The RF Ministry of Finance has informed that those taxpayers who incorrectly filled in tax payment orders before 01.01.2007 can submit an application on payment adjustment .

Letters of the RF MinFin Nr 03-02-07/2-122 of 19.12.2006; Nr 03-02-07/2-3 of 15.01.2007

The MinFin has issued a letter Nr 03-02-07/2-122 specifying the procedure of application of Art.45 of the Tax Code “Fulfillment of an Obligation to Pay a Tax or Levy” with reference to amendments introduced to this article by Federal Law Nr 137-FZ of 27.07.2006.

In particular, since January, 1st of current year, the taxpayer who inaccurately filled in tax payment orders has the right to submit to the tax body a statement about the error made (p.7, Art. 45 of the RF Tax Code). On the basis of such statement and the mutual settlements act (if any) the tax body makes a decision on adjustment of payment as of the date of actual payment of the tax and makes recalculation of penalizing interests for the period from the date of actual payment up to the date of decision-making on adjustment of payment. This order does not extend over the cases of wrong indication of account number of the Federal Treasury and the name of the payee's bank that entails non-payment of the tax to the RF budget. Such cases are considered to be a failure to fulfill an obligation to pay tax (p.4 Art 45 of the RF Tax Code).

In this letter the MinFin informs that as the provision on recalculation of penalizing interests at adjusting payments guarantees additional protection of taxpayer's rights, it has a retroactive force and extends as well on tax payment orders issued before 01.01.2007.

In addition to the abovementioned in the letter Nr 03-02-07/2-3 of 15.01.2007 the MinFin pointed out that provision of p.7 Art. 45 are not applied to compulsory pension insurance charges as legislation on taxes and charges does not regulate the procedure of their levy. The MinFin reminds as well that the Federal Law “On Compulsory Pension Insurance in the Russian Federation” does not stipulate recalculation of penalizing interests in case of incorrect filling in of the insurance payment orders.