The year 2011 was a good year for Russia economically and the year 2012 is looking promising, with economic growth likely to be close to 4 percent and inflation around 5-6 percent in 2012.
Payroll processing in Russia is significantly more rules-based than in Western countries and newcomers to the country are generally surprised by the bureaucracy created by what appears to be overly demanding requirements.
Personal income tax rates in the majority of the CIS countries is governed by federal law and easy to calculate; in Russia and Belorussia, 13 percent, in Kazakhstan, 10 percent, in the Ukraine, 15-17 percent. However, despite the apparent simplicity, payroll in the CIS countries is not without its complexities. Here, we discuss common pitfalls and provide advice.
Dezan Shira & Associates provide a range of services for companies looking to undertake foreign direct investment into Russia and Asia. These include corporate establishment, accounting, tax, payroll, audit and due diligence. To learn more about our practice, and our partner firm in Moscow and St.Petersburg, please contact us at russia@dezshira.com. Download our corporate brochure or visit at us www.dezshira.com.