Everything is individual
The algorithm of actions depends on whether you are an employer or not.
There are different regulations for closing individual entrepreneurs. If there were no employees on staff, it will be easier for you to close the business, since deductions were made only to the Pension Fund and the tax office. Entrepreneurs very rarely make insurance contributions to the Social Insurance Fund for themselves, so there is no need to send there an application to deregister an individual entrepreneur. Removing an individual entrepreneur from registration with the Pension Fund of the Russian Federation is a matter for the department.
The Fund makes a decision independently and removes the record of an individual entrepreneur if he has no debts on reports and transfers of contributions. But you can “leave” yourself to be sure that all points are taken into account. To do this, you need to clarify whether there is a debt and send an application for deregistration to the Pension Fund.
Algorithm of actions
The procedure for registration with the Social Insurance Fund and its cancellation differ for policyholders depending on their legal status. The general requirement is that these procedures must be followed. Let us analyze the procedure for registration and deregistration with the Social Insurance Fund for legal entities, individual entrepreneurs, and individuals who have entered into an agreement with employees.
Legal entities
When creating a legal entity, its registration with the tax authority and funds, including the Social Insurance Fund, is carried out automatically after entering information about the legal entity in the Unified State Register of Legal Entities. Self-registration with the Social Insurance Fund is mandatory for legal entities at the location of their separate divisions. The procedure is carried out at the place of registration of the organization by submitting an application in the established form. It can be submitted either in writing or electronically (via the Internet service “State Services”).
When submitting an application to the FSS by an authorized person, he must submit a document confirming his authority. The application must be submitted no later than 1 month from the date of registration of such a unit. Deregistration of a legal entity occurs either according to information from the Unified State Register of Legal Entities, or according to an application for deregistration submitted directly by the legal entity, if:
- The activities of the organization were terminated, including as a result of bankruptcy proceedings;
- The company was reorganized;
- Location has changed;
- The legal entity was excluded from the Unified State Register of Legal Entities by the registration authority.
Before submitting an application for liquidation to the registration authority, a legal entity is obliged to submit to the FSS branch a calculation of accrued and already paid contributions. After receiving information about the termination of the organization’s activities, the Social Insurance Fund has the right to conduct a documentary check and recover unpaid contributions for the past period from the policyholder. The date of deregistration is the date of making an entry in the Unified State Register of Legal Entities on the liquidation of this organization. If a legal entity is deregistered due to a change in location, then its case is transferred to the FSS department at the new place of registration.
Individual entrepreneurs
If an individual entrepreneur hires an employee to perform any work or provide services, then he becomes an employer. Therefore, he must register with his regional branch of the Social Insurance Fund as an insurer within the first month from the date of concluding an employment agreement with an employee. When applying to the Fund, an individual entrepreneur must prepare the following documents and their copies (copies are certified by Fund employees):
- Statement;
- Work records of your employees;
- Certificate of registration of individual entrepreneur;
- Certificate of registration with the tax office;
- Passport;
- Civil contract with the hired employee. At the same time, the document must contain a mention that the individual entrepreneur undertakes to pay insurance premiums for the citizen to the Social Insurance Fund.
If an individual does not have the status of an entrepreneur, then he must additionally submit a license issued to carry out any activity, for example, by a private lawyer, a notary, and so on. An individual entrepreneur must be deregistered from the Social Insurance Fund as an insurer if:
- The place of permanent or temporary registration has changed;
- The activities of the individual entrepreneur were terminated;
- The hired employee was fired;
- The contract concluded with him has expired.
To deregister, an individual entrepreneur must bring to the FSS office where registration took place an application, a notice of registration and documents certifying the reason why the individual entrepreneur ceased to be an insured. This could be: a passport with a new place of registration recorded, a document terminating a contract with a hired employee, an expired contract.
If deregistration occurs due to termination of a contract, or upon official termination of the activities of an individual entrepreneur, the procedure may be non-declarative. This means that deregistration occurs on the basis of copies of contracts that are stored in the file of this policyholder, or upon receipt of information from the Unified State Register of Entrepreneurs about the exclusion of this individual entrepreneur from the unified register of entrepreneurs.
Individual entrepreneur - employer
For an entrepreneur who has a staff of employees with whom employment contracts have been drawn up, other rules are provided. Closing an individual entrepreneur will not take you much time.
First of all, you need to properly end relationships with employees:
- Terminate the contract.
- Pay wages and other accruals to all employees at the time of closure of the individual enterprise.
- Transfer contributions to the tax, pension fund and social insurance fund.
Only after completing the listed cases, an individual who has lost the status of an individual entrepreneur can begin to collect a package of documents for the Pension Fund and the Social Insurance Fund.
Deregistration from the Social Insurance Fund
The list of documents for deregistration with the Social Insurance Fund is as follows:
- Application form for deregistration of individual entrepreneurs with the Social Insurance Fund (Regulation No. 574).
- Copies of orders and agreements on termination of employment relations with each employee.
- Employer's passport.
You can contact the Social Insurance Fund with an application to close an individual entrepreneur as an employer at any time. There is no specific time frame for this procedure. Within two weeks (14 days), the Fund must consider the request and issue a notice of closure of the individual entrepreneur. Refusal comes only if there are still debts on insurance premiums.
Having received a positive answer, the former employer goes to the Pension Fund to get rid of this status here too.
Within two weeks, the Social Insurance Fund must consider the request and issue a notice of closure of the individual entrepreneur.
Procedure for informing the Pension Fund
Many people are interested in the question of how to notify the Pension Fund of the Russian Federation about the closure of an individual entrepreneur. To begin with, the entrepreneur is obliged to submit all the necessary information, including reporting to the Pension Fund, before terminating his activities. The intention to close the individual entrepreneur must be sent in the form of a written message. There is a form for notifying the Pension Fund of the Russian Federation about liquidation. It can be found on the official website of the foundation, then printed and filled out. That is, there is no need to stand in lines, as was the case before, and wait for the form to be issued, then fill out and stand for another hour, or even two, in order to hand in the form.
So, what needs to be done to close the IP:
- Send a notice of termination to the Pension Fund;
- Reconcile mutual settlements by requesting reconciliation reports;
- Submit all unfiled reports;
- If there is a debt, pay it off; Although the existing debts are still closed, the debts do not go away, and the individual will have to pay them.
A similar scheme is used to inform all extra-budgetary funds.
Particular attention should be paid to reporting, since untimely filing of reporting during the liquidation of an individual entrepreneur will cause a delay in the process of registering the termination of business, as well as the basis for the accrual of additional fines.
Deregistration with the Pension Fund of Russia
To ensure that the Pension Fund does not have claims for non-payment of contributions for employees who were previously on staff, the former entrepreneur must notify the fund of the termination of employment contracts.
Package of documents:
- Application form in the form (Appendix 10 to Regulation No. 296) indicating the reason for the application.
- Copies of orders for the dismissal of employees due to the liquidation of individual entrepreneurs.
- Passport.
The Pension Fund can provide the client with a list of necessary documents, because each termination of a businessman’s activities is considered individually.
The procedure for deregistering an individual entrepreneur as an employer in the Social Insurance Fund
The procedure for changing status does not take much time.
To withdraw an individual entrepreneur from the Social Insurance Fund, you must prepare the following documents:
- statement;
- a copy of the order to dismiss an employee or terminate an employment contract by agreement of the parties.
The application is drawn up on a standard form. All fields regarding the employer must contain information about the legal address, subordination code, registration number, and contact information.
The application form for deregistration is presented on the official website of the Federal Tax Service.
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Registration of an individual entrepreneur with the Social Insurance Fund as an employer in 2021
You can submit an application for deregistration of an individual entrepreneur as an employer in the Social Insurance Fund and a copy of the order in person to the territorial office or by mail, by registered mail with notification. If the documents are sent by Russian Post, a copy of the order must be notarized. Documents can be submitted by a third party on behalf of the entrepreneur, if he has a power of attorney executed by a notary with the appropriate powers.
Some departments may require a notice issued upon registration of the employer with the Social Insurance Fund. If this notice is lost, this must be indicated in the application. No penalties are applied to individual entrepreneurs.
Before submitting the necessary documents, order a reconciliation report for insurance premium payments from the Fund. If there is no debt, collect a package of documents and provide it. If the fact of non-payment of contributions is revealed, a receipt confirming their payment must be attached to the package of documents. If there is an overpayment, after consideration of the application, the amount will be transferred to a current or personal account, according to the details specified by the individual entrepreneur.
If the individual entrepreneur decides to completely cease his activities, then there is no need to submit an additional application, since such a form is not even provided, and without hired employees the FSS is not interested in him.
A change in the status of an entrepreneur occurs within 14 working days from the date of receipt of the application. The FSS will send a copy of the decision to the postal address specified in the application. If deregistration is refused, the FSS will explain the reason.
Until the status changes, the individual entrepreneur’s responsibility is to submit reports in Form 4-FSS. It is important that when deregistering, for example, on March 1, a report for the 1st quarter must be provided before April 15.
There is no deadline for filing an application for change of status, which means there is no liability. Failure to deregister requires the provision of reports with zero values, since failure to submit Form 4-FSS on time will result in a fine of 1,000 rubles for each document.
Submit your application within a reasonable time frame and save time spent on reporting.
The absence of debt and a correctly collected package of documents will allow you to quickly proceed with the deregistration procedure.
Submit documents
An entrepreneur can submit documents to the funds independently or through a representative (by power of attorney):
- When applying in person, no additional documents are required to confirm the right to apply, except for a passport.
- If another person is involved in the procedure for closing and deregistering an individual entrepreneur, then he needs a power of attorney certified by a notary.
- All documents can be sent to the funds by registered mail with notification and an inventory of the contents of the envelope.
Any agency must respond within 14 days of receiving the request. After this, the business liquidation procedure is completed.
An individual entrepreneur, when closing his business, must report to both the tax authorities and extra-budgetary funds. An individual entrepreneur who does not have employees needs to deregister only with the tax office. Don’t forget to check all documents after closing the IP. It is also very important to ensure that any debt is paid off. If you do everything correctly, you will not have any problems during a possible inspection.
