Russia excludes Cyprus from black list  
 An order of the Russian Ministry of Finance dated 21 August 2012 No. 115n, registered in the Ministry of Justice of the Russian Federation on 25 October 2012 No.25728 removing Cyprus from its so called “black list” has been published. The removal is effective as of 01 January 2013.

Among other things, this has significant tax planning implications in that dividends received by Russian companies from their Cypriot subsidiaries will be tax-free, provided that the recipient has held continuously for at least 365 days not less than a 50% equity interest in the Cypriot subsidiary. It is noted that the presence of Cyprus in the black list meant that such dividends were taxed in Russia at the rate of 9%.