1. Russian organizations, individual entrepreneurs, notaries dealing private practice, lawyers who have established law offices, as well as separate divisions of foreign organizations in the Russian Federation, from which or as a result of relations with which the taxpayer received income specified in paragraph 2 of this article, are required to calculate, withhold from the taxpayer and pay the amount of tax calculated in accordance with with Article 224 of this Code, taking into account the features provided for in this article. Tax on the income of lawyers is calculated, withheld and paid by bar associations, law offices and legal advice centers.

The persons specified in paragraph one of this paragraph are referred to in this chapter as tax agents.

2. Calculation of amounts and payment of tax in accordance with this article are carried out in relation to all income of the taxpayer, the source of which is a tax agent (except for income in respect of which calculation of amounts and payment of tax are carried out in accordance with Articles 214.3, 214.4, 214.5, 214.6, 226.1, 227 and 228 of this Code), with offset of previously withheld tax amounts, and in the cases and in the manner provided for in Article 227.1 of this Code, also taking into account the reduction by the amount of fixed advance payments paid by the taxpayer.

3. Tax amounts are calculated by tax agents on the date of actual receipt of income, determined in accordance with Article 223 of this Code, on an accrual basis from the beginning of the tax period in relation to all income (except for income from equity participation in an organization) in respect of which the tax rate is applied established by paragraph 1 of Article 224 of this Code, accrued to the taxpayer for a given period, with the offset of the amount of tax withheld in previous months of the current tax period.

The amount of tax in relation to income in respect of which other tax rates are applied, as well as to income from equity participation in an organization, is calculated by the tax agent separately for each amount of the specified income accrued to the taxpayer.

The tax amount is calculated without taking into account the income received by the taxpayer from other tax agents and the tax amounts withheld by other tax agents.

4. Tax agents are required to withhold the accrued amount of tax directly from the taxpayer’s income upon their actual payment, taking into account the specifics established by this paragraph.

When paying income to a taxpayer in kind or receiving income in the form of a material benefit, the tax agent withholds the calculated amount of tax from any income paid by the tax agent to the taxpayer in cash. In this case, the withheld tax amount cannot exceed 50 percent of the amount of income paid in cash.

The provisions of this paragraph do not apply to tax agents that are credit organizations with regard to the withholding and payment of tax amounts on income received by clients of these credit organizations (except for clients who are employees of these credit organizations) in the form of material benefits determined in accordance with subparagraphs 1 and 2 paragraphs 1 of Article 212 of this Code.

5. If it is impossible to withhold the calculated amount of tax from the taxpayer during the tax period, the tax agent is obliged no later than March 1 of the year following the expiration tax period, in which the relevant circumstances arose, inform the taxpayer and the tax authority at the place of registration in writing about the impossibility of withholding tax, the amount of income from which tax was not withheld, and the amount of tax not withheld.

The form of notification about the impossibility of withholding tax, the amount of income from which tax was not withheld, and the amount of unwithheld tax, as well as the procedure for submitting it to the tax authority, are approved by the federal executive body authorized for control and supervision in the field of taxes and fees.

Tax agents - Russian organizations having separate divisions, organizations classified as the largest taxpayers, individual entrepreneurs who are members of tax authority registered at the place of activity in connection with the application of the taxation system in the form of a single tax on imputed income for individual species activities and (or) the patent taxation system, report the amounts of income from which tax is not withheld, and the amount of unwithheld tax in a manner similar to the procedure provided for in paragraph 2 of Article 230 of this Code.

6. Tax agents are required to transfer the amounts of calculated and withheld tax no later than the day following the day of payment of income to the taxpayer.

When paying a taxpayer income in the form of temporary disability benefits (including benefits for caring for a sick child) and in the form of vacation pay, tax agents are required to transfer the amounts of calculated and withheld tax no later than the last day of the month in which such payments were made.

7. The total amount of tax calculated and withheld by the tax agent from the taxpayer, in respect of which it is recognized as a source of income, is paid to the budget at the place of registration (place of residence) of the tax agent with the tax authority, unless a different procedure is established by this paragraph.

Tax agents - Russian organizations specified in paragraph 1 of this article that have separate divisions are required to transfer calculated and withheld tax amounts to the budget both at their location and at the location of each of their separate divisions.

The amount of tax payable to the budget at the location of a separate division of the organization is determined based on the amount of income subject to taxation accrued and paid to employees of this separate division, as well as based on the amount of income accrued and paid under civil contracts concluded with by individuals of a separate division (authorized persons of a separate division) on behalf of such an organization.

Tax agents - individual entrepreneurs who are registered with the tax authority at the place of activity in connection with the application of the taxation system in the form of a single tax on imputed income for certain types of activities and (or) a patent taxation system, are required to transfer calculated and withheld tax amounts to the budget at the place of registration in connection with the implementation of such activities.

7.1. For the purposes of this chapter, tax agents are also recognized as Russian organizations that transfer amounts of salary, allowance, wages, other remuneration (other payments) to military personnel and civilian personnel (federal state civil servants and workers) of the Armed Forces of the Russian Federation.

The total amount of tax calculated and withheld by the tax agent from the specified amounts is transferred to the budget at the place of registration of the tax agent with the tax authorities.

8. Withheld by the tax agent from income individuals in respect of which it is recognized as a source of income, the total amount of tax exceeding 100 rubles is transferred to the budget in the manner prescribed by this article. If the total amount of withheld tax payable to the budget is less than 100 rubles, it is added to the amount of tax payable to the budget in the next month, but no later than December of the current year.

9. Payment of tax at the expense of tax agents is not allowed. When concluding agreements and other transactions, it is prohibited to include tax clauses in them, according to which tax agents paying income assume obligations to bear the costs associated with paying tax for individuals.

Section III. TAX AUTHORITIES. CUSTOMS AUTHORITIES. FINANCIAL AUTHORITIES. INTERNAL AFFAIRS BODIES. INVESTIGATIVE BODIES. RESPONSIBILITY OF TAX AUTHORITIES, CUSTOMS AUTHORITIES, INTERNAL AFFAIRS AUTHORITIES, INVESTIGATIVE AUTHORITIES, THEIR OFFICIALS (as amended by Federal Laws dated 07/09/1999 N 154-FZ, dated 06/30/2003 N 86-FZ, dated 06/29/20 04 N 58-ФЗ, dated December 28, 2010 N 404-FZ)

Chapter 5. TAX AUTHORITIES. CUSTOMS AUTHORITIES. FINANCIAL AUTHORITIES. RESPONSIBILITY OF TAX AUTHORITIES, CUSTOMS AUTHORITIES, THEIR OFFICIALS (as amended by Federal Laws of 07/09/1999 N 154-FZ, of 06/29/2004 N 58-FZ)
Chapter 6. INTERNAL AFFAIRS BODIES. INVESTIGATIVE BODIES (as amended by Federal Laws dated June 30, 2003 N 86-FZ, dated December 28, 2010 N 404-FZ)

Section IV. GENERAL RULES FOR THE EXECUTION OF THE OBLIGATION TO PAY TAXES, FEES, INSURANCE PREMIUMS (as amended by Federal Law No. 243-FZ of July 3, 2016)

Chapter 7. OBJECTS OF TAXATION
Chapter 8. FULFILLMENT OF THE OBLIGATION TO PAY TAXES, FEES, INSURANCE PREMIUMS (as amended by Federal Law dated July 3, 2016 N 243-FZ)
Chapter 10. REQUIREMENT FOR PAYMENT OF TAXES, FEES, INSURANCE PREMIUMS (as amended by Federal Law No. 243-FZ of July 3, 2016)
Chapter 11. WAYS OF ENSURING FULFILLMENT OF OBLIGATIONS FOR PAYING TAXES, FEES, INSURANCE PREMIUMS (as amended by Federal Law No. 243-FZ of July 3, 2016)
Chapter 12. CREDIT AND REFUND OF OVER PAID OR OVER COLLECTED AMOUNTS

Section V. TAX DECLARATION AND TAX CONTROL (as amended by Federal Law No. 154-FZ of July 9, 1999)

Chapter 13. TAX DECLARATION (as amended by Federal Law dated 07/09/1999 N 154-FZ)
Chapter 14. TAX CONTROL

Chapter 14.1. INTERDEPENDENT PERSONS. PROCEDURE FOR DETERMINING THE SHARE OF ONE ORGANIZATION IN ANOTHER ORGANIZATION OR AN INDIVIDUAL IN AN ORGANIZATION
Chapter 14.2. GENERAL PROVISIONS ABOUT PRICES AND TAXATION. INFORMATION USED IN COMPARING THE TERMS OF TRANSACTIONS BETWEEN RELATED ENTITIES WITH THE TERMS OF TRANSACTIONS BETWEEN PERSONS THAT ARE NOT INTERDEPENDENTS
Chapter 14.3. METHODS USED IN DETERMINING FOR TAXATION PURPOSES INCOME (PROFIT, REVENUE) IN TRANSACTIONS IN WHICH THE PARTIES ARE RELATED ENTITIES
Chapter 14.4. CONTROLLED TRANSACTIONS. PREPARATION AND PRESENTATION OF DOCUMENTATION FOR TAX CONTROL PURPOSES. NOTICE OF CONTROLLED TRANSACTIONS
Chapter 14.4-1. PRESENTATION OF DOCUMENTATION ON INTERNATIONAL GROUPS OF COMPANIES (introduced by Federal Law No. 340-FZ of November 27, 2017)
Chapter 14.5. TAX CONTROL IN CONNECTION WITH TRANSACTIONS BETWEEN RELATED PERSONS
Chapter 14.6. PRICING AGREEMENT FOR TAX PURPOSES

Section V.2. TAX CONTROL IN THE FORM OF TAX MONITORING (introduced by Federal Law dated November 4, 2014 N 348-FZ)

Chapter 14.7. TAX MONITORING. REGULATIONS FOR INFORMATION INTERACTION
Chapter 14.8. PROCEDURE FOR CONDUCTING TAX MONITORING. MOTIVATED OPINION OF THE TAX AUTHORITY

Section VI. TAX OFFENSE AND RESPONSIBILITY FOR THEIR COMMITMENT

Chapter 15. GENERAL PROVISIONS ON LIABILITY FOR TAX OFFENSE COMMITMENT
Chapter 16. TYPES OF TAX OFFENSE AND RESPONSIBILITY FOR THEIR COMMITMENT
Chapter 17. COSTS ASSOCIATED WITH TAX CONTROL
Chapter 18. TYPES OF VIOLATIONS OF THE BANK’S OBLIGATIONS PROVIDED BY THE LEGISLATION ON TAXES AND FEES AND RESPONSIBILITY FOR THEIR COMPLETION

Section VII. APPEALING ACTS OF TAX AUTHORITIES AND ACTIONS OR INACTIONS OF THEIR OFFICIALS

Chapter 19. PROCEDURE FOR APPEALING ACTS OF TAX AUTHORITIES AND ACTIONS OR INACTIONS OF THEIR OFFICIALS
Chapter 20. CONSIDERATION OF A COMPLAINT AND MAKING A DECISION ON IT

SECTION VII.1. IMPLEMENTATION OF INTERNATIONAL TREATIES OF THE RUSSIAN FEDERATION ON TAXATION ISSUES AND MUTUAL ADMINISTRATIVE ASSISTANCE IN TAX AFFAIRS (introduced by Federal Law of November 27, 2017 N 340-FZ)

Chapter 20.1. AUTOMATIC EXCHANGE OF FINANCIAL INFORMATION
Chapter 20.2. INTERNATIONAL AUTOMATIC EXCHANGE OF COUNTRY REPORTS IN ACCORDANCE WITH INTERNATIONAL TREATIES OF THE RUSSIAN FEDERATION (introduced by Federal Law of November 27, 2017 N 340-FZ)
Chapter 20.3. MUTUAL AGREEMENT PROCEDURE IN ACCORDANCE WITH THE INTERNATIONAL TREATY OF THE RUSSIAN FEDERATION ON TAXATION ISSUES (introduced by Federal Law of September 29, 2019 N 325-FZ)

PART TWO

Section VIII. FEDERAL TAXES
- Chapter 21. VALUE ADDED TAX
- Chapter 22. EXCISE TAXES
- Chapter 23. INDIVIDUALS INCOME TAX
- Chapter 24. UNIFORM SOCIAL TAX (ARTICLES 234 - 245) Lost force on January 1, 2010. - Federal Law of July 24, 2009 N 213-FZ.
- Chapter 25. INCOME TAX OF ORGANIZATIONS (introduced by Federal Law dated 06.08.2001 N 110-FZ)
- Chapter 25.1. FEES FOR THE USE OF WILDLIFE OBJECTS AND FOR THE USE OF OBJECTS OF AQUATIC BIOLOGICAL RESOURCES (introduced by Federal Law of November 11, 2003 N 148-FZ)
- Chapter 25.2. WATER TAX (introduced by Federal Law dated July 28, 2004 N 83-FZ)
- Chapter 25.3. STATE DUTIES (introduced by Federal Law dated November 2, 2004 N 127-FZ)
- Chapter 25.4. TAX ON ADDITIONAL INCOME FROM PRODUCTION OF HYDROCARBONS RAW MATERIALS (introduced by Federal Law dated July 19, 2018 N 199-FZ)
- Chapter 26. TAX ON MINERAL EXTRACTION (introduced by Federal Law of 08.08.2001 N 126-FZ)
Section VIII.1. SPECIAL TAX REGIMES (introduced by Federal Law of December 29, 2001 N 187-FZ)
- Chapter 26.1. TAX SYSTEM FOR AGRICULTURAL PRODUCERS (UNIFORM AGRICULTURAL TAX) (as amended by Federal Law No. 147-FZ of November 11, 2003)
- Chapter 26.2. SIMPLIFIED TAX SYSTEM (introduced by Federal Law No. 104-FZ of July 24, 2002)
- Chapter 26.3. TAX SYSTEM IN THE FORM OF A SINGLE TAX ON IMPLIED INCOME FOR SPECIFIC TYPES OF ACTIVITY (introduced by Federal Law No. 104-FZ of July 24, 2002)
- Chapter 26.4. TAX SYSTEM WHEN IMPLEMENTING PRODUCTION SHARING AGREEMENTS (introduced by Federal Law No. 65-FZ of 06.06.2003)
- Chapter 26.5. PATENT TAX SYSTEM (introduced by Federal Law dated June 25, 2012 N 94-FZ)
Section IX. REGIONAL TAXES AND FEES (introduced by Federal Law of November 27, 2001 N 148-FZ)
- Chapter 27. SALES TAX (ARTICLES 347 - 355) Lost force. - Federal Law of November 27, 2001 N 148-FZ.
- Chapter 28. TRANSPORT TAX (introduced by Federal Law of July 24, 2002 N 110-FZ)
- Chapter 29. TAX ON GAMING BUSINESS (introduced by Federal Law of December 27, 2002 N 182-FZ)
- Chapter 30. PROPERTY TAX OF ORGANIZATIONS (introduced by Federal Law of November 11, 2003 N 139-FZ)
Section X. LOCAL TAXES AND FEES (as amended by Federal Law dated November 29, 2014 N 382-FZ) (introduced by Federal Law dated November 29, 2004 N 141-FZ)
- Chapter 31. LAND TAX
- Chapter 32. PROPERTY TAX OF INDIVIDUALS (introduced by Federal Law dated October 4, 2014 N 284-FZ)
- Chapter 33. TRADE FEE (introduced by Federal Law dated November 29, 2014 N 382-FZ)
Section XI. INSURANCE PREMIUMS IN THE RUSSIAN FEDERATION (introduced by Federal Law dated July 3, 2016 N 243-FZ)
- Chapter 34. INSURANCE PREMIUMS (introduced by Federal Law dated July 3, 2016 N 243-FZ)

Article 226 of the Tax Code of the Russian Federation. Features of tax calculation by tax agents. Procedure and deadlines for tax payment by tax agents

Unless otherwise provided paragraph 2 of article 226.1 of this Code, Russian organizations and individual entrepreneurs who make payments under agreements for the purchase and sale (exchange) of securities concluded with taxpayers are also recognized as tax agents.

When determining the tax base for transactions with securities based on a taxpayer’s application, the tax agents specified in this paragraph take into account actual and documented expenses that are associated with the acquisition and storage of the relevant securities and that the taxpayer incurred without the participation of a tax agent.

As documentary evidence of the relevant expenses, an individual must submit originals or duly certified copies of documents on the basis of which this individual made the relevant expenses, brokerage reports, documents confirming the fact of transfer of rights to the relevant securities to the taxpayer, the fact and amount of payment of the relevant expenses . If an individual submits original documents, the tax agent is obliged to make certified copies of such documents and store them for five years.

2. Calculation of amounts and payment of tax in accordance with this article are carried out in relation to all income of the taxpayer, the source of which is a tax agent, with offset of previously withheld tax amounts (except for income in respect of which tax amounts are calculated in accordance with Article 214.7 of this Code), and in cases and in the manner provided for Article 227.1 of this Code, also taking into account the reduction by the amount of fixed advance payments paid by the taxpayer.

1. The party making the payments (for example, the employer or the tenant) withholds and transfers the tax to the budget.

2. An individual pays the tax independently.

If the party making payments to an individual acts as a tax agent, and itself withholds and pays personal income tax to the budget in full, the individual does not have any additional responsibilities.

However, there are cases when an organization or individual entrepreneur making payments to an individual does not perform the functions of tax agents or for some reason was unable to withhold tax. In this case, they are obliged to inform both the tax office and the recipient of the income about this (clause 5 of Article 226 of the Tax Code of the Russian Federation). You can notify a citizen that taxes were not withheld and paid on payments made in his favor at the time in any form. A copy of the certificate submitted to the tax office indicating the amounts paid is added to the message so that the individual has an idea of what tax will need to be paid. Information about paid amounts, as well as non-withheld personal income tax amounts, is transmitted in the first month of the year (before February 1) following the reporting month.

An individual who has learned of the existence of a debt to the budget is obliged no later than April 30 of the year following the reporting period to submit a tax return in form 3-NDFL (clause 1 of Article 229 of the Tax Code of the Russian Federation). If April 30 falls on a weekend, the declaration must be submitted no later than the next working day, and the deadline for filing the declaration is not postponed if the specified date falls on a holiday. The taxpayer is obliged to submit the declaration to the tax office at his place of residence, either in person, or through a representative with a power of attorney, or by mail in a valuable letter with an inventory of the contents (clause 4 of Article 80 of the Tax Code of the Russian Federation).

The tax itself should be paid no later than July 15 of the year following the reporting period, having previously specified the details for its payment (clause 4 of Article 228 of the Tax Code of the Russian Federation).

If the deadlines for submitting a declaration and paying the tax are violated, the tax office has the right to assess additional tax, as well as oblige the taxpayer to pay penalties and fines. The fine for violating the deadlines for filing a personal income tax return is levied in the amount of 5% of the unpaid tax amount for each full or partial month from the day established for its submission. The minimum amount of administrative punishment in this case is 1 thousand rubles, the maximum is 30% of the tax amount (clause 1 of Article 119 of the Tax Code of the Russian Federation). The fine for non-payment of tax can be 20% of the unpaid amount or 40% if the tax authorities prove the taxpayer’s intentional failure to fulfill his obligations. Penalties are accrued for each calendar day of delay in personal income tax payment in the amount of 1/300 of the Central Bank refinancing rate.

If the taxpayer proves that he filed a return on time, correctly calculated the amount of tax, but did not pay it on time, on the basis of Resolution of the Plenum of the Supreme Arbitration Court of the Russian Federation dated July 30, 2013 N 57, it will be possible to appeal the decision to impose a fine for non-payment of tax. In this case, tax authorities have the right to charge only penalties.

What gifts should I pay personal income tax on?

When is personal income tax transferred from an employee’s vacation pay?

Until recently, this was a controversial issue and there were disagreements in the legal environment regarding the timing of personal income tax deductions from vacation pay. Since 2016, the situation has been settled - data has been added to Article 226 of the Tax Code of the Russian Federation, clarifying the position of paragraph 6. Article 226 of the Tax Code of the Russian Federation with comments from 2016 implies that the amount of tax on such personal income. persons, as vacation pay, must be transferred by the tax agent no later than the last day of the month in which these vacation pay were paid. Previously, there was a different opinion, supported by many court decisions. It was believed that the tax should be transferred no later than the day when the employee (or authorized representatives in his place) actually received the amount of vacation pay into his account. However, cassation courts quite often came to a conclusion that is now enshrined in law. They established that the tax should be transferred on the last day of the month in which the payment of vacation pay was made. In their decisions, the judges indicated that vacation pay is equal to the employee’s salary, and therefore the transfer and deduction of personal income tax from the amount of vacation pay should occur in the same way as from salary - on the last day of the month (clause 2 of Article 223 of the Tax Code of the Russian Federation). Turning to Article 226 of the Tax Code of the Russian Federation with comments from 2016, you can now see legislative consolidation such a position. So, when paying employees sick leave and vacation pay in 2016, employers transfer personal income tax no later than the last day of the month in which these payments were made.

When is personal income tax transferred if the salary is paid in installments in the form of an advance and payment?

It is legally recognized that the date of receipt of income in the form of wages is the last day of the working month (Article 223 of the Tax Code of the Russian Federation). But Article 226 of the Tax Code of the Russian Federation with commentaries 2016 contains an indication that tax agents transfer the amounts of personal income tax withheld from the employee’s income no later than the date following the day of payment. Recently, the legislator clarified that when paying vacations and paying disability benefits, tax is deducted on the last day of the month in which the payments were made. According to official opinion, if the salary is paid in installments, then the tax is withheld and transferred to the budget once - when calculated at the end of the month, while observing the rules of Article 226 of the Tax Code of the Russian Federation. Therefore, until the end of the working month, income in the form of an advance is not recognized as received. When withholding personal income tax, the advance amount is counted towards the monthly wages made at the end of the working month, and the tax on this amount is paid on the day of final payment. This position is not controversial. It is shared by the Ministry of Finance, the Tax Service, judges and experts.

When can the functions of a tax agent be assigned to a trustee?

According to the Civil Code of the Russian Federation, property can be transferred to trust management, which does not entail the transfer of ownership of it to the manager. But such a manager makes transactions with this property on his own behalf. If physical a person, for example, decides to conclude a deposit agreement not personally, but through a trustee, then the manager concludes the agreement on his own behalf, albeit at the expense of the trustor’s money. Since the agreement with the bank was not concluded by an individual. person, then the income from the deposit agreement is an individual. the person does not receive. In this case, the citizen receives income from trust management, and not from a bank deposit. According to paragraph 1 of Article 226 of the Tax Code of the Russian Federation, an organization from interaction with which the citizen-taxpayer received income can be recognized as a tax agent. Since a citizen entered into a trust management agreement and received income from interaction with the manager, then, falling under the definition, the trustee can be recognized as a tax agent. The individual will be the recipient of income under the deposit agreement concluded by the trustee. Personal income tax on this income will be withheld when the money is paid to the individual by the trustee.

Art. 226 Tax Code of the Russian Federation contains information about who can be considered a tax agent in the Russian Federation. The material will discuss the responsibilities listed in this article, the specifics of calculating and transferring taxes for this category of payers.

Article 226 of the Tax Code of the Russian Federation: when does a company or individual entrepreneur become a tax agent?

The norms of this article must be followed by all persons under Russian jurisdiction and listed in the text of the document, namely:

legal entity;
notaries performing their activities privately;
separate divisions of foreign organizations.

A more detailed formulation of the essence of tax agents is given in another part of the Tax Code of the Russian Federation - in Article 24.

Neither the organization nor the individual entrepreneur initially has the characteristics of a tax agent. However, they become one after paying a certain income to the citizen. The exception is income received by a citizen in accordance with Art. 214.3, 214.4, 214.5, 214.6, 226.1, 227 and 228 of the Tax Code of the Russian Federation, which indicate, for example, some transactions with securities, etc. There are different procedures for calculating and paying taxes.

The specifics of tax calculation by agents are described in Art. 226 Tax Code of the Russian Federation. The same norm defines the procedure and terms for payment of calculated amounts to the budget by these entities. Let's take a closer look at the article.

Subjects

Tax agents under Art. 226 of the Tax Code of the Russian Federation recognizes those registered and operating in Russia:

Organizations.
Notaries and lawyers in private practice.

This category also includes separate divisions of foreign companies. Tax agents are distinguished from payers by their responsibilities. They are responsible for calculating, withholding and directing taxes on the income their employees receive to the budget. Deductions from the profits of lawyers are made by bureaus, colleges and legal consultations.

General procedure (clause 2 of Article 226 of the Tax Code of the Russian Federation)

Taxes are calculated and paid in relation to any profit of the payer, the source of which is an agent (individual entrepreneur/organization). The exception is income, the calculation and deduction of which is made in accordance with the norms 214.3-214.6, 227-228 and Art. 226.1 Tax Code of the Russian Federation. When calculating, previously withheld amounts are taken into account. In cases specified in Article 227.1, payments are reduced by the amount of fixed advances paid by the entities.

Calculation specifics

Hold

In paragraph four of Art. 226 of the Tax Code of the Russian Federation states that tax is collected from the payer’s income upon actual payment. If the subject receives a profit in kind or in the form of material benefit, it is carried out at the expense of any amounts of money paid by the agent. The amount of deduction levied cannot be more than 50% of cash income. This paragraph does not apply to agents acting as credit institutions in relation to deductions and deductions tax amounts from the profits received by their clients in the form of material benefits. The exception is direct employees of such companies.

Impossibility of retention (clause 5 of Article 226 of the Tax Code of the Russian Federation)

In some cases, the agent cannot collect and, accordingly, deduct established tax amounts from the payer’s income. In these situations, the subject must, no later than 1.03 of the period following the end of the year in which the specified circumstances occurred, send a notification to the control body and the subject from which the withholding was not made. It indicates the amount of profit and tax not allocated to the budget. The form of the notification and the procedure for sending it are determined by the executive federal institution of government.

Important point

In paragraph 5 of Art. 226 of the Tax Code of the Russian Federation speaks separately about tax agents - domestic companies with separate divisions, companies classified as the largest payers, as well as individual entrepreneurs registered with the control service at the place of their activities related to the use of UTII or the patent taxation system. They must report the amounts of profit from which no deduction was made, as well as the amount of payments not deducted to the budget in the manner established in paragraph two of Article 230.

Term

It is defined in paragraph 6 of Art. 226 Tax Code of the Russian Federation. Agents must calculate and withhold the established amounts no later than the day following the date of profit payment. Clause 6 art. 226 of the Tax Code of the Russian Federation also provides that if a subject is provided with income in the form of benefits for the period of incapacity (illness), including for caring for sick children, as well as in the form of vacation pay, the transfer must be made no later than last date the month in which these payments were made.

To what budget should the amounts be allocated?

In paragraph seven of Art. 226 of the Tax Code of the Russian Federation states that payments are made at the place of residence (registration) of the agent, unless another procedure is provided for by law. Agents - organizations in whose structure separate divisions are formed, must transfer the calculated and withheld amounts both to the budget at the address of their location and the location of their branches. Individual entrepreneurs using the patent system or UTII must make mandatory payments at the place of registration.

Calculation for separate divisions

The tax payable to the budget at the location of the company's branch is established in accordance with the amount of profit subject to taxation, accrued and paid to employees. The calculation is also made based on the amount of income received under civil agreements that were concluded by a separate division with individuals.

Cumulative amount

The total amount of tax withheld by the agent from the profits of individuals for whom he is recognized as a source of income, more than 100 rubles, is sent to the budget in the manner prescribed by the article in question. If the total payment amount is less than 100 rubles, the amount is added to the deduction due in the next month, but no later than December of the current period.

Additionally

The law does not allow the payment of taxpayers' taxes at the expense of the agent's funds. When concluding contracts and making other transactions, it is prohibited to include clauses in their terms under which the entities paying the profit assume costs related to the deduction of amounts to the budget for individuals.

Art. 226 Tax Code of the Russian Federation: comments

The occurrence of tax agent obligations is associated with the payment of income to individuals. The subject does not have the right to refuse them if he acts as a source of income for payers. Meanwhile, there is a dispute over the issue relating to the payment of advances to employees under the terms of civil law agreements. According to a number of officials of the Ministry of Finance and some judges, payment of funds for services not yet provided or work not performed obliges the enterprise to withhold income tax and pay it to the budget. However, in practice there are a number of decisions that determine that an advance cannot be considered as an object of taxation until the individual fulfills his obligations.

Income in kind

In cases where an enterprise paid an individual with products, but other than this income, no cash payments were made to him, the company cannot withhold income tax. In such a situation, the employee himself must calculate and pay personal income tax to the budget. At the same time, the enterprise has an obligation under clause 5 of Art. 226 of the Tax Code of the Russian Federation, send a notice to the control body about the inability to withhold tax and transfer it to the budget. The article specifies a one-month notice period. Law No. 113 extended this period. Thus, the enterprise is obliged to send a notification in accordance with paragraph 5 of Art. 226 of the Criminal Code of the Russian Federation no later than 1.03 of the year following the expired one, in which, accordingly, the withholding was not carried out. This rule is effective from January 1st. 2016

Changes to the article

In addition to increasing the period for notifying control authorities and the payer of the impossibility of withholding, other amendments were made to the norm in question. In particular, they touched upon clause 6 of Art. 226 of the Tax Code of the Russian Federation establishes a single date for tax transfer. It coincides with the number following the day of actual payment of income. In the previous edition, tax on vacation and sick pay was to be deducted on the day they were received by individuals. The amended article moved this deadline to the end of the month in which these payments were made.

Conclusion

From January 1, 2015, paragraph two of Art. 226 of the Tax Code came into force as amended by Federal Law No. 368. In connection with the changes made to Article 227.1 regarding the need to pay a fixed advance by citizens of foreign states working in Russia for hire from individual entrepreneurs or organizations (if their entry does not require obtaining visas), the total amount of personal income tax on the payers’ profits, which is subject to withholding by agents, should be reduced by the amount of these payments already made. In addition to the amendments already made to the norm under consideration, several more additions are being discussed. In this regard, experts recommend that tax agents regularly review updates in legislation to timely take note of them and comply with regulations. Additional clarification on specific issues related to the calculation, withholding and payment of personal income tax can be obtained directly from the territorial division of the Federal Tax Service. Timely information received will prevent violations of tax laws.

Art. 226 of the Tax Code of the Russian Federation (in the new edition) establishes the specifics of the calculation of personal income tax by agents, the periods and procedure for transferring mandatory payments by them. The Code establishes that tax is paid to the budget according to special rules. Typically, personal income tax is calculated, withheld and transferred by agents - the persons from whom payers receive their income. Let's take a closer look Art. 226 of the Tax Code of the Russian Federation as amended in 2016.

General procedure

It is established by clause 1 of Art. 226 Tax Code of the Russian Federation. As provided by the provisions, the obligation to determine (calculate), withhold and transfer the amount of personal income tax to the budget fund is imposed on the entities from which or within the framework of the relationship with which the citizen (payer) received the income specified in the second paragraph of the norm in question. These persons are considered tax agents. To them, paragraph one of Art. 226 of the Tax Code of the Russian Federation refers to:

Domestic organizations.
Privately practicing notaries and lawyers.
Individual entrepreneurs.
Separate structural units of foreign companies in Russia.

The amount subject to withholding from income is calculated according to the rules of Article 224 of the Code, taking into account the special reservations provided for by the norm in question. As stated in Art. 226 of the Tax Code of the Russian Federation, the amount of tax on the profits of lawyers is calculated, withheld and transferred by colleges, legal consultations, and bureaus.

Specifics of calculus

In paragraph two of Art. 226 of the Tax Code of the Russian Federation states that personal income tax is calculated and paid on all income of the payer if its source is an agent. The exception is revenues, in respect of which the determination of amounts and their transfer to the budget is carried out according to the rules of Articles 228, 226.1, 227, 214.3-214.6 of the Code. In other cases, it is allowed to offset deductions withheld earlier, and in cases according to the rules of Art. 227.1 - taking into account the reduction by the amount of advances (fixed) paid by the taxpayer.

Special rules

The calculation of personal income tax amounts is made by agents on the day of actual receipt of income. This date is determined according to the rules of Article 223 of the Code. The calculation is made on an accrual basis from the beginning of the period. This rule applies to all income for which the rate is established, in accordance with norm 224. The exception is income from equity participation in the capital of other companies. In this case, personal income tax amounts withheld in previous months are taken into account. The tax applied to income for which other rates are established, as well as from equity participation, is calculated by agents for each income separately. The corresponding rule is provided for in paragraph three of Art. 226 Tax Code of the Russian Federation. The necessary calculation must be made without taking into account the payer's income received from other agents and the amounts withheld by them.

Income Features

As provided in paragraph 4 of Art. 226 of the Tax Code of the Russian Federation, agents are required to withhold the calculated amount of personal income tax directly from the payer’s receipts at the time of their actual receipt. A number of features are taken into account. If income is provided in kind or presented as a material benefit, withholding is made from any remuneration that is presented in cash. However, it cannot be more than 50% of the amount of money paid. Rules clause 4 art. 226 of the Tax Code of the Russian Federation are not subject to application to agents acting as credit organizations when withholding and deducting tax on income received by clients (except those who are employees) in the form of material benefits established in accordance with Article 212 of the Code.

Special cases

If it is impossible to withhold from the payer during the period of calculated tax, the agent, according to the provisions clause 5 art. 226 Tax Code of the Russian Federation, must, no later than 1.03 years following the year within which the circumstances arose, send a written notification to the control body. The notice indicates the amount from which personal income tax was not deducted and its amount. The form of notification of the impossibility of making a deduction, the amount of revenue and tax not transferred to the budget, the rules for providing the message are established by the federal executive institution authorized for fiscal control and supervision. In paragraph 5 of Art. 226 of the Tax Code of the Russian Federation separately stipulates the actions of agents - Russian enterprises that have separate divisions, classified as the largest payers, individual entrepreneurs, registered at the address of business and using UTII or the patent system. If they are unable to make proper withholding, they are also required to report this to the control authority. The notification is sent in the manner established by Article 230 (paragraph two) of the Code.

Deadlines

They are determined by paragraph 6 of Art. 226 Tax Code of the Russian Federation. As enshrined in its provisions, agents must transfer personal income tax before the date following the day the payer receives the corresponding income. If a person was paid disability benefits, child care benefits, vacation pay, calculated tax, as prescribed in paragraph 6 of Art. 226 of the Tax Code of the Russian Federation are sent to the budget no later than the last day of the period in which these revenues were received.

Place of tax payment

The total amount of personal income tax, determined and withdrawn by the agent from the payer, in relation to whom he is considered a source of income, is sent to the budget at the agent’s registration (residence) address, unless other rules are provided for in clause 7 of Art. 226 Tax Code of the Russian Federation. Domestic enterprises specified in the first paragraph that have divisions (separate) are required to make transfers both at their location and at the location of each structural unit. In the latter case, the amount of personal income tax is determined in accordance with the amount of income subject to taxation, accrued and issued to employees, as well as arising from the terms of civil contracts concluded with individuals on behalf of the enterprise. Agents who have the status of entrepreneurs, are registered at the address where they conduct business and use UTII/patent system are required to transfer the tax amounts calculated and withheld from them from the income of hired employees to the place of registration as an individual entrepreneur.

Additionally

Russian organizations that transfer allowances, maintenance, earnings, and other remuneration to military personnel and civilian personnel of the Armed Forces also act as agents within the framework of the application of the norm in question. The total amount of personal income tax calculated and withheld from these amounts is sent to the budget at the source address. income. If the amount of tax payable is more than one hundred rubles, it is transferred in the manner established by Article 226. If the value is less than the specified value, it is added to the personal income tax amount of the next month, but not later last month in the current period. The law prohibits the deduction of tax from the agent's funds. When drawing up contracts, it is not allowed to include clauses in them that imply that the source of income assumes an obligation to bear the costs of transferring payments to the budget.

Art. 226 Tax Code of the Russian Federation: comments

The obligation to calculate, withhold and send personal income tax to the budget is established for a certain category of persons. The following are recognized as agents:

domestic enterprises.
Bar associations or bureaus, legal consultations.
Permanent representative offices of foreign legal entities.
Individual entrepreneurs.
Privately practicing notaries, lawyers with offices.

These entities must fulfill the obligation established by the Tax Code every time they pay income to individuals.

Difficulties in practice

Some problems arise in determining who acts as an agent when paying royalties through an organization that collectively manages the rights of authors. Today in Russia there are several legal entities accredited to conduct this activity. These organizations accept funds from entities using copyrights. The latter act as rewards. The Ministry of Finance in one of its Letters explained that a legal entity using products of intellectual work, in relation to royalties transferred to copyright holders and authors of literary works, act as agents. Accordingly, it must fulfill all duties provided for in Chapter 23 of the Code.

Exceptions

Meanwhile, the above rule does not apply to all subjects. Paragraph two of Article 226 stipulates that the source of income in a number of cases does not fulfill the duties of an agent. The following must pay personal income tax on their own:

Persons with the status of individual entrepreneurs - from income from their activities.
Privately practicing notaries and other similar citizens - based on income earned in the process of work.

Individuals who have received income also independently perform the duties of calculating, withholding and sending tax to the budget:

Under civil law agreements that were concluded with another individual who does not act as an agent. These include, for example, lease/lease transactions.
From sources located in other countries.
From the sale of material assets owned by an individual.
In the form of winnings paid by the organizers of betting, lottery and other risk-based games.

Those citizens from whose remuneration the agent was unable to make deductions and deductions also pay personal income tax on their own. This is, in particular, typical for income received in non-monetary form. All payers mentioned above must submit a declaration to the control authority at the address of residence at the end of the period.

Scheme of calculation, deduction and transfer

Personal income tax at a rate of 13% is calculated on an accrual basis from the beginning of the period on a monthly basis. The rule applies to all income taxed under this tariff. The legislation also provides for other rates: 9, 30, 15, 35%. The calculation of these tariffs is carried out for each amount of receipts accrued to the payer separately. When making calculations, income received from other agents is not taken into account. Accordingly, taxes calculated and withheld from these revenues are not taken into account. Only funds actually paid can be included in the settlement. They can be transferred to the payer’s account or third party account (if there is a corresponding order). At the same time, the legislation establishes a limit on the amount of personal income tax. The tax amount cannot be more than half of the income paid to an individual.

Control Service Notification

It is mandatory if the agent, for one reason or another, was unable to withhold and transfer the calculated amount of personal income tax to the budget. The notification to the control body is sent as prescribed in paragraph 5 of Art. 226 of the Tax Code of the Russian Federation, no later than a month from the end of the period in which these impeding circumstances appeared. The notification must be in writing. It is sent to the agent's account address. The document must indicate the fact of the impossibility of withholding and transferring the amount of income and tax.

Nuances

In some cases, excessive amounts of personal income tax may be discovered. The law allows their return. The agent pays amounts at the request of the payer. If the tax was not withheld (partially or completely), it is subject to collection from the individual until the entire debt is repaid. In paragraph 6 of Art. 226 of the Tax Code of the Russian Federation establishes the deadlines within which the agent is obliged to transfer personal income tax.

Conclusion

The Tax Code clearly establishes the duties, rights and responsibilities of entities obliged to calculate, withhold and transfer taxes to the budget. The regulatory act strictly regulates the deadlines for compliance with regulations. As a rule, enterprises have a special department responsible for tax accounting. Individual entrepreneurs usually carry out calculations, deductions and transfers independently. The main problems in practice are related to situations where the agent, for some reason, was unable to fulfill the obligation established by the Code. In order to avoid prosecution, he must promptly notify the control body of the current situation. In this case, an individual on whose income tax has not been calculated, withheld and sent to the budget is obliged to independently perform the necessary operations. Otherwise, he may be held liable for violating tax regulations. It is worth saying that debt notifications are usually not sent to individuals whose income the agent was unable to transfer personal income tax. In this regard, citizens have to independently control the situation. Problems may also arise when the subject receives non-monetary income. As indicated by the Tax Code, as well as the Letter of the Ministry of Finance, calculation and deduction in such situations are made from other income of the person expressed in money. However, the agent must remember the limit on the amount deducted to the budget.

Lawyer in Kyiv, law firms and bureaus in Kyiv.

Text updated: 01/29/2020

1. Russian organizations, individual entrepreneurs, notaries engaged in private practice, lawyers who have established law offices, as well as separate divisions of foreign organizations in the Russian Federation, from which or as a result of relations with which the taxpayer received the income specified in paragraph 2 of this article, are obliged calculate, withhold from the taxpayer and pay the amount of tax calculated in accordance with Article 224 of this Code, taking into account the specifics provided for by this article. Tax on the income of lawyers is calculated, withheld and paid by bar associations, law offices and legal advice centers.
(as amended by Federal Laws dated December 29, 2000 N 166-FZ, dated December 31, 2002 N 187-FZ, dated July 27, 2006 N 137-FZ, dated July 24, 2007 N 216-FZ)
The persons specified in paragraph one of this paragraph are referred to in this chapter as tax agents.
(edited) Federal Law dated July 27, 2006 N 137-FZ)
Unless otherwise provided by paragraph 2 of Article 226.1 of this Code, Russian organizations and individual entrepreneurs who make payments under agreements for the purchase and sale (exchange) of securities concluded by them with taxpayers are also recognized as tax agents.

When determining the tax base for transactions with securities based on a taxpayer’s application, the tax agents specified in this paragraph take into account actual and documented expenses that are associated with the acquisition and storage of the relevant securities and that the taxpayer incurred without the participation of a tax agent.
(paragraph introduced by Federal Law dated September 29, 2019 N 325-FZ)
As documentary evidence of the relevant expenses, an individual must submit originals or duly certified copies of documents on the basis of which this individual made the relevant expenses, brokerage reports, documents confirming the fact of transfer of rights to the relevant securities to the taxpayer, the fact and amount of payment of the relevant expenses . If an individual submits original documents, the tax agent is obliged to make certified copies of such documents and store them for five years.
(paragraph introduced by Federal Law dated September 29, 2019 N 325-FZ)
2. Calculation of amounts and payment of tax in accordance with this article are carried out in relation to all income of the taxpayer, the source of which is a tax agent, with the offset of previously withheld tax amounts (except for income in respect of which tax amounts are calculated in accordance with Article 214.7 of this Code ), and in cases and in the manner provided for in Article 227.1 of this Code, also taking into account the reduction by the amount of fixed advance payments paid by the taxpayer.
Peculiarities of calculation and (or) payment of tax on certain types of income are established by Articles 214.3, 214.4, 214.5, 214.6, 214.7, 226.1, 227 and 228 of this Code.
(Clause 2 of the Federal Law of November 27, 2017 N 354-FZ)
3. Tax amounts are calculated by tax agents on the date of actual receipt of income, determined in accordance with Article 223 of this Code, on an accrual basis from the beginning of the tax period in relation to all income (except for income from equity participation in an organization, as well as income in respect of which tax amounts are calculated in accordance with Article 214.7 of this Code), in respect of which the tax rate established by paragraph 1 of Article 224 of this Code, accrued to the taxpayer for a given period, is applied, with the offset of the tax amount withheld in previous months of the current tax period.
(as amended by Federal Laws dated May 2, 2015 N 113-FZ, dated November 27, 2017 N 354-FZ)
The amount of tax in relation to income in respect of which other tax rates are applied, as well as to income from equity participation in an organization, is calculated by the tax agent separately for each amount of the specified income accrued to the taxpayer.

The tax amount is calculated without taking into account the income received by the taxpayer from other tax agents and the tax amounts withheld by other tax agents.
4. Tax agents are required to withhold the accrued amount of tax directly from the taxpayer’s income upon their actual payment, taking into account the specifics established by this paragraph.
(as amended by Federal Law dated May 2, 2015 N 113-FZ)
When paying income to a taxpayer in kind or receiving income in the form of a material benefit, the tax agent withholds the calculated amount of tax from any income paid by the tax agent to the taxpayer in cash. In this case, the withheld tax amount cannot exceed 50 percent of the amount of income paid in cash.
(as amended by Federal Law dated May 2, 2015 N 113-FZ)
The provisions of this paragraph do not apply to tax agents that are credit organizations with regard to the withholding and payment of tax amounts on income received by clients of these credit organizations (except for clients who are employees of these credit organizations) in the form of material benefits determined in accordance with subparagraphs 1 and 2 paragraphs 1 of Article 212 of this Code.
(paragraph introduced by Federal Law dated July 19, 2009 N 202-FZ)
5. If it is impossible to withhold the calculated amount of tax from the taxpayer during the tax period, the tax agent is obliged, no later than March 1 of the year following the expired tax period in which the relevant circumstances arose, to notify in writing the taxpayer and the tax authority at the place of his registration about the impossibility of withholding tax, the amount of income from which tax is not withheld, and the amount of tax not withheld.
(as amended by Federal Law dated May 2, 2015 N 113-FZ)
The form of notification about the impossibility of withholding tax, the amount of income from which tax was not withheld, and the amount of unwithheld tax, as well as the procedure for submitting it to the tax authority, are approved by the federal executive body authorized for control and supervision in the field of taxes and fees.
(as amended by Federal Law dated May 2, 2015 N 113-FZ)
Tax agents are Russian organizations with separate divisions, organizations classified as the largest taxpayers, individual entrepreneurs who are registered with the tax authority at the place of activity in connection with the application of the taxation system in the form of a single tax on imputed income for certain types of activities and (or) patent taxation system, report the amounts of income from which tax is not withheld and the amount of unwithheld tax in a manner similar to the procedure provided for in paragraph 2 of Article 230 of this Code.

(Clause 5 as amended by Federal Law dated July 19, 2009 N 202-FZ (as amended on December 27, 2009))
6. Tax agents are required to transfer the amounts of calculated and withheld tax no later than the day following the day of payment of income to the taxpayer.
When paying a taxpayer income in the form of temporary disability benefits (including benefits for caring for a sick child) and in the form of vacation pay, tax agents are required to transfer the amounts of calculated and withheld tax no later than the last day of the month in which such payments were made.
(Clause 6 as amended by Federal Law dated 02.05.2015 N 113-FZ)
7. The total amount of tax calculated and withheld by the tax agent from the taxpayer, in respect of which it is recognized as a source of income, is paid to the budget at the place of registration (place of residence) of the tax agent with the tax authority, unless a different procedure is established by this paragraph.
(as amended by Federal Laws dated December 29, 2000 N 166-FZ, dated July 27, 2010 N 229-FZ, dated May 2, 2015 N 113-FZ)
Tax agents - Russian organizations specified in paragraph 1 of this article that have separate divisions are required to transfer calculated and withheld tax amounts to the budget both at their location and at the location of each of their separate divisions.
(as amended by Federal Laws dated December 29, 2000 N 166-FZ, dated July 27, 2010 N 229-FZ)
The amount of tax payable to the budget at the location of a separate division of the organization is determined based on the amount of income subject to taxation accrued and paid to employees of this separate division, as well as based on the amount of income accrued and paid under civil contracts concluded with by individuals of a separate division (authorized persons of a separate division) on behalf of such an organization.
(as amended by Federal Law No. 327-FZ of November 28, 2015)
Tax agents - individual entrepreneurs who are registered with the tax authority at the place of activity in connection with the application of the taxation system in the form of a single tax on imputed income for certain types of activities and (or) a patent taxation system, are required to transfer calculated and withheld tax amounts to the budget at the place of registration in connection with the implementation of such activities.
(paragraph introduced by Federal Law dated 02.05.2015 N 113-FZ)
Tax agents are Russian organizations specified in paragraph 1 of this article that have several separate branches in the territory of one municipality, has the right to transfer calculated and withheld tax amounts to the budget at the location of one of such separate divisions or at the location of the organization, if the specified organization and its separate divisions are located on the territory of one municipality, independently selected by the tax agent, taking into account the procedure established by paragraph 2 of Article 230 of this Code.
(paragraph introduced by Federal Law dated September 29, 2019 N 325-FZ)
7.1. For the purposes of this chapter, tax agents are also recognized as Russian organizations that transfer amounts of allowance, salary, wages, and other remuneration (other payments) to military personnel and civilian personnel (federal civil servants and employees) of the Armed Forces of the Russian Federation.
The total amount of tax calculated and withheld by the tax agent from the specified amounts is transferred to the budget at the place of registration of the tax agent with the tax authorities.
(clause 7.1 introduced by Federal Law dated November 30, 2016 N 399-FZ)
8. The total amount of tax withheld by a tax agent from the income of individuals for whom he is recognized as a source of income, exceeding 100 rubles, is transferred to the budget in the manner prescribed by this article. If the total amount of withheld tax payable to the budget is less than 100 rubles, it is added to the amount of tax payable to the budget in the next month, but no later than December of the current year.
9. Payment of tax at the expense of tax agents is not allowed, except in cases of additional assessment (collection) of tax based on the results tax audit in accordance with this Code in case of unlawful non-withholding (incomplete withholding) of tax by a tax agent. When concluding agreements and other transactions, it is prohibited to include tax clauses in them, according to which tax agents paying income assume obligations to bear the costs associated with paying tax for individuals.
(as amended by Federal Law dated September 29, 2019 N 325-FZ)