From time to time, many of us sell something, provide paid services, or make things for a fee for friends and acquaintances. Such transactions, which are one-time in nature, are personal matter one or more private individuals. However, if such actions are carried out regularly and begin to acquire a commercial scale, liability for illegal entrepreneurship may arise.

For example, having started by selling clothes that your child has grown out of, you go further and, having ordered children's clothes from China, sell them through a group in social networks... Once you successfully helped a colleague make repairs for a small fee and decided to make extra money from it by placing an ad in the newspaper? Do you get massages or nail extensions at home? Repairing household appliances or are you a private driver? If your activity is purposefully conducted to generate income and is put on stream, you must understand that in this case you are an unregistered entrepreneur.

Of course, if your “job” brings in modest, irregular income, it is unlikely that anyone will accuse you of illegal business activities. If your business has clearly gone beyond a small “part-time job” and has begun to generate significant profits, not only the tax inspectorate, but also the police and other official bodies may well be interested in your income.

In addition, the law prohibits certain types of work without special permission (for example, medical and cosmetology services, design work, cargo and passenger transportation and so on). Conducting such a business without obtaining a license and other permitting documents is an even more serious offense than unregistered business.

Entrepreneurship and Law

In accordance with the Civil Code, independent activity, which is carried out at one’s own risk for the systematic receipt of profit, is called entrepreneurial. Profit can be made from providing paid services, carrying out work on a paid basis, selling goods or using property. Leading commercial activities a citizen is required to officially register as an entrepreneur.

Thus, the main thing hallmark entrepreneurship from an ordinary private transaction is a combination of systematic activity and making a profit from it.

For example, a one-time provision of a service for a fee or a one-time transaction for the purchase and sale of goods is not yet entrepreneurship. The same actions, but performed two or more times in a year, will be considered systematic. But if the goods are sold for the same or less value for which they were purchased, there is no fact of making a profit, and the sale is considered private, regardless of the number of such transactions. Under other conditions, the activity will already be commercial.

Let's consider cases in which doing business does not comply with legal standards.

In Russian law, illegal entrepreneurship means:

1. unregistered commercial activity (without registration of an individual entrepreneur or legal entity); or executed with violations or with the provision of false information in registration documents;
2. entrepreneurship without mandatory licensing of certain types of activities;
3. conducting business in violation (including gross violation) of licensing requirements.

According to the law, illegal business entails three types of liability: administrative, criminal and tax.

Learn more about these types of liability.

Illegal entrepreneurship in administrative law

The Code of Administrative Offenses provides for penalties for carrying out illegal commercial activities.

1) A fine of 500 to 2000 rubles is imposed on a citizen who has not registered his activities as individual entrepreneur or legal entity.

2) Carrying out licensed types of activities without obtaining the appropriate permit entails:

• for individuals - a fine of 2,000 to 2,500 rubles with the possibility of confiscation of means of production and products;
• for officials - a fine of 4,000 to 5,000 rubles with possible confiscation;
• for legal entities - a fine of 40,000 - 50,000 rubles with or without confiscation.

3) Violation of the requirements and conditions of the license is punishable by an administrative fine:

• for citizens - 1500 - 2500 rubles;
• for officials - 3000 - 4000 rubles;
• for organizations - 30,000 - 40,000 rubles.

4) Gross violation of licensing conditions is punishable by suspension of illegal business for up to 90 days or a fine:

• individuals - 4000 - 5000 rubles;
• officials - 4000 - 5000 rubles;
• legal entities - 40,000 - 50,000 rubles.

Establishing the fact of illegal business is entrusted to the police, tax inspectorate, antimonopoly committee, supervisory authorities consumer market, prosecutor's office. They draw up a protocol on the offense during verification activities: conducting a test purchase, inspecting the premises and other necessary actions. The reason for the inspection may be a complaint from a dissatisfied client or any signal received indicating that a citizen is illegally engaged in business without registration or is committing irregularities in work.

Cases of bringing illegal entrepreneurs to administrative responsibility are dealt with by the magistrate at the place of activity of the individual or at his place of residence. The case of an administrative offense must be considered within two months after drawing up the protocol. Otherwise, the judge is obliged to make a decision to terminate the proceedings. An incorrectly drawn up protocol, the presence of inaccuracies or contradictions in it, often allows the violator to avoid punishment. While the protocol is being reissued by the body that compiled it, the period allotted by law for bringing a citizen to administrative responsibility may expire.

Criminal liability for illegal business

In some cases, criminal liability is provided for illegal business activities. It occurs if an illegal businessman, through his activities, has caused major damage to the state, organizations or individuals, and has also generated large-scale income. In this case, large size means an amount of 250,000 rubles, especially large – over 1 million rubles.

The Criminal Code provides for the following penalties for illegal business.

1) For causing damage on a large scale:

• a fine of up to 300,000 rubles or in the amount of two years’ earnings of the violator;
• from 180 to 240 hours of compulsory work;
• imprisonment for 4-6 months.

2) For damage caused on an especially large scale or an act committed by a group of persons:

• a fine in the amount of 100,000 – 500,000 rubles or equal to three years’ income of the perpetrator;
• imprisonment for up to 5 years with a fine of up to 80,000 rubles or in the amount of six months’ income of the convicted person.

The burden of proving the facts of generating large profits or causing damage to third parties falls on the police or prosecutor's office. It is almost impossible to detect an offense that falls under the criminal code in its gravity, since control purchases by inspection bodies are carried out for limited amounts. Therefore, as a rule, they are not able to prove the receipt of significant income from the business. Most often, persons are subject to criminal prosecution in cases of involvement in laundering proceeds from crime.

Responsibility for illegal activities carried out commercial organization, is assigned to its leader.

The following are not subject to criminal liability:

• citizens performing duties under an employment contract concluded with an illegal entrepreneur;
• owners of rental properties, regardless of the amount of income received.

Extenuating circumstances criminal punishment, are a single fact of bringing a citizen to justice and the existing positive characteristics of the perpetrator.

Illegal business activity may be associated with other criminal offenses in the field of business:

• unlawful use of someone else's trademarks, deliberately false indication of the place of origin of the goods;
• production, purchase and circulation of counterfeit products, excise goods, goods marked with special signs protected from counterfeiting.

In this case, liability measures are provided for the totality of these crimes.

Illegal business and tax authorities

Articles 116 and 117 of the Tax Code define sanctions following commercial activities without registration, in the form of collection of taxes not received by the state and fines for evasion of their payment.

1. Unregistered in tax office an entrepreneur is punished with a fine of 10% of the income he receives, at least 20,000 rubles. Punishment is applied if at the time tax audit The application for registration as an entrepreneur was not submitted to the inspectorate at all.
2. Actual maintenance of unregistered entrepreneurial activity for more than 90 days is punishable by a fine of 20% of the income received by the citizen, but not less than 40,000 rubles.
3. For late registration of a business with the tax office, the fine is 5,000 rubles. If the registration is delayed for more than 90 days, the fine is 10,000 rubles. The delay is considered from the moment the first fact of revenue is established. A late penalty applies if registration documents were submitted after receipt of the first revenue, but before the tax audit.

In addition to fines for lack and late state registration, tax authorities have the right to make additional assessments of unpaid taxes by a citizen. In this case, the illegal entrepreneur is obliged to pay personal income tax accrued on the entire amount of income proven by the inspection authorities. This also includes penalties for overdue taxes and a fine for non-payment in the amount of 20% of the total amount of additional assessments.

Sanctions provided for by laws on taxes and fees are imposed on the violator only by a court decision in accordance with the Civil Procedure Code.

So we've looked at possible consequences that may arise for a person conducting illegal business activities. Sometimes business income is so small that official registration and payment of all necessary taxes and mandatory payments eats up all the profit. Such entrepreneurs who consider it inappropriate to register their activities can be advised to attract as little attention as possible from official bodies. Eliminate complaints and claims from clients, do not conflict with potential competitors, and do not conduct active advertising activities. However, this does not provide any guarantee that it will be possible to avoid liability for illegal business. Tax inspectorates, as a rule, are actively collecting information about unregistered businessmen.

If you periodically provide services to organizations, it makes sense to document your relationship with them (contract agreement, one-time labor contract). In this case, the organization will be able to act as a tax agent and pay your obligations to the state for you.

If you rent out housing on a permanent basis, you do not have to register as an individual entrepreneur; it is enough to submit an annual application based on an agreement with the tenant. tax return and pay personal income tax. Thus, protect yourself from unnecessary interest from official bodies, which may arise in the event of problems with residents or complaints received from neighbors.

If you intend to do business seriously and for a long time, then you should not delay registering it. Of course, you are unlikely to face criminal liability. And administrative punishment may not seem so significant, but any problems with government agencies may serve you poorly in the future. For a serious entrepreneur, it is important not only to maximize profit, but also to take a responsible attitude towards your business, creating and maintaining an impeccable business reputation.

In this article we will look at the types of illegal entrepreneurship, and also find out what liability is provided for these crimes. But first, let's deal with normative act, in which the very concept of “entrepreneurial activity” is formulated.

Entrepreneurial activity in accordance with the Civil Code of the Russian Federation

So, in relation to legislation Russian Federation, the definition of entrepreneurial activity is formulated in Article 2, paragraph 1 of the Civil Code:

“Entrepreneurial activity is an independent activity carried out at one’s own risk, aimed at systematically obtaining profit from the use of property, sale of goods, performance of work or provision of services by persons registered in this capacity in the manner prescribed by law.”

IN this definition Pay attention to the following key phrases:

• Independent activity.
• Systematic profit making.
• Persons registered in accordance with the procedure established by law.

Almost every adult has sold something at least once in his life, but no one would think of calling selling grandma’s furniture entrepreneurship. But what if a person begins to purposefully search around the city? old furniture, buy it and sell it to new owners? Such activities already have the character of a business, which means that you need to register and pay taxes so that you do not have to pay a fine for illegal business activities.

You should not rely on the fact that the tax authorities turn a blind eye to an illegal business if it brings in relatively small income. To hold a person accountable for illegal business activities, even proof of income is not required. It is enough to convict him that by his actions he pursued the goal of making a profit - for example, he advertised in a newspaper or purchased goods in bulk.

What is illegal business activity

There is an opinion that the tax authorities will be interested in an entrepreneur only if he earns a serious amount. In reality this is not the case. Even if a person sends out homemade jewelry from time to time, receiving payment by cash on delivery, he must be prepared for personal attention from the tax office. It is possible to be punished for illegal business activities even with a meager income. The severity of the punishment depends on the amount of income: upon reaching a certain amount, administrative liability for illegal business develops into criminal liability.

To understand what constitutes illegal business activity, you need to understand the concept of “business activity.” The Civil Code interprets it as an activity aimed at systematically generating profit. Theoretically, two transactions of the same type in a year are enough to discern such a direction in a person’s actions.

Among the signs of entrepreneurial activity it is worth highlighting:

• testimony of clients - persons who paid for services or goods;
• advertising of goods and services;
• display of product samples;
• wholesale purchases;
• availability of receipts for receiving money;
• established relationships with counterparties;
• concluding lease agreements for commercial space;
• accounting of business transactions.

If any of the above is characteristic of a person’s activities, it is useless to focus on the lack of profit. Illegal entrepreneurship is an activity that is aimed at making a profit, but does not necessarily bring it.

Those who rent out housing may not register an individual entrepreneur: in order not to be held responsible for illegal business, you need to draw up an agreement with the tenant, file a tax return on time and pay personal income tax. The same applies to persons who have entered into a one-time sale transaction for a decent amount: by filing a declaration, the seller will save himself from proceedings with the tax authorities.

If your activity relates to the service sector, but you don’t want to register an individual entrepreneur or LLC, you can provide services on the basis of contracts. This does not qualify as illegal business, but such cooperation has obvious disadvantages:

• You cannot advertise your services;
• tax authorities may consider such business relations labor, which will cause problems for the customer of services;
• all other things being equal, the customer will prefer to cooperate with an individual entrepreneur or a company, since it will be more profitable for him.

Please note: since 2019, persons who independently provide services in the territory of Moscow, the Moscow and Kaluga regions and Tatarstan can legalize their activities as .

To engage in business fully, you need to register properly. This is very easy to do with the help of our free document preparation service: the procedure itself will take little time, and the certificate state registration will be issued within three working days.

If you continue to conduct illegal business activities, the consequences can be very unpleasant - from fines to imprisonment.

Punishment for illegal business activities

Illegal business carries tax, administrative and criminal liability. Employees of the tax inspectorate, police, prosecutor's office, antimonopoly authorities, and consumer market supervisory authorities are authorized to expose illegal business activities. The reason for the inspection will be a signal from vigilant citizens: for example, a client of an illegal taxi driver will be dissatisfied with the service and will file a complaint.

Tax officials in court are seeking compensation from the owner of an illegal business for taxes that were caused by last state received less. Punishment for an individual for illegal business activities will involve payment of personal income tax in the amount of proven income and late fees. In addition, tax evasion is punishable by:

• 10% of the amount of income derived from illegal business activities, but at least 20 thousand rubles, constitutes a fine for an entrepreneur who has not submitted an application to the Federal Tax Service to register his own business;
• 20% of the income, but at least 40 thousand rubles, will be paid by an entrepreneur who has been conducting an illegal business for more than 90 days;
• Entrepreneurs are fined 5 thousand rubles for delaying business registration. This is a situation where an individual has submitted documents to register an individual entrepreneur or LLC, but the fact of receiving revenue earlier has been revealed. If registration is delayed for more than 90 days, the fine doubles - 10 thousand rubles.

The Code of Administrative Offenses of the Russian Federation provides for penalties. For illegal business, the fine in 2019 will be at least 500 rubles.

• The fine for illegal business without registering an individual entrepreneur or LLC is from 500 to 2000 rubles;
• Carrying out licensed activities by an individual without a license entails a fine of 2,000 to 2,500 rubles. Products and means of production may be confiscated.

A decision in a case of illegal business is made by a judge at the place of residence of the accused or the place of activity. The case is considered within two months from the date of drawing up the protocol on the violation, otherwise the case is not allowed to proceed.

Criminal liability for illegal business

If an illegal business causes damage to the state or citizens, the entrepreneur risks incurring criminal liability for illegal business. The articles of the Criminal Code cover the extraction of illegal income in a large amount (1.5 million rubles or more) or an especially large amount (6 million rubles or more). Prosecution in such cases is the task of the police and the prosecutor's office.

For illegal business activities, the Criminal Code of the Russian Federation provides the following penalties:

• for causing damage on a large scale - a fine of up to 300 thousand rubles or in the amount of the offender’s earnings for two years; Also, the punishment for an individual for illegal business activities can be 180-240 hours of compulsory labor or imprisonment for a period of 4-6 months.
• for causing damage on an especially large scale - a fine of up to 500 thousand rubles or in the amount of the offender’s earnings for three years; imprisonment for a term of up to five years, coupled with a fine of up to 80 thousand rubles or in the amount of six months’ income.

The fine for illegal business activities may be supplemented by sanctions for related offenses: illegal use of someone else’s trademarks in business, deception of the buyer, trade in counterfeit goods.

For repairing a garage, a cowshed and building a summer camp, a resident of Tatarstan was given a suspended sentence of one and a half years and charged 2 million rubles to the budget. The man did not register the company, and the court declared his activities illegal. To avoid getting into a similar situation, you need to understand what is considered illegal business and what liability is provided for it.

Types of illegal entrepreneurship

What is illegal business activity?

A resident of Kursk bought for several years land plots, built houses on them, and then sold them. The business developed until it came to the attention of the tax authorities. They argued that operating without registration was contrary to the law. The court sided with the Federal Tax Service and brought the resident of Kursk to criminal liability under Article 171 of the Criminal Code (CC) of the Russian Federation.

Citizen K. from Yekaterinburg lent a colleague 100,000 rubles. at 10% monthly. Under the loan agreement, the colleague agreed to pay interest every month and repay the debt after a year. Instead of regularly handing over the money, the colleague accused citizen K. of illegally receiving income. However, the court rejected the claim, since citizen K. lent money one-time, and monthly payments comply with the terms of the loan agreement. The law does not classify one-time transactions as illegal entrepreneurship.

So how can you determine when you can be accused of breaking the law and when you can't? Below we will tell you in more detail about the types of illegal business and how to avoid being put on trial.

Business without registration

If you regularly receive income, you need to register a company or individual entrepreneur, pay taxes and fees. Otherwise, you will be accused of illegal business.

Sometimes a person does not consider his actions to be a business:

Rent out an apartment;

Bakes cakes to order;

Trades on spontaneous markets or via the Internet;

Engaged in repairs and construction;

Transports cargo and passengers;

Babysits other people's children.

If your earnings are regular and you sell your property for income, it will not be easy to avoid liability, since all these “scams” ​​fall under the definition of illegal entrepreneurship.

Maria Smekun, lawyer at the Chamber of Lawyers Nizhny Novgorod region, Candidate of Legal Sciences

If you have been charged with illegal business, try to prove that the income is not systematic, that is, cash receipts are irregular and spontaneous in nature; that income is not the only source for life; that the income does not exceed 1 million rubles per year.

There are several concessions. A one-time sale of personal belongings does not entail a fine for illegal business.

You can voluntarily legalize your business as self-employed. In this case, you will have to pay contributions to the budget, but they are significantly lower than for individual entrepreneurs.

For more information about the self-employed and the taxes this category will have to pay,

You can safely sell your harvest from personal plot, but it’s better to get help. They receive it from the village administration or from the management of the gardening partnership.

Illegal business: work without registration

Tax sanctions	Administrative punishment	Criminal liability
For non-payment or incomplete payment of tax (Article 122 of the Tax Code of the Russian Federation): Fine up to 20% of the debt amount.	Fine 500–2000 rubles. (Article 14.1 of the Code of Administrative Offenses of the Russian Federation)	For damage on a large scale (Article 171 of the Criminal Code of the Russian Federation): Fine up to 300,000 rubles. Recovery in the amount wages up to 2 years. Mandatory work up to 480 hours. Arrest up to 6 months.

Sale of goods and services without a license, certificates, or other mandatory documents

To produce and sell certain types of goods and services, you must obtain a license:

Cryptographic (encryption) programs;

Explosives, including professional high-altitude fireworks;

Medicine and medical services, including medical massage;

Passenger transportation;

Detective and security agencies;

Television and radio broadcasting;

Geological exploration and cartography.

An enterprise operating without a license will be accused of illegal entrepreneurship. Some massage therapists work without a license, citing the division of the procedure into therapeutic and recreational. However, in the Nomenclature of Health Care Works and Services there is no such division and any massage is considered a medical service. Or cosmetic department sellers don’t know that to sell lotion with an alcohol content of 25% or more, you need a license to sell alcohol-containing products.

Maria Smekun, lawyer at the Chamber of Lawyers of the Nizhny Novgorod Region, candidate of legal sciences

Sooner or later, an illegal entrepreneur may have disagreements with a client regarding the quality of work, service, or product. Dissatisfied client will file a complaint with the control and supervisory authorities (prosecutor's office, Rospotrebnadzor, etc.), in court, and inspectors will easily identify the fact of illegal business.

Illegal business: operating without a license

Tax sanctions	Administrative punishment	Criminal liability
	For individual entrepreneurs – a fine of 2000–2500 rubles. with confiscation of products, equipment, raw materials. For organizations – 40,000–50,000 rubles. with confiscation of products, equipment, raw materials. (Article 14.1 of the Code of Administrative Offenses of the Russian Federation)	For damage on a large and especially large scale (Article 171 of the Criminal Code of the Russian Federation): Fine 100,000–500,000 rubles. Collection in the amount of wages from 1 to 3 years. Forced labor for up to 5 years. Imprisonment for up to 5 years + fine up to 80,000 rubles.

Submitting false information to the tax office

Violators include those who intentionally or unknowingly submit incorrect information to regulatory organizations.

For example, when registering, entrepreneur S. chose OKVED 47.19.1 and sold: USB drives, chargers for smartphones, headphones. Then the individual entrepreneur bought a copy machine, a laptop and began providing printing and copying services (OKVED code 18). The entrepreneur did not make any changes to the Unified State Register of Legal Entities. During the test purchase, the inspector noticed a discrepancy and fined the individual entrepreneur for illegal business.

Submit your application to change OKVED in a timely manner to avoid sanctions. Accurate accounting and timely submission of information to the tax office is as important for business as a good and stable income. Fines for serious violations can lead even a seemingly successful and stable business to bankruptcy. If your accounting department cannot cope with its responsibilities, it is better to contact a large one. A similar approach is acceptable for a successful individual entrepreneur who does not have enough time to put things in order. There are many responsible companies on the market offering this service for.

Illegal entrepreneurship: submitting false information to the Federal Tax Service

Punishment for illegal business

Penalties for illegal business various types responsibility.

Tax sanctions

The Tax Code does not have a corresponding article, but there are fines for unpaid, late and incompletely paid taxes.

For example, entrepreneur S. from the previous example continued to pay UTII after expanding her business. However, copying services are not subject to the single tax. In such situations, two tax systems are combined: imputation and simplification. The Federal Tax Service fined the individual entrepreneur for failure to pay the simplified tax system and assessed additional taxes and penalties for 3 years.

According to the law, the fine is 20–40% of the unpaid amount.

To submit taxes on time and avoid sanctions, trust your accounting

Administrative fines

If they are brought to administrative responsibility on charges of illegal business activity, they will be fined from 500 to 2000 rubles.

For working without a license, the fine for individual entrepreneurs will be 1,500–2,000 rubles, for organizations – 30,000–40,000 rubles. In case of repeated violation, the sanctions are higher: for individual entrepreneurs - 4000–8000 rubles, for legal entities. persons – 100,000–200,000 rubles. Inspectors can confiscate the goods and suspend the company’s activities for 3 months.

For individual categories business punishment is especially severe. For a gaming salon operating without a license outside play areas, the businessman will be fined 700,000–1,000,000 rubles. and confiscate slot machines. In judicial practice, there are cases when illegal entrepreneurship in the field of gambling, the entrepreneur received 6 years in prison.

The law quickly responds to the realities of life. For example, on February 5, 2018, the illegal sale of tickets for FIFA matches was added to the Code of Administrative Violations (CAO).

Criminal liability under Article 171 of the Criminal Code

If the owner of an illegal business has received income in excess of one and a half million rubles, he falls under Article 171 of the Criminal Code of the Russian Federation on illegal entrepreneurship. Inspectors take into account income in full. For example, a metropolitan resident bought a batch of goods for 1.2 million rubles, and sold them for 2 million rubles. The court recognizes the entire two million as income, and not 800 thousand rubles. the profit that the Muscovite actually received.

Sizes of punishment:

The individual entrepreneur has not paid taxes for more than 3 years and owes more than 900,000 rubles to the budget. – a fine from 100,000 to 500,000 rubles, or 3 years of forced labor, or 3 years of imprisonment. To avoid criminal penalties, voluntarily pay the arrears.

A massage therapist without a license has harmed the health of a client - a fine of up to 120,000 rubles, or 3 years of forced labor, or 3 years of imprisonment. In case of death of the client due to negligence, the penalty is increased to 5 years.

For illegal business without registration, a businessman received a large income - a fine of up to 300,000 rubles, or 480 hours of forced labor, or 6 months of arrest.

In cases where an illegal businessman violates several articles of the law, punishment is assigned based on the totality of the crimes. For example, an entrepreneur produced without a license alcoholic drink under someone else's brand. His actions fall under Article 180 and Article 171 of the Criminal Code of the Russian Federation.

Maria Smekun, lawyer at the Chamber of Lawyers of the Nizhny Novgorod Region, candidate of legal sciences

The very fact of illegal entrepreneurship provides several legal grounds for bringing a false entrepreneur to justice. Illegal business is subject to criminal (Article 171 of the Criminal Code of the Russian Federation) or administrative liability (fine for activities without registration). The tax authorities will not sleep and will attract financial liability in the form of tax payment. Plus fines based on a client complaint for poor quality work, services, goods.

5 reasons not to break the law

1. Don't waste money on fines and penalties.
2. Don't waste time on litigation.
3. Calmly and confidently develop your business.
4. The company will not be closed, the business will not be suspended, which means you can increase your income.
5. Reputation will not be damaged.

Three months of accounting, HR and legal support FREE. Hurry up, offer is limited.

Many people have a question: “What is illegal business. How to qualify it, by what criteria? What is the responsibility for business without registration?”

Each of us at least once had to make deals or do some kind of work. They are often personal, private, isolated and of no interest to official bodies. But other deals and agreements are concluded constantly and bring regular income. It is such transactions that can arouse the curiosity of the tax authorities.

For example, if you bought a piece of land, and then, after some time, sold it and at the same time made a profit, then this is not an illegal business, because the deal was a one-off, is concluded between individuals and therefore does not fall under the category of entrepreneurial activity.

But if a person regularly purchases land (as well as equipment, cars, etc.) for the purpose of resale and profit, then such a person is an entrepreneur. Moreover, if he is not registered in the manner prescribed by law, and has not received a license (if required), then the entrepreneur is illegal.

Some “entrepreneurs” deliberately evade tax evasion, while other people do not even realize that their activities fall under the definition of entrepreneurship, which means that a person must. Entrepreneurial activity can be different: rental of premises, training, oil and gas, equipment repair, provision of various kinds of consultations, tailoring, development of souvenirs, design services, website creation, etc.

Often people who are engaged in entrepreneurial activities consider themselves so-called freelancers. Usually they are paid for the work done either “in black money”, without any contracts, or under contract agreements, i.e. taxes, as they are, are paid for by the company for which they wrote an advertising article, made a translation, or provided some other one-time service. Therefore, if a person’s activity is episodic and income is very modest, such work is your personal business.

Note: Selling personal items, performed from time to time minor works and instructions does not entail either administrative or criminal liability. This also does not apply to a one-time rental of your apartment.

The difference between entrepreneurial activity and freelancing is that it is built on a permanent professional basis and its main goal is to make a profit. If you made a large profit from the sale of your own property, this is not considered entrepreneurship. In other cases, when there is independence, carrying out work on an ongoing basis in order to generate income, but there is no registration, you can get into trouble.

They want to increase fines for illegal business

It is proposed to increase fine for illegal business, setting its size from 3 to 5 thousand rubles.

SIGNS of illegal business activity

1. independence of economic activity and its implementation at your own risk;
2. systematic profit-making as the goal of activity;
3. use of property, sale of goods, performance of work or provision of services as sources of profit.

At the same time, the signs of entrepreneurial activity must be distinguished from the forms of illegal entrepreneurial activity enshrined in the disposition of Article 171 of the Criminal Code of the Russian Federation.

Independence of economic activity First of all, it assumes that an individual or legal entity - an entrepreneur - participates in civil transactions directly, on his own behalf, by his own will and in his own interest.

That's why, economic activity, deprived of independence, cannot be considered as entrepreneurial. It's already labor relations between employee and employer. And such activities are most often legally formalized by an employment contract, even if not properly executed. An employment contract is different from ( characteristic of entrepreneurship) by its subject.

Subject employment contract is “the living labor of the worker itself.” Accordingly, in labor relations the employee becomes subordinate to the employer, disciplinary relations arise, the employee’s work is organized by the employer, who appropriates the income and bears the commercial risk of losses from business activities.

THREE FORMS of illegal entrepreneurship:

• without state registration,
• without a license,
• in violation of licensing.

Even if you legally registered as an individual entrepreneur, but did not receive a license for the activities that require, you are also working illegally, i.e. you are an illegal entrepreneur. Moreover, it is necessary to remember that each type of activity may require a separate license, and if you do not have one, you are engaged in illegal business activity. This is also worth considering.

Note: For example, if you open a treatment center, you should not sell medications until you receive a separate document.

Criminal, administrative or tax LIABILITY

Occurs if the actions of the entrepreneur caused serious damage to citizens, organizations or the state, or income was generated on a large scale (i.e. over 1 million 500 thousand rubles).

Note: Note to clause 2 of Art. 169 of the Criminal Code of the Russian Federation.

In other cases, the perpetrators bear administrative responsibility in the form of fines. As punishment Art. 171 of the Criminal Code of the Russian Federation provides for a fine (in the amount of up to 300 thousand rubles or in the amount of wages or other income of the convicted person for a period of up to two years), compulsory work up to 480 hours) or arrest for up to six months.

For example, you decided to earn a lot of money by reselling some expensive product (car, land, building materials, etc.). In one case, such a transaction may, due to its uniqueness, be excluded from the definition of entrepreneurial activity; in another, due to the receipt of a fairly large income, it may be classified as illegal entrepreneurship.

Tax liability for illegal business

The Tax Code of the Russian Federation provides for liability for activities without registration in two articles at once: . Failure to register with the inspectorate will result in a fine of 10 percent of the income received, but not less than 40 thousand rubles.