Special Aspects of the Legislation - Heveya

Special Aspects of the Legislation

Pursuant to Part 3 of Article 62 of the RF Constitution, as well as in accordance with the provisions of the Federal Law ‘On the Legal Status of Foreign Citizens’, non-residents in the Russian territory shall have the same rights and obligations as the residents of the Russian Federation, unless otherwise established by the federal laws or any international treaties.
Both an individual and a legal entity (company) may be a buyer.

1. Purchase of Immovable Property and Land Plots

In Russia it is allowed for non-residents of the Russian Federation to buy immovable property and land plots, including for commercial activities.

To make an immovable property (including land plots) sale and purchase transaction, a non-resident of Russia, an individual shall have:
Passport;
Notarized translation of the passport;
Visa (required if the country from which the buyer arrives has an open visa regime with Russia);
Documents, proving the official stay of a citizen in the Russian territory (for visa-waiver countries);
Document on registration in the territory of the Russian Federation (registration can be both permanent and temporary). It is important not only these documents, but also the legality of the buyer's staying in the territory of the country, including compliance with the deadlines thereof. In case of a visa, the deadline is set forth in this document for citizens of visa-waiver countries. It is a maximum of 90 days upon entry. In case if a representative acts on behalf of the buyer, the duly executed power of attorney shall be required. The power of attorney shall be translated into Russian, with the obligatory notarisation of the translator's signature.
To make a sale and purchase transaction, where a buyer is a non-resident of Russia, a legal entity (company) shall have:
Constituent documents of the legal entity (company) under the laws of the country of staying.
Notarized translation of the constituent documents*.
Power of attorney for a representative.
Notarized translation of the power of attorney*.
Representative’s passport.
Notarized translation of the representative’s passport*.

Restrictions on transactions with immovable property and land plots:
In Russia, there are restrictions on the purchase of:
- Land plots in the border areas.
- Land plots of agricultural purpose (it is possible to get land for a long-term lease)**.
- Land plots of the forest fund (it is possible to get land for a long-term lease)**.
- Water resources (it is possible to get for a long-term lease)**.
- Land plots for mining (it is possible to get for a long-term lease)**.
- Land plots and immovable property in the territories, closed for residence of non-residents of the Russian Federation.


2. Purchase of Equipment, Machinery and Movable Property.

The equipment and machinery are purchased under the sale and purchase agreement, entered into between the legal entity (company) or an individual without state registration.


To make a movable property sale and purchase transaction, a non-resident of Russia, an individual shall have:
Passport
Notarized translation of the passport*.
Notarized power of attorney for a representative.
Notarized translation of the power of attorney*.
To make a movable property sale and purchase transaction, where a buyer is a non-resident of Russia, a legal entity (company) shall have:
Constituent documents of the legal entity (company) under the laws of the country of staying.
Notarized translation of the constituent documents*.
Power of attorney for a representative.
Notarized translation of the power of attorney*.
Representative’s passport.
Notarized translation of the representative’s passport*.

* - Our company notarizes the documents.
** - In case of transactions with immovable property units and land plots with regard thereto there are the restrictions the property shall be purchased by a trusted company of a RF resident. A long-term lease agreement shall be entered into with a non-resident with the subsequent registration of the agreement with the Registration Chamber of the Russian Federation.