Support The Moscow Times!

Putin Extends Deadline on Overseas Tax Avoidance Law

President Vladimir Putin on Thursday supported extending a deadline for Russians to register ownership of overseas companies under a law targeting tax avoidance that was passed last year.

The "deoffshorization" law demanded that Russians inform authorities of ownership of any stake over 10 percent in a foreign company by April 1 and provide information on companies they control by March 20, 2016.

But Putin told a gathering of businessmen on Thursday that the first reporting date would be pushed back to Oct. 1 saying, "many of those who wish to follow the law are unable for a variety of reasons to do it within the set deadline."

Russians have funneled huge sums of money to offshore zones over the past two decades, partly to cut their taxes and partly to escape predatory competitors and authorities.

Putin initiated the deoffshorization policy in 2012 to repatriate Russian assets and boost the tax base amid slowing economic growth.

Read more

Independent journalism isn’t dead. You can help keep it alive.

The Moscow Times’ team of journalists has been first with the big stories on the coronavirus crisis in Russia since day one. Our exclusives and on-the-ground reporting are being read and shared by many high-profile journalists.

We wouldn’t be able to produce this crucial journalism without the support of our loyal readers. Please consider making a donation to The Moscow Times to help us continue covering this historic time in the world’s largest country.