Annual review of SME register

In July tax authorities perform their annual review of Small and Medium-Sized Enterprise Register (hereinafter referred to as «the SME Register»).

In addition to other support measures, membres of the SME registry are entitled to apply a reduced rate of insurance contributions — 15% instead of the standard 30%. The main condition is that the proncipal activity must be included in the Russian Government's priority list, and the share of income from this type of activity must account for at least 70% of the company's total income.

Companies with a predominant foreign participation will stay in the SME Register only if an auditor submits the required information about them to the tax authorities from 1 to 5 July 2026.

The following eligibility criteria are applied to a Russian company:

• revenue does not exceed 2 billion rubles per year
• average number of employees a year does not exceed 250 people.

A foreign shareholder owning more than 49% of the Russian legal entity should also meet these criteria and not be registered in an offshore zone.

We remind you that the list of offshore zones has been significantly expanded and currently features European Union countries, the United Kingdom, the United States, Japan, etc.

The fact that a foreign shareholder complies with the requirements should be confirmed by an auditor. So we recommend Russian companies to prepare in advance the respective documentation, incl. financial statements of the foreign shareholder for 2025.

Bellerage consultants and auditors will gladly assist you with checking if your company is eligible for the SME Register and/or verifying the foreign shareholder's statements.