Simplified liquidation procedure for SMEs from October 10, 2023

On October 10, 2023, the form of an application (form No. P19001) for the simplified liquidation of a legal entity classified as a small and medium-sized enterprise (SME) enters into force.

An application in form No. R19001 is submitted to a territorial body of the Federal Tax Service in order for a company  subject of SME to be excluded from the Unified State Register of Legal Entities if the founders (participants) have unanimously decided to terminate its activities.

Simplified liquidation of an SME subject is possible if the legal entity meets a set of the following conditions:

• is not a VAT payer;
• has no accounts payable and tax debts;
• has no immovable property and vehicles;
• is not in the process of liquidation, reorganization;
• is not in the process of bankruptcy;
• other conditions specified in clause 7 of Article 21.3 of Federal Law No. 129-FZ dated 08.08.2001 have been met.

The application in Form No. R19001 shall, in particular, specify:

• OGRN and TIN of the legal entity;
• the reason for submitting the document;
• the date on which the founders (participants) decided to terminate the company’s activities;
• information about the applicant.

The application must be signed by the founders (participants) of the legal entity, the authenticity of whose signatures must be notarized.

Document: Order of the Federal Tax Service of Russia No. ED-7-14/493@ dated 24.07.2023