Nominee director and his tax liability
Posted: Tue Jan 28, 2025 6:52 am
Nominee director and his tax liability
A nominal director may be held liable under Article 199 of the Criminal Code if there is evidence of the company evading taxes and/or fees. A fine of up to 300,000 rubles, correctional labor, or imprisonment for up to two years, followed by deprivation of the right to hold certain positions for a certain period, and under aggravating circumstances (prior conspiracy, especially large amount), the punishment is significantly tougher (Article 199 of the Tax Code).
The same punishment will be applied in case of failure to fulfill the duties of a tax agent (Article 199.1 of the Tax Code). If false information about a legal entity is provided to the tax authority, then the provisions of paragraph 4 of Article 14.25 of the Code of Administrative Offenses will apply. If intent is proven, then the guilty person faces a fine of up to 300,000 rubles, correctional labor, or imprisonment for up to two years (Part 1 of Article 170.1 of the Criminal Code).
It is also worth keeping in mind that albania email list Article 14.25.1 of the Code of Administrative Offenses provides for liability for failure to fulfill the obligation to establish and provide information about the actual owners of a legal entity.
Subsidiary liability of a nominee director
Subsidiary liability of a nominee director
This type of liability occurs when a bankruptcy procedure is conducted in relation to a legal entity. If a company is declared bankrupt, the Federal Tax Service draws up a register of debts to employees and other creditors. Then a list of sources from which the resulting amounts of debt can be repaid is determined. These are not only the company's accounts, but also the personal finances of the director: both real and nominal.
If you study the judicial practice, you can find precedents according to which nominal directors of companies, including LLCs, were brought to financial liability. In this regard, when agreeing to such an adventure, you should be prepared for the emergence of similar risks.
It would not be entirely fair if only the nominal director were held liable. That is why all persons involved in the management of the company are punished: the owner, the fictitious director and the real manager who, in fact, supervised the actions of the front man.
The amount of punishment provided for the nominal manager may be reduced if he cooperates with the investigation and provides documents confirming his fictitious participation in the company's activities. In other words, the nominal manager, by giving evidence, will set up the real manager.
A nominal director may be held liable under Article 199 of the Criminal Code if there is evidence of the company evading taxes and/or fees. A fine of up to 300,000 rubles, correctional labor, or imprisonment for up to two years, followed by deprivation of the right to hold certain positions for a certain period, and under aggravating circumstances (prior conspiracy, especially large amount), the punishment is significantly tougher (Article 199 of the Tax Code).
The same punishment will be applied in case of failure to fulfill the duties of a tax agent (Article 199.1 of the Tax Code). If false information about a legal entity is provided to the tax authority, then the provisions of paragraph 4 of Article 14.25 of the Code of Administrative Offenses will apply. If intent is proven, then the guilty person faces a fine of up to 300,000 rubles, correctional labor, or imprisonment for up to two years (Part 1 of Article 170.1 of the Criminal Code).
It is also worth keeping in mind that albania email list Article 14.25.1 of the Code of Administrative Offenses provides for liability for failure to fulfill the obligation to establish and provide information about the actual owners of a legal entity.
Subsidiary liability of a nominee director
Subsidiary liability of a nominee director
This type of liability occurs when a bankruptcy procedure is conducted in relation to a legal entity. If a company is declared bankrupt, the Federal Tax Service draws up a register of debts to employees and other creditors. Then a list of sources from which the resulting amounts of debt can be repaid is determined. These are not only the company's accounts, but also the personal finances of the director: both real and nominal.
If you study the judicial practice, you can find precedents according to which nominal directors of companies, including LLCs, were brought to financial liability. In this regard, when agreeing to such an adventure, you should be prepared for the emergence of similar risks.
It would not be entirely fair if only the nominal director were held liable. That is why all persons involved in the management of the company are punished: the owner, the fictitious director and the real manager who, in fact, supervised the actions of the front man.
The amount of punishment provided for the nominal manager may be reduced if he cooperates with the investigation and provides documents confirming his fictitious participation in the company's activities. In other words, the nominal manager, by giving evidence, will set up the real manager.