Do I need to inform the Federal Tax Service about living in Armenia?

With regard to personal income tax (personal income tax), residents are individuals who actually stay in the Russian Federation for more than 183 calendar days within 12 consecutive months.

So, if you live outside the Russian Federation for more than 183 days during the year, you get the status of a tax non-resident. Moreover, the period may be interrupted. You can enter Russia back and leave it again. Days of absence will be counted cumulatively.

There are no sanctions for not reporting the loss of residency to the Federal Tax Service. But the loss of Russian residency has certain consequences: personal income tax will become 30%, and not 13% (tax on income from employment, from investment through tax deductions).

The Tax Code provides for sanctions for non-payment of taxes, so you will have negative consequences for not notifying the Federal Tax Service of the loss of residency.

You can inform the Federal Tax Service using the 3-NDFL declaration indicating the status of a tax non-resident of the Russian Federation, if you have income in the Russian Federation (work in a Russian company, sale or lease of property in the Russian Federation)

Since the declaration forms are approved by the Ministry of Finance of the Russian Federation, there are no difficulties with indicating the status of a resident / non-resident;

Tax agent - one who transfers taxes to the budget for other taxpayers and submits reports for them (employer, broker, bank).

Citizens of the Russian Federation have an obligation to notify their Russian tax agents of the change of tax residency. For example, this must be done if you, while living in another country, are employed in a Russian company, have accounts in Russian banks or with Russian brokers.

If the tax agent is not notified of the loss of the status of a resident of the Russian Federation, agents (in particular, the employer) may receive fines. In the case of the employer, this is fraught with the dismissal of the employee, and in the case of brokerage and banking services, the closure of accounts.

“How do they know that I have lost my tax residency?” - the question is very correct, and the answer is quite logical: it is simply impossible to legally cross the state border without the knowledge of the border services.

It does not matter which passport you use to cross the border of the Russian Federation (internal or foreign): the border service records this event.

Both departure from Russia and return entry into Russia are registered. Based on these marks, the number of days spent outside the Russian Federation within 12 months is calculated.

Therefore, it is risky to hope that the Federal Tax Service of the Russian Federation will not track the loss of a tax resident.

The tax authorities of most countries exchange financial information with each other: automatically or upon request.
There is an agreement between the Russian Federation and the Republic of Armenia on the automatic exchange of information within the framework of the CIS.

Such an exchange takes place in the CIS space in accordance with the Protocol on the exchange of information in electronic form between the CIS member states.

Every year, the tax administrations of Armenia and Russia exchange:

Information on declared income in the form

• dividends;
• percent;
• royalties;
• on other income received by legal entities and individuals,
• about paid taxes in electronic form;

Other information:

• on movable and immovable property;
• taxes paid in respect of such property.

A transfer from a Russian bank to an account in an RA bank discloses this account to the sending bank. If desired, the Federal Tax Service may oblige banks to prepare a list of such accounts and their owners who transfer money with the wording “transfer of own funds”.

It is impossible to hide the loss of the status of a resident of the Russian Federation:

• the fact of crossing the state border is recorded by the border services;
• there is an agreement between the Russian Federation and the Republic of Armenia on the automatic exchange of financial information;
• The Federal Tax Service has the right to request information about transactions on your bank accounts

Consequences of the cover-up

• deterioration in relations with the employer (or even loss of a job)
• fine (and penalties) of the Federal Tax Service due to the unpaid difference between “non-resident” 30% and “resident” 13%

1. Personal income tax article on the website of the Federal Tax Service of the Russian Federation
2. Article 3-NDFL on the website of the Federal Tax Service of the Russian Federation
3. Article For residents of the Russian Federation working abroad on the website of the Federal Tax Service of the Russian Federation