Compliance
How Russian Businesses Can Benefit from Early Submission of NDFL and Social Contribution Notifications
Beginning 1 September 2026, companies and individual entrepreneurs in Russia may submit notifications of accrued personal income tax (НДФЛ) and social insurance contributions early, offering more predictable cash flow and smoother compliance.
By NomadicTax Research Team • 5-7 min read • September 11, 2026
## What Is Changing
Starting 1 September 2026, under Federal Law No. 425-ФЗ, **organizations and individual entrepreneurs** in Russia are allowed to submit notifications of accrued НДФЛ (personal income tax for employees) and social insurance contributions **in advance**, covering not just past periods but every subsequent period up to the end of the year. ([nalog.gov.ru](https://www.nalog.gov.ru/rn60/news/tax_doc_news/16644014/?utm_source=openai))
This replaces the previous system where notifications were only filed after each accounting period ended. In result:
- **Monthly obligations** remain for actual tax and contribution calculations, but if an early notification has been filed, monthly filings are no longer required unless the actual amount for a past period exceeds the declared one. ([nalog.gov.ru](https://www.nalog.gov.ru/rn60/news/tax_doc_news/16644014/?utm_source=openai))
- The notification for НДФЛ may be divided in each month into **two parts**: 1–22, and 23–end of month. ([nalog.gov.ru](https://www.nalog.gov.ru/rn60/news/tax_doc_news/16644014/?utm_source=openai))
## Implications and Benefits
- The reform aids **predictability and planning**, especially in companies with stable payrolls.
- Early submission allows smoothing of administrative work by combining periods rather than filing each month separately.
- It reduces administrative burden but requires accurate estimation: if actual withheld taxes exceed those declared, adjustments may be triggered. ([nalog.gov.ru](https://www.nalog.gov.ru/rn60/news/tax_doc_news/16644014/?utm_source=openai))
## Practical Advice for Employers and Entrepreneurs
- **Review payroll and insurance data**: Compare historical withholding patterns to project future accruals through year-end accurately.
- **Set up systems for split-period notifications** (if applicable under НДФЛ rules) so you can comply with the 1-22 and 23-end subdivisions as required. ([nalog.gov.ru](https://www.nalog.gov.ru/rn60/news/tax_doc_news/16644014/?utm_source=openai))
- **Monitor actual vs declared**: If a declaration underestimates actual withholding, prepare to make additional filings or payments when the discrepancy becomes apparent.
- **Coordinate with accounting/calendar teams**: Early submission means some tasks done upfront—budgeting, cash flow forecasts, etc.—can be better aligned.
## Example
| Company | Employee payroll expenses trending steady at 1,000,000 RUB/month | Regular monthly withholding ~130,000 RUB (NDFL + contributions) |
|---------|---------------------------------------------------------------|-------------------------------------------------------|
| Without early notification | Monthly filings every period—12 filings/year | Each submission dated after period ends |
| Using early notification | One notification early, covering periods Sept–Dec | Only adjust if actual > declared; otherwise, no extra monthly filings required |
## Key Considerations
- This option is **voluntary**: businesses may continue filing monthly if they prefer. ([nalog.gov.ru](https://www.nalog.gov.ru/rn60/news/tax_doc_news/16644014/?utm_source=openai))
- It “locks in” amounts declared—surprises (big fluctuations in payroll) can lead to under-declaration issues.
- Does **not change when you pay**—payments stay due per existing rules; early notification is about filing, not payment. ([nalog.gov.ru](https://www.nalog.gov.ru/rn60/news/tax_doc_news/16644014/?utm_source=openai))
**Bottom line:** If you run a Russian business with predictable employee payrolls, early notification for НДФЛ and contributions offers efficiency and certainty—but you must plan carefully to avoid underestimation risks. For those with more variable payrolls, traditional monthly filing may still be safer.