You will will be sent to a specified lawyer to verify you from your identity, passport and photograph. If you want to jump the queue to see this lawyer rather than wait several hours do so, and offer him an extra few thousand roubles. It works and itís the Russian way.

Anything else. YES. Purchase your stamps on completion. The stamps have your number and identity for you to give that much wanted receipt or invoice to a company.

Can you then get a work permit once you have an Entrpreneurs license?

Bogatyr
12-11-2009, 01:28
Can you then get a work permit once you have an Entrpreneurs license?

The Entrepreneurs license *is* a work permit of a sort -- you can form work relationships with companies as an independent service provider, just not as an "employee". I don't think it helps in acquiring a "work permit" that allows you to work as an employee.

Dave78
12-11-2009, 10:08
The Entrepreneurs license *is* a work permit of a sort -- you can form work relationships with companies as an independent service provider, just not as an "employee". I don't think it helps in acquiring a "work permit" that allows you to work as an employee.

What exactly is it? I wonder if it depends on having a Russian citizen spouse or what? Can I just come to Russia, say "Hello, Mr Putin, I am a free-lance photographer and want to get an entrepreneurs licence and stay in Russia pretty much permanently. Whaddaya say?"

I don't think that is possible in the US, and with Russian laws getting more strict, I wonder if that is really the case in Russia, or I am missing something...?

Also, would such a licence let me stay in Russia say for five months straight (less than 183 days) and not pay income taxes if I didn't come back in the year?

Are there monthly statements to file? Say I got one and left Russia for two months in a row. Would I miss filing some important statement and face huge problems or fine if I could not figure out how to get things filed in time when I was out of country?

Thanks ahead of time...

Bogatyr
12-11-2009, 10:15
What exactly is it? I wonder if it depends on having a Russian citizen spouse or what? Can I just come to Russia, say "Hello, Mr Putin, I am a free-lance photographer and want to get an entrepreneurs licence and stay in Russia pretty much permanently. Whaddaya say?"

I don't think that is possible in the US, and with Russian laws getting more strict, I wonder if that is really the case in Russia, or I am missing something...?

Also, would such a licence let me stay in Russia say for five months straight (less than 183 days) and not pay income taxes if I didn't come back in the year?

Are there monthly statements to file? Say I got one and left Russia for two months in a row. Would I miss filing some important statement and face huge problems or fine if I could not figure out how to get things filed in time when I was out of country?

Thanks ahead of time...

Having permission to remain in the country (visa, residency) and having permission to work in the country (work permit, entrepreneur's license, independent contractor agreement) are different things. One typically does not grant the other (except "permanent residency" which does grant the right to work, permanent residency is 5 years of almost-citizenship [you can't vote and can't serve in the military]).

Dave78
12-11-2009, 10:41
Having permission to remain in the country (visa, residency) and having permission to work in the country (work permit, entrepreneur's license, independent contractor agreement) are different things. One typically does not grant the other (except "permanent residency" which does grant the right to work, permanent residency is 5 years of almost-citizenship [you can't vote and can't serve in the military]).

I understand the difference. I'm looking for specific answers on who qualifies for the entrepreneur's licence and what that criteria is based on.

I'm in Ukraine and have temporary residency which I renew every year. But it is based on the fact I have a work permit under the OOO I opened. My valid work permit is the main document the police require in order to renew my residency.

I would guess - and I may be mistaken - that getting an entrepreneur's licence in Russia requires having a propiska. But maybe the registration card needed for when in Russia over three days counts?

Bels
12-11-2009, 17:48
To avoid confusions seen all over this forum;

An entrepeners license does not give you the right to stay in the country longer than what your visa states.

I got mine after being accepted for TRP. however I have heard you gan get it from having a business. But it won't avoid you with the 90 day restrictions on your visa.

Funny though. You can invite foriegn nationals to work for you, and arrange for their work permits.

The main benifits of getting an entrepeneurs' license is that you are legally allowed to work self employed and this includes freelance work, and that you will be responsible for your taxes at 6%

So no! It is not a simple immigration loop-hole. It won't work that way.

And why on earth would you want an entrepeneurs' license and a work permit. As they don't. But yes maybe if you really do want to do things legally. Such as being employed by a language school, and also have private students. But do you really want to do that?