Russian investors convert over 60,000 individual investment accounts in 2024

MOSCOW. March 13 (Interfax) - Russian investors converted 62,000 old individual investment accounts (IIA) last year to the new type introduced in January 2024, the Finance Ministry reported.

About 605,000 IIAs were opened in 2024 and 33,200 were opened in January, Deputy Finance Minister Ivan Chebeskov said at the Image of the Stock Market strategic session.

The law to introduce the new type of IIA, the IIA-3, went into effect on January 1, 2024. This instrument combines the tax benefits of the IIA-1 and IIA-2 (the sum of contributed funds and the sum of investment returns), but the minimum duration of investment required to qualify for them increases to 10 years. Accounts of the first two types opened prior to 2024 can continue to be used on the previous terms, or they can be converted to an IIA-3 with the period for which they have been held counted toward the qualifying duration.

Investors must notify the Federal Tax Service about account conversions themselves in order to continue to qualify for the tax breaks.