Amendment of forex regulations were going to be talked in Russian lower house assembly (State Duma) on 19th March. However, a day before the hearing scheduled, it was suspended to unspecified later date. Yesterday (7/4) forexmagnates reported that the bill has reentered State Duma's calendar for a second hearing on April 23. Another tidbit has been included on the report, that is brokers based on certain offshore financial centres might not be welcomed by the new bill.

Amendment of forex regulations were going to be talked in Russian lower house assembly (State Duma) on 19th March. However, a day before the hearing scheduled, it was suspended to unspecified later date. Yesterday (7/4) forexmagnates reported that the bill has reentered State Duma's calendar for a second hearing on April 23. Another tidbit has been included on the report, that is brokers based on certain offshore financial centres might not be welcomed by the new bill.

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Previously, it was said that two crucial points are going to be raised on the bill. The first is advertising restrictions related to forex businesses. The second is leverage cap which probably going to be settled on 1:50. There are also rumours that President Vladimir Putin himself wants the forex bill. Add to that, this new piece on the puzzle, then we may expect a particularly shocking forex bill.

Forexmagnates disclosed that there may be some points in the amended forex bill with aim to limit the participation of brokers residing in offshore financial centres (OFCs). The list might be taken from list of states and territories providing preferential tax regime and (or) do not provide disclosure and information during financial investigations (in other words: offshore tax haven). Cyprus, the capital city of forex industry, is excluded from the list, but there are more than 40 other locations on the list of places considered as offshore tax haven by Russian Ministry of Finance.

  1. Anguilla
  2. The Principality of Andorra
  3. Antigua and Barbuda
  4. Aruba
  5. Commonwealth of the Bahamas
  6. Kingdom of Bahrain
  7. Belize
  8. Bermuda
  9. Brunei Darussalam
  10. The Republic of Vanuatu
  11. British Virgin Islands
  12. Gibraltar
  13. Grenada
  14. Commonwealth of Dominica
  15. Hong Kong and Macao
  16. Island of Anjouan (Comoros)
  17. The Republic of Liberia
  18. The Principality of Liechtenstein
  19. The Republic of Mauritius
  20. Labuan Island (Malaysia)
  21. Republic of Maldives
  22. The Republic of Malta
  23. Republic of the Marshall Islands
  24. Principality of Monaco
  25. Montserrat
  26. The Republic of Nauru
  27. Netherlands Antilles
  28. Republic of Niue
  29. United Arab Emirates
  30. The Cayman Islands
  31. Cook Islands
  32. Turks and Caicos Islands
  33. Republic of Palau
  34. The Republic of Panama
  35. Republic of Samoa
  36. Republic of San Marino
  37. St. Vincent and the Grenadines
  38. Saint Kitts and Nevis
  39. St. Lucia
  40. Isle of Man and Channel Islands (Guernsey, Jersey, Sark, Alderney)
  41. Republic of Seychelles.

Well, now, that is what we call an extremely long list. We have to admit that we never thought that there are so many tax havens in the world. Some are quite surprising, while some others predictably included in it. Unfortunately, some of the most popular brokers HQ are there too, such as Malta and St. Vincent and the Grenadines. We are sure that it is just coincidence that we have just mentioned them yesterday in relation with other issue. On the other hand, we are not sure when and if Russia is actually going to officially approve and enforce the bill. Like you, we are awaiting further reports from Russia.