Ministry of Finance of Russia once again clarified in its Letter of December 23, 2021 N 03-03-06/1/105202 that when a debt obligation is terminated by debt forgiveness, there is no transfer of property or property rights.
In this regard, there is no reason to apply the tax exemption fixed in pp. 11, p.1, art. 251 of the Tax Code of Russia with regard to the income received free of charge in the form of property/property rights. Thus, the amounts of accounts payable written off by the taxpayer as a result of forgiveness should be treated as a taxable income.
|
NAZALI TAX & LEGAL |