Common use of Account Reporting Clause in Contracts

Account Reporting. Russian residents are required to notify the Russian tax authorities within one (1) month of opening, closing or changing the details of a foreign account. Russian residents also are required to report (i) the beginning and ending balances in such a foreign bank account each year and (ii) transactions related to such a foreign account during the year to the Russian tax authorities, on or before June 1 of the following year. The tax authorities may require the Participant to provide appropriate supporting documents related to transactions in a foreign bank account. The Participant will also be required to report his or her foreign brokerage accounts and foreign accounts with other financial institutions (financial market organizations). Certain specific exceptions from the reporting requirements may apply. The Participant should consult his or her personal tax advisor to ensure compliance with applicable requirements.