1. Tax systems in Russia www.nordstromyurk.comwww.nordstromyurk.comRiga, Latvia 02.12.2015

2. w.nordstromyurk.comw.nordstromyurk.comRiga, Latvia 02.12.2015 General system of taxation (ОСН) Single tax on imputed income (ЕНВД) Single agricultural tax(ЕСХН) Simplified tax system (УСН)

3. www.nordstromyurk.comwww.nordstromyurk.comRiga, Latvinia 02.12.2015 Single tax on imputed income (ENVD) Basic system of taxation (ОСН) ◆ 20% incom tax, ◆ Up to 2,2% property tax, ◆ VAT up to 18%  Applicable only to certain types of activities related to the retail trade and the provision of services rendered to population: transportation and logistics. The tax is set depending on the real performance of the company.  Single tax on imputed income (ENVD) paid even if there is no income.

4. YO www.nordstromyurk.comRiga, Latvinia 02.12.2015 www.nordstromyurk.com Simplified system of taxation (УСН) Not paid:  income tax;  VAT (except of import of goods into the territory of the Russian Federation and in carrying out operations in accordance within the partnership agreement (joint activity agreement) or trust management agreement on the territory of the Russian Federation);  property tax (except of cadastred, assessed real estate).

5. YO www.nordstromyurk.comRiga, Latvinia 02.12.2015 www.nordstromyurk.com ❖ Tax rate: 6% from total revenue, or 15% defferense between revenie and expenses. Regions can vary this rate from 5% up to 15%. ❖ Amount of eployeers not more then 100. ❖ Income limit is 68.28 million rubles in 2015 (per year) due to the effect of inflation in the economy. In 2016. is expected to be 79,740 mln. rubles. ❖ net fixed assets – not more then 100 mln. ru. ❖ Share of the other organizations in the company’s charter capital - not more than 25%. ❖ Sales – not more than 60 mln. per Simplified system of taxation (УСН)

6. Unified agricultural tax YO www.nordstromyurk.comRiga, Latvinia 02.12.2015 www.nordstromyurk.com For agricultural producers with incomes of 70% of the sales of such products. The object of taxation - income reduced by expenses. Tax rate of 6%. not paid: property tax; income tax; VAT (except for import to the territory of the Russian Federation).

7. YO www.nordstromyurk.comRiga, Latvinia 02.12.2015 www.nordstromyurk.com  By default, companies are assigned to the General system of taxation  The change of the tax system can be done once a year.  It is necessary to apply to the tax office until 31 December. Period of transition Simplified taxation (УСН) – 30 days from the registration date or simultaneously; Single tax on imputed income (ЕНВД) – up to 5 days from registration date; Single agricultural tax (ЕСХН) – 30 days from the registration date or simultaneously.

8. YO www.nordstromyurk.comRiga, Latvinia 02.12.2015 www.nordstromyurk.com Tax reporting The tax year in Russia is the year ending on December 31. A Company - It is compulsory for a limited company to submit the financial statements by March 30. During the course of the year, the company is obligated to made advance payments on a monthly basis. These prepayments are based on the profit in the previous quarter. Small businesses are not obliged to make advance payments. Fines are imposed on the submission of returns after the date prescribed.

9. YO www.nordstromyurk.comRiga, Latvinia 02.12.2015 www.nordstromyurk.com LLC “Nordstrom&Yurk” 119361, Moscow, 1 st Ochakovskii side- street, 10 1157746695589 7729469234 77290101 www.nordstromyurk.com staffan@nordstromyurk.com anna@nordstromyurk.com