MOSCOW, February 2 (RAPSI) – The State Duma Committee on Information Policy has started its work on a bill regulating the establishment of vested with necessary powers representative or branch offices of foreign internet companies in the territory of the Russian Federation.

The new requirements are first to be applied to the internet companies on the register of internet service providers. Besides, the bill envisages measures aimed at upgrading of penalties for failures to comply with Russian laws on the personal data storage and pay taxes on the proceeds gained in the Russian territory.

Currently, even the existing representative offices of foreign internet companies in Russia are anything but fully functional units since business operations are often carried out without their participation, according to Chair of the Committee on Information Policy Alexander Khinshtein.

The Committee is planning to hold a meeting with representatives of the industry in spring to discuss these issues.

Earlier, Russia’s President Vladimir Putin has issued his instructions as to work on proposals concerning introduction of additional requirements to foreign IT-companies, including the question of presence of their representative offices in Russia.