UrBC, Yekaterinburg, January 28, 2020. Bankers at the Urals-based NEYVA Bank believe Russia’s Federal Tax Service should follow the legal procedure, based on the enforcement proceedings code, when collecting payments such as fines and taxes from private individuals, and shouldn’t cut corners trying to contact the banks directly.

It transpired earlier this week that the Federal Tax Service started fining Russian banks for their refusal to process payments involving the private (rather than the business) bank accounts of self-employed customers in case the latter fail to make their payments (insurance premiums, fines, taxes and so on) on time. The media reported the banks were going to protest the Service’s fines in court.

The banks’ representatives also feel the Federal Tax Service should follow the legal procedure and shouldn’t cut corners trying to contact the banks directly.

‘If a self-employed Russian national has to make certain payments to the government, withdrawing these amounts from their personal account seems logical (as sole traders’ business liability extends to their personal assets). However, the withdrawal procedure must be based on the enforcement proceedings code, so we believe this is what the Federal Tax Service should follow rather than try to cut corners trying to contact the banks directly. As for NEYVA Bank, we do not feel obliged to comply with the Service’s demands of this nature,’ Chair of the Board at NEYVA Bank Pavel Yefremov told UrBC.