Establish a Subsidiary in Russia

 

Both domestic and international entrepreneurs have the same business rights in Russia, however, they need to choose the proper entity that suits most their needs and activities they want to develop. In this case, it is recommended to understand in the first place the differences, the advantages and disadvantages of branches and subsidiaries in Russia. For example, a branch will completely depend on the parent company, compared to the subsidiary which is 100% independent. In matters of registration costs, branches are more expensive compared to subsidiaries. Also, there are restrictions when it comes to licenses and permits, meaning that branches cannot perform specific operations, a matter where subsidiaries are advantageous. A branch will only have to develop the specific activities as established by the foreign company, while the subsidiary in Russia is free to change the operations or add new ones if it is the case. As for the taxation of these entities, the profits of subsidiaries are protected by the double taxation treaties signed by Russia with countries worldwide, while branches will only pay the taxes imposed on the incomes registered in Russia. Subsidiaries are flexible business forms with lots of benefits, and the possibility of activating in numerous industries in Russia. The incorporation is not complex and it can be done with the help of a single shareholder or more. Do not hesitate to ask for more details about each entity, if you need recommendations in terms of business and company registration of a branch or a subsidiary in Russia. Our support can be immediately offered to foreign investors, alongside legal advice provided by our local team of attorneys in Russia.

 

 

Subsidiaries might seem complicated from a taxation point of view, but instead of dealing with such aspects, you can decide on the services of an accounting firm in Russia. This is in many cases the ideal choice of foreign entrepreneurs in Russia instead of creating a whole new accounting department. Tax registration and reporting, tax planning, payroll services, audits, annual financial statements, tax management and tax minimization methods are part of the accounting services we can provide for your subsidiary in Russia, if you decide on hiring us. Foreign companies can easily establish their operations in Russia, but above all, it is highly recommended to align with the requirements in terms of taxation and reporting. This is where the support of our experts will play a major role in all financial aspects of the firm, organizing a professional tax reporting and accounting in respect with the applicable laws. 

 

Our company formation specialists in Russia have enough experience to support international investors on their way of settling the activities from abroad. Many entrepreneurs from abroad have chosen our services and relied on the complete support for company registration with the entitled authorities. A foreign businessman might not be familiarized with the local rules and regulations in matters of company formation and incorporation which is why the assistance and the help of our company formation representatives in Russia might be crucial. Instead of dealing with all sorts of errors or misapprehensions when opening a subsidiary or any business structure in Russia, international investors can rely on the assistance, experience, knowledge and correct approach provided by our team of consultants. Our company formation services in Russia are varied and at the disposal of anyone wanting to open a subsidiary in Russia with fewer formalities or stress in terms of incorporation. 

 

Those who want to know more about the investments and business in Russia might find interesting the following information:

 

 

There are no complicated bureaucracies when setting up a company in Russia in 2022, whether a branch or a subsidiary. If you want to register a subsidiary in Russia, you may contact our Russian company formation agents who will provide you with all the information you need and will help you with the registration procedure.