Taxes and the Russian IIA
Income tax on dividends and trades, the third-generation individual investment account, long-term ownership relief and loss offsetting.
12 articles
The contribution deduction: where the refunded money comes fromThe refund is capped by the tax you have already paid. That is the most common disappointment on a first claim.
What can be done lawfully: the order of operations for reducing taxFive techniques, each explicitly provided for by law, and one principle that matters more than all five.
Qualified investor status: what it unlocks and what it costsA formal test granting access to instruments considered complex. The requirements have risen and keep rising.
Tax on funds: where the relief works and where it does notA fund pays no tax on the transactions inside it — and that, rather than the fee, is the main argument in its favour.
When an investor has to file a tax returnThe broker covers most of the obligations but not all. The list of cases where you file yourself.
Tax residency: why it matters more than citizenshipThe rate is set by days spent in the country rather than by a passport, and it changes retroactively for the whole year.
Tax on coupons: how it changes the choice of bondCoupon income is taxed in full, which makes comparing issues by coupon rate even less meaningful.
Tax on dividends: why less arrives than was declaredThe company declares a pre-tax figure, the broker withholds at payment, and almost nothing reduces that base.
Offsetting losses: how a losing trade lowers the taxGains and losses inside one tax base add up, while carrying a loss forward requires filing a return.
Long-term ownership relief: paying no tax without arranging anything in advanceThree years of holding exempt a substantial part of the gain from tax — and no special account is needed.
The third-generation IIA: what it gives and what it restrictsA Russian account carrying two tax reliefs at once — in exchange for a term during which the money cannot be taken out without losing everything received.
Investor income tax: what is taxed and when it is withheldThree separate grounds for tax — selling securities, dividends and coupons — are calculated differently and at different times.