News

New US sanctions affect the Russian financial sector, IT services and a number of Russian and foreign entities

On 12 June 2024, the US Treasury and State Departments announced new sanctions affecting the financial sector, IT services and a number of Russian and foreign entities.

Russian Central Bank determines limit on number and volume of transactions under Decree No. 138

On 7 June 2024, the Board of Directors of the Central Bank of the Russian Federation adopted a decision to determine the maximum number and volume of subsequent transactions (operations) in accordance with Presidential Decree No. 138 of 3 March 2023 “On Additional Temporary Measures of an Economic Nature related to the Circulation of Securities.”

Russian Ministry of Finance introduces package of draft laws to Russian Government aimed at improving the tax system

The Ministry of Finance of Russia introduced a package of draft laws to the Government of the Russian Federation including a number of significant amendments to the Tax Code, as well as to the Budget Code and the Budget Law in relation to 2024 and the planned period of 2025 and 2026. The draft laws are expected to be passed by the State Duma in its current session and will enter into force on 1 January 2025.

New restrictions on IP deals involving foreign rightholders

Our team prepared a detailed overview of the new presidential decree “On the Temporary Procedure for Acquiring Exclusive Rights of Certain Rightholders and Delivering on Monetary Obligations towards Certain Foreign Creditors and their Controlled Persons,” largely amends the regulation and procedure of IP deals.

New compensation procedure for damage done to Russia and the Russian Central Bank by US actions

On 23 May 2024, President Putin signed Decree No. 442 “On the Special Procedure to Compensate for Damage Caused to the Russian Federation and the Central Bank of the Russian Federation as a Result of Unfriendly Actions by the United States of America.”

Tax exemption extended for receipt of assets from CFCs for 2024

The State Duma of the Russian Federation passed a law extending to the end of 2024 the tax reliefs providing for (1) an exemption of individuals who are tax residents of the Russian Federation from personal income tax when receiving income (property rights and property, except cash) from Controlled Foreign Companies (“CFCs”); and (2) a tax deduction for the subsequent sale of property (or property rights) received from a CFC. Read further in our legal update.

New procedure for the acquisition of exclusive rights owned by certain rightholders

Presidential Decree No. 430 of 20 May 2024 on the temporary procedure for the acquisition of exclusive rights owned by certain rightholders and the performance of monetary obligations owed to certain foreign creditors and persons controlled by them has been published.

EU directive on criminal liability for EU sanctions violations enters into force

Directive (EU) 2024/1226 of the European Parliament and of the Council of 24 April 2024 “On the Definition of Criminal Offences and Penalties for the Violation of Union Restrictive Measures” entered into force on 19 May 2024. The Directive is designed to ensure consistent and effective compliance with EU sanctions and makes important requirements of EU member states in terms of criminalising violations and setting minimum penalties.

HKIAC releases updated 2024 Rules

On 3 May 2024, the Hong Kong International Arbitration Centre released the updated 2024 Administered Arbitration Rules, which will take effect on 1 June 2024.

Resolution of the Constitutional Court of the Russian Federation No 18-P

On 16 April 2024, the Constitutional Court of the Russian Federation issued Resolution No. 18-P deciding whether paragraph 2 of Article 426(4) of the Civil Procedure Code of the Russian Federation is constitutional. This Resolution confirms that real estate disputes are arbitrable and that corresponding arbitral awards comply with Russian public policy.

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