Unauthorized trade (article of the Code of Administrative Offenses) - the sale of goods or food products outside the premises:

• from cars, trailers;
• from independently set up tents;
• from trays directly on the ground, sidewalks, along roads.

Pensioners, migrants, illegal entrepreneurs are engaged in unauthorized trade. Unauthorized street trade in an unidentified place creates a negative image of the city, litters the territory, and is conducted in violation of sanitary standards.

The illusion of the harmlessness of unauthorized trade

Often, unauthorized trade is conducted directly from the ground. Street sellers do not have any permits or sanitary books confirming the safety of the purchase. Thus, in case of unauthorized trade, there are no documents confirming the safety of food and industrial goods.

Behind a grandmother selling knitted things or greenery on the street, there are often dealers who put the trade on the stream. Similar facts of unauthorized trade have been repeatedly disclosed by law enforcement officials.

District police officers carry out raids on the assigned territory, with the task of identifying places where unauthorized trade is present. Persons leading illegal sale, are warned about the unlawfulness of the actions being taken and must vacate the wrong places. In the event of a refusal, police squads are called in, administrative violation protocols are drawn up on offenders, and fines for unauthorized trade are imposed.

Where to report unauthorized trade

In some cities of the country, street trading is completely prohibited. You can get information about whether it is allowed to trade on the streets of your city in the district department of the consumer market. You can complain about unauthorized trade to the district administration of the city, the Ministry of Internal Affairs (Department or Department of Economic Security), law enforcement agencies (police), tax service. A complaint about unauthorized trade can also be directed to the prosecutor.

In Moscow, you can complain about unauthorized trade to the same authorities. You can leave a message about unauthorized trade in St. Petersburg on the website of the Administration http://rgis.spb.ru/map/PromoMapPage.aspx

Unauthorized trade: article of the Code of Administrative Offenses of the Russian Federation

Legislation presupposes some liability for unauthorized trade. Its implementation without registration by citizens of an individual entrepreneur or the status of a legal entity entails the imposition of a fine for unauthorized trade from 500 to 2000 rubles.

Doing business without a license, if its presence is required, is punished in the following order:

• citizens can pay 2000-2500 rubles;
• officials - 4000-5000 rubles;
• legal entities- 40,000-50,000 rubles.

In addition to the fine, products, raw materials, and equipment are subject to confiscation. Trading activity in violation of the license (if any) entails a fine:

• RUB 1500-2000 from citizens;
• 3000-4000 rub. with officials;
• 30,000-40,000 from legal entities.

Entrepreneurial activity with gross violations of the license entails the suspension of an individual entrepreneur for up to 90 days.

• • • • Related business ideas:

What is outdoor trade? What are the rules for organizing trade in goods on the pedestrian zone? We read in this article ...

Characteristics of outdoor trade (street trade)

Sale of goods outside the premises, non-stationary trade, trade "from wheels" and trailers, from trays and tents in specially designated areas, in another way is called "street trade". It should be noted that we are not talking about street trading with the sale of goods in specialized food markets, where "ordinary pensioners" sell products from their personal subsidiary plots (onions, potatoes, tomatoes, etc.). The local authorities turn a blind eye to such trade, and no one will touch the grandmothers. It's another matter if a private person with his tent stands somewhere in the city center or on the roadway, without any permits and approvals, and sells anything. For example, there is a common method of illegal street trading, in which vegetables and fruits are purchased from wholesalers and then resold right on the sidewalks and roadsides without any sanitation standards.

Therefore, I propose to study this issue from the point of view of the law. What will happen if you organize trading on simple principle- “I took any product, stood in any place and trade as much as I want”? Let us examine the points: - According to the Code of the Russian Federation on Administrative Offenses, Art. 14.1, implementation entrepreneurial activity without state registration as individual entrepreneur or a legal entity shall entail the imposition of an administrative fine in the amount of 500 to 2000 rubles; - According to the same Code of Administrative Offenses of the Russian Federation, Art. 14.4, the sale of goods that do not correspond to the samples in quality entails the imposition of an administrative fine on citizens in the amount of 1,000 to 2,000 rubles, on officials - from 3,000 to 10,000 rubles; for persons engaged in entrepreneurial activity without legal entity formation, - from 10,000 to 20,000 rubles; for legal entities - from 20,000 to 30,000 rubles; - The rules for organizing outdoor trade are present in the legislation of the constituent entities of the Russian Federation, therefore, the amount of fines and administrative penalties for trade in unidentified places are regulated by local laws. Usually the penalty for trading in an unidentified place is from 500 to 1500 rubles.

Why are the authorities so disliked by "chaotic" street trading? Yes, because it poses a threat to the sanitary and epidemiological well-being of the population, fire and road safety.

Moreover, many entrepreneurs who legally organized their business do not like street "illegal immigrants" who set up their stalls near their side without any approval from the administration. And, often, precisely on the appeal of private entrepreneurs and businessmen, this chaos of illegal street trade is somehow controlled.

A good alternative to street trading is online trading. You don't have to open an online store to do this. You can create your own VK group, for example, or use message boards such as Avito. If you know how to organize trade, you can get stable income on message boards.

Bodies controlling street trade

The main regulatory authorities overseeing compliance with outdoor trade rules are the local administration, Rospotrebnadzor (SES), tax and police authorities. Rospotrebnadzor and police officers can draw up protocols for violation of street trading rules, and tax officials for illegal business activities.

For a more detailed study of the rules for conducting inspections by regulatory authorities, we advise you to read the Federal Law of December 26, 2008 N 294-FZ "On the Protection of the Rights of Legal Entities and Individual Entrepreneurs in the Exercise of State Control (Supervision) and Municipal Control."

Which taxation system to choose

1. Registration as individual entrepreneur(Individual entrepreneur) or a legal entity (LLC) in the Federal Tax Service (tax), since it is not possible for a private person to obtain permission for street trading. Tax regime - UTII or STS;

2. Registration with the Pension Fund (pension fund) and the FSS (social insurance fund) as an employer if you plan to hire salespeople; 3. Submitting an application to the trade department of the local administration to obtain permission to travel or street trade. As a rule, the following documents will be required to be attached to the application:

• Location plan (or map) of a mobile object;
• A copy of the certificate of state registration as an individual entrepreneur or legal entity;
• A copy of the certificate of registration with the tax authority;
• A copy of the charter for legal entities;
• A copy of the applicant's identity document;
• Certificate from the tax office about the absence of tax arrears to the budget.

It should be noted that a permit can be obtained only in certain places, according to the territorial plan for the placement of non-stationary shopping facilities, and not where you want. This plan is approved by the local administration. 6. Start trading activities... Do not forget that when selling food products, all established norms should be observed, for example, sellers must have health books. And if you plan to trade in meat, then also a veterinary certificate of form No. 2 for products.

How much can you earn on street trading

1. Sale chicken eggs has 100% profitability. When selling 100 eggs per day, you can get more than 500 rubles. net profit.
2. The mark-up for vegetables and fruits is over 150%. Selling rare and expensive vegetables (asparagus, arugula, salads, etc.) can earn over 400 thousand rubles per season. from 15 acres of land.
3. Opening of a point for the sale of honey is rightfully considered a profitable business. Honey is very useful, has excellent taste and practically does not spoil.

To get a high income from street trading, it is necessary to correctly determine the cost of products. To do this, you will need to estimate your time and add the price to the money spent. If you use actually produced or grown goods, you need to determine how much time will be spent on production and sale. The markup for the goods depends on the demand and seasonality. For example, a bunch of fresh herbs or a kilogram of carrots in early spring will cost much more than in summer, homemade eggs will bring several times more income in winter

How much money is needed to implement a business

Street trading can be organized without the initial capital; one has only to sell vegetables, fruits and berries grown with his own hands. To sell products you will need:

• Disposable plastic containers- from 2 rubles apiece;
• Small table - from 500 rubles. (can be made by yourself)

When selling other goods, funds will be required to purchase them. A certain amount is needed for almost starting any business of your own. Having a small capital, it is very profitable to do investments in new buildings... If you approach investing correctly, then you will not need large investments for it.

How to choose equipment for business

You can make a table or rack yourself from natural wood... You can also purchase inventory made of artificial materials.

Which OKVED to choose when registering

• 12 - other retail sale in non-specialized stores;
• 33 - retail trade in cosmetics and products, perfumery;
• 62 - retail trade in a tent, market;
• 63 - other retail trade;

What documents are needed to open an activity

To obtain a permit for street trading, you must provide:

1. IP registration certificate.
2. Sanitary and Epidemiological Conclusion for Food Trade.
3. The list of products agreed with the SES.

Do I need a permit to conduct street trading

When trading on the "spontaneous market" goods that do not require licensing, additional permits are not required.

When deciding to go into business, not all people think about the legality of their actions. After all, trading without permission can lead to serious consequences.

The least that can get off unscrupulous entrepreneur, this is a fine for trading without registering an individual entrepreneur under the Code of Administrative Offenses. Tax liability may also be imposed, consisting in penalties in the form of a percentage of income. A serious consequence is considered a criminal punishment not only in the form of monetary compensation, but also compulsory work or arrest.

Dear Readers! The article talks about typical ways solutions legal issues but each case is different. If you want to know how solve your problem- contact a consultant:

APPLICATIONS AND CALLS ARE ACCEPTED 24/7 and WITHOUT DAYS.

It's fast and IS FREE!

If the scale of the activity is extensive, and the income pays good dividends, then the arrest can be replaced by imprisonment.

Despite the fact that it is not easy to prove the wrongfulness of a person's actions, checks can severely undermine psychological condition entrepreneur and his reputation. One customer complaint is enough to start the proceedings.

An entrepreneurial activity officially registered with the tax authorities gives a number of advantages to a person. Therefore, working legally is not only calmer, but also more profitable.

Position of the law

Illegal business activity is detected when selling goods or providing services without having special permission... It is issued by the tax authorities. At the same time, an important condition for illegal entrepreneurship is the absence of contributions to the treasury in the form of income tax.

The concept also includes activities in the course of which prohibited goods and services are sold that may cause an interethnic conflict or affect copyright.

Liability for unlawful acts is provided for at the legislative level by several normative legal acts.

Therefore, a person who is illegally conducting business can be held liable:

• administrative;
• tax;
• of a criminal nature.

Often, sanctions are expressed in the form of fines, but sometimes, if the fact of making a profit on an especially large scale is revealed, the entrepreneur may be detained

Basic moments

If a person decides to engage in certain activities for the purpose of making a profit, it is worth finding out the legality of their actions. In the normative legal acts, the concepts of legal and illegal business are noted. Also, many want to find out if payments can be avoided and how to do it.

The borders of illegal trade

The concept of illegal trade is legally defined.

The types of such activities include:

• illegal sale of goods and sale of services;
• violation of copyright in the implementation of sales;
• conducting activities aimed at disrupting relations between nationalities and other objects of society;
• insult and humiliation of the honor and dignity of citizens;
• trading activities without a specially issued permit;
• lack of a license for the sale of certain groups of goods (explosive substances, medicines).

But there are also some types of trade that do not require registration. These include the sale of handicrafts. In this case, the seller must occupy no more than one place in the market. In this case, in order to carry out the activity, it is necessary to conclude an agreement for the permission of trade with the market director.

There are several types of relationships that are not considered illegal:

• an agreement for the provision of services for a fee (taxes, contributions of the Pension Fund and Social Insurance Fund are obligatory);
• work contract with the payment of taxes by the contractor;
• an agency agreement involving work for remuneration;
• order agreement;
• commission agreement.

It is important that the guarantor has a power of attorney for the right to conduct business.

Is it possible to get away from payments

In most cases, it is impossible to evade responsibility for illegal activity without registering an individual entrepreneur. After all, unauthorized trade is closely monitored by the state as part of a program to combat illegal entrepreneurs.

Every year, new laws appear that clearly and rigidly prescribe the requirements for new entrepreneurs.

Persons who decide to trade legally do not regret their intention to arrange everything according to the rules. After all, in the end, they can have permission and not be afraid that measures will be taken against them.

Consequences of violations

When conducting illegal business activities, various sanctions may be applied.

One of the less serious penalties is a fine for retail trade without registering an individual entrepreneur. If the violation is serious, and the profit in the course of the work is large, then sanctions in the form of forced labor and imprisonment may be applied to the violator.

The financial side is not the only one among the consequences of illegal activities. In addition to compensation for damage, the offender is also liable to citizens. He will have to compensate for the harm to health and life that people have suffered as a result of illegal activities.

The amount of penalties for trading without registration of an individual entrepreneur

Penalties for entrepreneurs engaged in illegal trade can be different.

The amount of the fine is calculated based on some factors:

• In the absence of a permit to carry out activities issued by the tax authorities, the person will have to pay a fine. If the seller does not have the status of an individual entrepreneur or LLC, minimum amount is 500 rubles... For serious violations, the size increases to 2,000 rubles.
• If an officially registered individual entrepreneur sells goods without a license, then the products are subject to confiscation. Also, the head of the company will be fined up to 5,000 rubles.
• In the absence of a license to sell the goods of the LLC, the amount of the fine increases significantly. Minimum size is 40,000 rubles.
• A businessman who does not comply with the requirements developed for individual entrepreneurs can be punished. For minor violations, the fine will be calculated within 1,500 rubles... If the errors are serious, then the amount increases to 5,000 rubles.
• When doing business not according to the rules, legal entities can be fined up to 50,000 rubles.

Administrative liability is provided for any illegal activity. Therefore, it is not recommended to work without registration, license and other papers.

Types of responsibility

An entrepreneur who violates the law can be held liable in various ways: administrative, criminal, tax. They differ in nature and sanctions.

Tax

Tax liability occurs when a person has ignored the requirement to register with the tax authorities as an individual entrepreneur. Also, citizens who do not pay taxes are subject to collection.

The Tax Code of the Russian Federation (Art. 116) provides for a penalty for unauthorized trade. Its size is calculated by adding the fine in 10,000 rubles and 10% from the profit received in the course of illegal activities. Also, the businessman is obliged to pay all taxes.

The Tax Inspectorate goes to court, where it is ordered to collect from the person all fees due under the law.

If the fact of violation was revealed once, then even with legal trade, the entrepreneur will be under the supervision of supervisory authorities.

Administrative

Judicial practice shows that illegal entrepreneurship is often an object of administrative law. Therefore, investigators and prosecutors should not search for sources that confirm a person's income.

Most often, the administrative plan is subject to collection street vendors and other illegal sellers.

The amount of the fine is provided for by Art. 14 of the Code of Administrative Offenses of the Russian Federation:

• When doing business that is not permitted by the tax authorities without registration, the minimum fine is 500 rubles, and the maximum is 2,000 rubles.
• If an individual entrepreneur or LLC does not have a license, then the goods will be confiscated, and a fine will be imposed on him. from 2,000 to 50,000 rubles.
• If the terms of the license are violated, the punishment will be in the form of a penalty from 1,500 to 40,000 rubles.
• In case of gross violations of the license, the amount of the fine is from 4,000 to 50,000 rubles... At the same time, the activities of an individual entrepreneur will be closed for a period of up to 3 months.

The collection of evidence is carried out in the same way as with a criminal offense, law enforcement agencies make a test purchase and reveal the fact of violation of the license conditions

Criminal

The most serious consequence of breaking the law is criminal liability. If an entrepreneur is convicted, then he does not lose a large number of opportunities in their field of activity.

The situation with illegal entrepreneurship is regulated by Article 171 of the Criminal Code of the Russian Federation. It states that if significant damage was caused to the state and counterparties, the person will be fined in the amount 250,000 rubles... When carrying out illegal business and receiving large and especially large incomes, the fine rises to 1,000,000 rubles.

The punishment under criminal law can be different:

• the person may be required to pay a fine in the amount of 50,000 rubles or the company's earnings over the past three years;
• an entrepreneur may be involved in forced labor for up to 5 years;
• a person can be arrested for 6 months;
• in case of gross violations, the court may issue a decision on imprisonment for up to 5 years.

Collecting evidence is a particularly difficult issue. Therefore, Art. 171 of the Criminal Code of the Russian Federation is applied infrequently. But if there is evidence, then the businessman may face real punishment.

Law enforcement officers must confirm the fact that a person is running a business, as well as earning more than 250,000 rubles or causing damage of a similar amount. In the course of collecting evidence, a test purchase is made at the suspect's store.

Direct evidence of illegal activity may be attached to the case.

These include:

• information from bank statements;
• accounting documents;
• testimony of counterparties or other persons;
• the value of the goods confiscated from the entrepreneur.

If a businessman is brought to justice for the first time, then he faces a fine. But in case of a relapse or making a profit on an especially large scale, as well as complicity, a decision on imprisonment may be made.

If there is a fact of illegal business, but there is no evidence base, the businessman is brought to administrative responsibility.

What's more profitable - to follow the rules or not

Illegal entrepreneurs often believe that it is too expensive to formalize their activities under the law. At the same time, penalties may not be applied if the work is carried out correctly.

But law enforcement officers work in this direction very well. They can not only detect the fact of illegal trade, but also gather evidence. Even if the person cannot be brought to justice, a lot of nerves will be expended.

It may come as a surprise to the seller that an ordinary buyer can complain about him to the competent authorities. Then there will be no need to explain why the entrepreneur did not register his activity. After all, the proceedings will begin on the fact of the violation.

To officially acquire the status of an individual entrepreneur, it is enough to pay 800 rubles. This amount is significantly lower than the fines that can be imposed upon detection of illegal actions. At the same time, there will be no need to worry every day that the fact of a crime may be discovered.

Hello, you, as a seller, are obliged to convey to the buyer all the information about the product

Article 10. Information about goods (works, services)
1. The manufacturer (performer, seller) is obliged to provide the consumer in a timely manner with the necessary and reliable information about the goods (works, services), ensuring the possibility of their the right choice... For certain types of goods (works, services), the list and methods of bringing information to the consumer are established by the Government Russian Federation.

Responsibility for failure to provide information:

Article 12. Responsibility of the manufacturer (executor, seller) for inappropriate information about the product (work, service)
1. If the consumer is not given the opportunity to immediately receive information about the product (work, service) when concluding the contract, he has the right to demand from the seller (performer) compensation for losses caused by unreasonable evasion of the contract, and if the contract is concluded, within a reasonable time to refuse it performance and demand the return of the amount paid for the goods and compensation for other losses.
In case of refusal to fulfill the contract, the consumer is obliged to return the goods (the result of work, services, if this is possible by their nature) to the seller (performer).
2. The seller (performer), who has not provided the buyer with complete and reliable information about the product (work, service), shall be liable under paragraphs 1-4 of Article 18 or paragraph 1 of Article 29 of this Law for defects in the goods (work, service) that have arisen after its transfer to the consumer due to the lack of such information.
3. If harm is caused to the life, health and property of the consumer due to the failure to provide him with complete and reliable information about the product (work, service), the consumer has the right to demand compensation for such harm in the manner prescribed by Article 14 of this Law, including full compensation for losses caused to natural objects, owned (owned) by the consumer.
4. When considering consumer claims for damages caused by inaccurate or insufficient complete information about a product (work, service), it is necessary to proceed from the assumption that the consumer does not have special knowledge about the properties and characteristics of the product (work, service).

A complaint will also be made to the prosecutor's office, Rospotrebnadzor, there will be little good.

Article 14. Property liability for harm caused as a result of defects in goods (work, services)
1. Damage caused to the life, health or property of the consumer as a result of structural, production, prescription or other defects in the goods (work, service) is subject to compensation in full.
2. The right to demand compensation for harm caused as a result of defects in the goods (work, service) shall be recognized for any victim, regardless of whether he was in a contractual relationship with the seller (performer) or not.
3. Damage caused to the life, health or property of the consumer shall be subject to compensation if the damage is caused during the established service life or shelf life of the goods (work).
If the service life or shelf life of the product (work result) must be established in accordance with paragraphs 2, 4 of Article 5 of this Law, but it is not established, or the consumer was not provided with complete and reliable information about the service life or shelf life, or the consumer has not been informed of the action to be taken after the expiration date or expiration date, and possible consequences if these actions are not performed, or the product (result of work) after these periods poses a danger to life and health, the damage is subject to compensation regardless of the time of its infliction.
If, in accordance with paragraph 1 of Article 5 of this Law, the manufacturer (performer) has not established a service life for the product (work), the damage is subject to compensation if it is caused within ten years from the date of transfer of the product (work) to the consumer, and if the date of transfer cannot be established , from the date of manufacture of the goods (completion of the work).
Damage caused as a result of defects in the goods is subject to compensation by the seller or manufacturer of the goods at the choice of the victim.
Damage caused as a result of defects in work or service is subject to compensation by the contractor.
4. The manufacturer (executor) is responsible for harm caused to the life, health or property of the consumer in connection with the use of materials, equipment, tools and other means necessary for the production of goods (performance of work, provision of services), regardless of whether the level of scientific and technical knowledge to reveal their special properties or not.

Let's consider what trade without registration of an individual entrepreneur is fraught with: fines, liability, penalties.

Sometimes people think about closing the IP and working illegally or not opening the IP at all initially. This is due to the increase in the amount of insurance payments to the Pension Fund and the Health Insurance Fund and the unwillingness to pay taxes. Will it be possible to save in this way, or will the fines turn out to be much higher and the risk will not be justified?

For trade without individual entrepreneurs, it is possible to apply several types of punishments at once - administrative, criminal and tax. Each case has its own procedures, means of fixing the offense and the level of responsibility. First, it is worth deciding on the very concept of entrepreneurship and how to separate such activities from other types and how to prove the fact of its conduct.

The concept and essence of entrepreneurial activity

The Civil Code of the Russian Federation unambiguously defines the essence of entrepreneurial activity, meaning by it actions aimed at systematic profit.

Profits can arise from trading activities, providing services or performing any kind of work.

In the same code there is a clause obliging citizens to register as an individual entrepreneur in advance of the start of business.

It is worth emphasizing that it is precisely such a definition in the law that leads to difficulties in cases where it is necessary to prove the fact of illegal activity.

This is due to the fact that it will be necessary to prove the systematic nature of the same type of activity and the presence of constant profit.

Systematicity is implied when a person leads any individual activities more than twice a year. A single fact of selling a product or providing a service does not mean the implementation of an activity of an entrepreneurial nature.

In general, illegal trade means whole line aspects:

• illegal goods and services;
• copyright infringement;
• goods and services that have the nature of any kind of discrimination;
• lack of the necessary permission to sell goods subject to licensing;
• lack of registration as an individual entrepreneur when carrying out trade;
• violation of people's moral values.

There are types of activities for which the law does not oblige citizens to register as an entrepreneur. This activity, among others, is the sale of flowers on the market. To engage in such trade, an agreement with the market administration is sufficient.

Citizens who do not have registration as an individual entrepreneur and are engaged in entrepreneurship face more than just a fine. Liability can also be criminal, up to the restriction of freedom. The fact of conducting this kind of activity must be proven, but if it is revealed, the consequences can be extremely serious.

Administrative responsibility

According to the Administrative Code of the Russian Federation, a penalty in the amount of 500 to 2,000 rubles is provided for trade without individual entrepreneurs. Justices of the peace are in charge of deciding on the application of this kind of responsibility. The consideration of the case is carried out either at the place where the offense was committed, or at the request of the citizen at the place of his registration.

The basis for legal proceedings is the initiation of administrative prosecution through drawing up a protocol. Such a protocol may be drawn up by a police officer, a tax officer, a trade inspection officer or a antitrust policy, an employee of the prosecutor's office, which is fixed in the Law.

To draw up a protocol on an administrative offense, employees of the authorized bodies must check the retail space or make a test purchase in order to prove the fact that the activity without registration of the individual entrepreneur really took place.

Legal proceedings are initiated only in the case when more than two months have passed from the moment of drawing up the protocol to the transfer of the case to the court. In practice, the protocols are drawn up by employees with errors, which is the reason for the return of the protocol to the department that made it up to eliminate the shortcomings. In the event that the department does not have time to return the case to the court in a corrected form before the expiration of two months from the date of drawing up the protocol, the prosecution is terminated.

Criminal liability

A business without registration of an individual entrepreneur can also be punished from the point of view of the Criminal Code of the Russian Federation. Paragraph 171 provides for punishment for illegal receipt of income from activities in the amount exceeding 250,000 rubles. The punishment here is also provided for those who cause major damage. individuals, organizations or even the whole country.

If there is evidence of illegal receipt by a citizen of income in an amount exceeding 250,000 rubles, criminal liability is provided in the form of a fine of 300,000 rubles, arrest for 6 months or correctional labor for up to 240 hours. Proving such high returns is difficult with a simple test purchase. Such cases, as a rule, are associated with the legalization of illegally obtained income and money laundering.

When causing harm or making illegal profits on an especially large scale, the collection varies from 100,000 to 500,000 rubles. A convicted person may also face imprisonment for up to 5 years with a simultaneous fine of 80,000 rubles. An especially large amount is understood as an illegal income of more than 1,000,000 rubles.

The punishment depends on whether a citizen is involved for the first time for this offense or not, whether he has positive characteristics. In the presence of positive characteristics and good public behavior the citizen receives a fine without imprisonment. The Supreme Court of the Russian Federation has made it clear that the effect of paragraph 171 of the Criminal Code of the Russian Federation does not apply to owners of residential premises who rent them out. Such activities without registration of an individual entrepreneur are not subject to criminal prosecution, regardless of the amount of the levied rent.

Tax liability

Activities without registration entail tax liability, indicated in two clauses of the Tax Code of the Russian Federation - 116 and 117. The second provides for a penalty for not being registered in the form of a fine of 10% of the estimated income, but this amount cannot be less than 20,000 rubles ... According to clause 117, when unrecorded activity exists for more than three months, the fine is increased to 20% of unrecorded income, but such a fine will be at least 40,000 rubles. According to clause 116, in case of failure to meet the deadlines for tax registration, a fine of 5,000 rubles is provided. In the event that the violation of the terms is more than three calendar months, the amount of the penalty increases to 10,000 rubles. However, only one of two points can be punished.

According to the Tax Code of the Russian Federation, the obligation to register with the tax inspectorate falls on the citizen before the start of profit from the activity. The moment of delay in this case will be considered the fact of the presence of the first profit. This state of affairs leads to the application of paragraph 117 of the code. In the case when a citizen has submitted an application for registration before the inspection, but received the proceeds before registration with the tax authority, clause 116 applies.

If a citizen is held liable for the lack of registration with the tax authority, the inspectors have the right to charge taxes and contributions to the budget, for which late fees can be calculated. The penalty for late payment of taxes is equal to 20% of the amount of taxes assessed and will be presented together with taxes.

In any case, the fine is paid only if there is a final judgment. Cases are heard in general courts. The protocol drawn up does not yet oblige the person in respect of whom the check was carried out.