Baker McKenzie’s Sanctions Blog published the alert titled “Russia imposes additional economic measures to ensure financial stability of Russia” on 2 March 2022. Read the article via the link here. Please also visit our Sanctions Blog for the most recent updates.

Through an initial public offering, listing either in its home jurisdiction or cross-border, a renewable energy company can access major global finance hubs and capital from a deep pool of investors around the world. An IPO can help a company raise its profile with customers, suppliers and the media, as well as providing it with an opportunity to improve internal systems and controls, and increase the general operating efficiency of the business as it prepares to comply with the relevant regulatory scheme for public companies.

On 28 January 2022, the Russian Ministry of Foreign Affairs notified the representative office of the European Union about the expansion of the list of representatives of EU member states and institutions prohibited from entering the territory of the Russian Federation. The names of the banned persons did not become public. No economic sanctions have been imposed against them.

On 24 December 2021, the Council of the Eurasian Economic Commission proposed to extend the availability of national registration of medical devices in parallel with union-wide registration for one more year, until 31 December 2022 rather than until 31 December 2021, as it was set to happen previously .This extension requires an amendment into the Agreement on Uniform Principles and Rules for the Circulation of Medical Devices in the Eurasian Economic Union (EAEU) dated 23 December 2014. As a result, all EAEU member states should now ratify this amendment.

Russian Federation: New reporting – Requires that foreign companies to disclose direct and indirect shareholders

On 25 November 2021, the new draft bill was registered in the State Duma providing for the extension of the exclusive competence of Russian arbitrazh (commercial) courts. The future amendments will provide the right for Russian persons to file a lawsuit against a foreign person who directly or indirectly contributed to the adoption of restrictive measures.

In July 2021, Russia adopted its first ever law on reducing greenhouse gas emissions (“Core GHG Law”). The Core GHG Law establishes the framework for federal-wide mandatory carbon reporting and voluntary climate projects. It does not set a price on carbon — either as a carbon tax or as an emission trading system.

On 22 November 2021, significant changes to the Russian Labor Code came into force regarding the use of electronic documents in labor relations. Now, employers have the right to use an electronic workflow in relation with employees without duplicating personnel documents on paper. With regard to distant employees (for whom an electronic workflow was introduced on 1 January 2021), employers can either continue to use the previously introduced workflow procedure (including the exchange of documents by email) or apply the rules established by the new law.

Countries have been setting goals for net zero greenhouse gas emissions by 2050s, and intermediate objectives for cuts by the 2030s. The energy transition plays a fundamental part in achieving net zero.

On 1 July 2021, Russia adopted a paradigm-shifting law that establishes, among other things, new physical presence requirements for major foreign technology companies doing business in the Russian Internet space. Affected technology companies are required to open either a representative office, a branch, or a subsidiary in Russia. This article provides a brief overview of this radical regulatory development and its Russian tax implications, reviews the compliance alternatives, and suggests means to mitigate the associated tax risks.