18 Jul 2012 14:03

Federation Council passes law on automobile recycling fee

MOSCOW. July 18 (Interfax) -The Federation Council or upper house of Russia's parliament approved a law to introduce an automobile recycling fee.

The new law amends the Law on Industrial and Household Waste and Article 51 of the Budget Code.

It says that the recycling fee will be levied on each means of transportation imported into Russia or made in Russia for the purpose of guaranteeing environmental safety.

The government is to decide on which transportation means the fee would be charged.

The law makes the fee payable by parties importing motor vehicles into Russia and manufacturing motor vehicles in Russia. It will not be levied on transportation means imported into Russia as the personal property of private individuals who participate in the state program for compatriots relocation; motor vehicles imported and owned by diplomatic and consular services, and their staff; motor vehicles older than 30 years that are not intended to carry passengers, baggage or cargoes under commercial agreements, and have an original engine, cabin, and have been conserved and restored to their original form (the types of such vehicles are to be defined by the government). The fee would be paid by parties that acquired the above-listed motor vehicles in Russian territory.

The fee will not be levied on motor vehicles made by organizations that have assumed the obligation to ensure the subsequent safe waste handling, that are imported from members of the Customs Union within the framework of the Eurasian Economic Community and have the status of Customs Union goods; on cargo carriers registered in the Kaliningrad region that come under the customs procedure of free customs zone until April 1, 2016.

The law requires that vehicle registration certificates would be issued only for motor vehicle on which the recycling fee was paid.

The cost to be borne by organizations and private companies that would engage in motor vehicle disposal on their own would be compensated from the federal budget within the size and under the procedure establish by the government in line with the budget legislation. Requirements to organizations and private companies would be established by the government.

No duty would be levied on owners of motor vehicles who hand their motor vehicles over for disposal.

The disposal fee under has the status of non-tax revenue for the federal budget.

The law takes effect on August 1, 2012. The fee will not be levied on motor vehicles whose registration certificates were issued before August 1, 2012.