The Ministry of Finance of the Russian Federation (the "Ministry") has clarified that the following documents may confirm that a company is applying the simplified tax system ("STS"):

  • an information letter issued by the tax authorities (an original or a certified copy); and
  • a copy of the front page of the STS tax return with a note to indicate that the tax authorities have received it.

Consequently, if a company wishes to verify whether a counter party is actually applying STS, and on what grounds it issues invoices exclusive of VAT, then the company should request that the counter party present to it these documents.

[Letter No. 03-11-06/2/75 of the Ministry of Finance of the Russian Federation, dated 16 May 2011]