Federal tax service will manage insurance fees to the state non-budgetary funds

Since January 1, 2017 the Federal tax service (FTS) will proceed with managing of insurance fees to the Pension fund of the Russian Federation (PFR), Social Insurance Fund of the Russian Federation and Federal Compulsory Medical Insurance Fund (FCMIF). This is fixed by two Federal laws as of 03.07.2016 №243-FL and 03.07.2016 №250-FL.

The new order provides:

• registration as insuring party for mandatory pension insurance in the Pension fund only for the purpose of filing the personified reports. FTS will give all registration data of companies and their separate subdivisions, individual entrepreneurs and other taxpayers;
• continuation of registration of companies and entrepreneurs as insuring parties for compulsory health insurance in FCMIF as from registration in FTS. Procedure of registration is unchanged;
• keeping the insuring parties registration in the Social insurance fund based on the data from tax authorities. Separate subdivision and individual entrepreneurs entered with natural person into civil or labor contract with a condition of fees payment are registered in the Social Insurance Fund through filing of the relevant application.

In case of registration as of January 1, 2017 companies and individual entrepreneurs are not obliged to file any additional applications.

The procedure of reporting was also amended.

Annually up to March 1 (since 2018) it is required to provide the Pension fund authorities with data for personified record keeping of all natural persons entered into civil or labor contract. These data have to include the following: insurance individual account number (SNILS); first name, patronymic, surname; hiring or leaving date; date of entering into civil contract requiring fees payment or its termination; periods of activity included in labor experience by the relevant activity types; amount of fees paid for the employee under the system of non-mandatory non-state pension provision; other information necessary for granting non-contributory and funding pension.

When the employee has a right to a pension, the employer is obliged to provide personified data to the Pension fund of Russia within 3 consecutive days after the application receiving date.

Procedure and delivery time for reporting to the Social Insurance Fund authorities remain the same.

It will be necessary to inform tax authorities of salaries and charged pension and medical payments as parts of insurance fees, as well as report on insurance fees for compulsory social insurance as to temporary disability and maternity.

From 01.01.2017 the Social Insurance Fund will continue to take charge of fees for occupational injury and disease insurance.

All non-budgetary funds will keep an obligation to supervise over reporting periods expired before 01.01.2017.

In general, amendments are aimed at simplifying the system of payments managing and economy of budget expenses. Rates of insurance, including benefits, are unchanged. The existing four forms of insurance fees reporting will be united into a unified form. There will be one inspection authority with unified regulations. Information on insurance fees managing is obliged to be added to the taxpayer’s personal account.