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For individuals · 11

CFC reporting in Russia

Controlled foreign company notifications and tax.

CFC compliance for Russian tax residents with interests in foreign companies — notifications, profit calculation and the exemptions that can apply, filed correctly and on time to avoid fixed penalties.

Chinese companiesUAE investorsTurkish groupsIndian companiesEU subsidiaries
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At a glance
ScenarioFor individuals
Applies toTax residents
LeadPrivate client adviser

Overview

Controlled foreign company rules require Russian tax residents to notify interests in foreign companies and, in some cases, to pay tax on retained profits. Deadlines are fixed and penalties for late or missed filings are set amounts, so the cost of getting it wrong is real even where little or no tax is ultimately due.

We handle the participation notifications, calculate CFC profit where required, and analyse whether one of the several exemptions applies before anything is filed. Where a filing was missed, we prepare the disclosures to regularise the position and mitigate penalties, coordinated with your personal tax and currency-control obligations.

What's included

CFC participation notifications
CFC profit calculation
Exemption analysis
Annual CFC reporting
Currency-control coordination
Penalty mitigation and disclosure

Typical situations we handle

You are a Russian tax resident holding interests in foreign companies.

A CFC notification or annual report is due.

You want to know whether an exemption applies before filing.

+ how we work

A clear, coordinated process

01
Scope

Identify the foreign companies you control.

02
Exemptions

Check whether a CFC exemption applies.

03
Filing

Prepare notifications and the profit calculation.

04
Regularise

Bring missed filings current and mitigate penalties.

+ in-house vs outsourced

Building it in-house, or outsourcing to us

Factor
In-house
With TaxWell
Russian expertise
Depends on hire
Big Four background team
1C configuration
Separate cost
Included
FTS audit representation
Additional legal fee
Included in engagement
Languages
Usually Russian only
EN · RU · 中文 · Türkçe
Scalability
Fixed headcount
Scales with volume
+ questions

Frequently asked

What is a CFC notification?

A filing that Russian tax residents must make for interests in foreign companies. Deadlines are fixed and penalties apply for late or missed filings.

Do I always pay tax on CFC profit?

Not always — several exemptions can apply. We analyse whether one is available and, if not, calculate the profit correctly.

Can you regularise a missed filing?

Yes — we prepare disclosures and filings to bring your position current and mitigate penalties where possible.

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Other expertise

10
Personal income tax
12
Tax residency
13
Cross-border asset planning
We work with
Chinese companiesUAE & Turkish subsidiariesIndian companiesEU companiesInternational groups
We work in
EnglishRussian中文Türkçe
+ what happens when you contact us
01
You send us a question

By email, WhatsApp, Telegram or WeChat. Describe your situation briefly — we don’t need everything upfront.

02
We respond within 24 hours

A named adviser replies — not a generic inbox. We confirm whether we can help and propose a call if needed.

03
30-minute intro call

We ask about your situation, Russian entity structure and what you need. No charge. In English, Russian or Chinese.

04
Engagement letter

Clear scope, fee and timeline. We start on receipt of the signed letter. No retainer lock-in on project work.

Speak to a senior adviser about CFC reporting

Get in touch →
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Insights
3-NDFL tax return in Russia: complete guide for foreign individualsAccounting Outsourcing in Russia: PracticalAccounting in Russia: RAS rules and mandatory reporting for foreign companies All articles →
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