We found no social security agreement between India and Russia, so a Russian employee working in India cannot obtain a certificate of coverage. As the EPF rules for international workers are generally applied, a foreign national from a country without an agreement is covered from the first day, on full wages. Russian social insurance contributions may continue under Russian rules for an employee of a Russian employer, creating possible double cost. For income tax, the treaty's employment article rarely helps a secondee whose cost is borne by the Indian subsidiary, so the Indian employer withholds tax on salary under Section 392 of the Income-tax Act, 2025.
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Key facts
| Social security agreement | None found between India and Russia |
|---|---|
| Indian provident fund | International worker rules as generally applied: contributions on full wages; confirm the position |
| Russian contributions | May continue for Russian employees under Russian law; confirm with a Russian adviser |
| Indian income tax | Tax on salary for work done in India under Section 392; treaty relief only if the day-count and employer conditions are met |
| Russian income tax | Residents are taxed on worldwide income with credit for foreign tax; confirm with a Russian adviser |
| Equalisation | Plan a tax equalisation or gross-up policy |
| Visa | Employment visa for work; see the relocation guide |
| Cost | Budget for double contributions where both systems apply |
Income tax in India
- Salary for work done in India is taxable in India. The treaty can protect a short stay only if the employment article conditions are met, including that the employer is not an Indian resident and the cost is not borne by an Indian entity. Confirm the exact test in the text.
- The Indian employer deducts tax on salary under Section 392 of the Income-tax Act, 2025, and deposits it by the 7th of the following month.
- A person who stays long enough becomes resident in India and may be taxed on world income, subject to the not ordinarily resident rules.
- Housing, school fees and travel allowances are taxed as perquisites unless exempt, so negotiate the package with the tax effect in mind.
Provident funds and social insurance
| Topic | India (EPF) | Russia |
|---|---|---|
| Contributions | Employer and employee contributions on wages; international workers on full wages as generally applied | Employer insurance contributions on pay under Russian law; confirm rules for work abroad |
| Agreement relief | None found | None found |
| Overseas secondees | Covered once working in India for an Indian establishment | Depends on the employment contract and Russian rules |
| Action | Register and contribute from the first day | Ask the Russian adviser whether contributions continue |
Secondment, local contract or business trip
| Model | Employer for Indian tax | Points to watch |
|---|---|---|
| Short trip for meetings | Russian employer | Visa category and day count; PE risk if staff conclude contracts |
| Secondment to the Indian subsidiary | Indian subsidiary directs the work and bears the cost | Salary taxed in India; EPF; recharge priced under transfer pricing; Withholding Tax on the reimbursement |
| Local Indian contract | Indian subsidiary | Cleaner for Indian law; Russian employment status and exit need planning |
The secondment letter
- State the employer of record, the reporting line, the term, the pay split and who bears Indian tax and provident fund.
- Add confidentiality, intellectual property assignment and return-to-Russia terms.
- Make sure the Indian subsidiary controls the work, or the person may be seen as working for the parent and create PE risk.
Immigration
Visa categories and registration are covered in relocating Russian staff.
Official sources
Check the rules at the primary sources: Income Tax Department (India), Reserve Bank of India, Ministry of Corporate Affairs, Federal Tax Service (Russia), Bank of Russia and the Ministry of External Affairs (India).
Frequently asked questions
Is there a social security agreement between India and Russia?
We found none. A certificate of coverage is not available, so Russian staff in India fall under the Indian provident fund rules for international workers as generally applied.
Does a Russian secondee still pay Russian contributions?
Possibly, depending on the contract and Russian rules. Take Russian advice.
Is salary for work in India taxable in India?
Yes, unless the treaty's employment article conditions are met. A secondee whose cost is borne by the Indian subsidiary normally does not meet them.
Who deducts Indian tax on the salary?
The Indian employer, under Section 392 of the Income-tax Act, 2025, by the 7th of the following month.
Can I avoid double contributions?
Not through an agreement. Structure the assignment, for example as a local contract or a short trip, only where the facts support it, and budget for both systems.
Does the India-Russia mobility agreement change this?
A manpower mobility agreement was reported as finalised in December 2025 for Indian workers going to Russia. It does not replace the tax and provident fund rules above.
Related guides
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Read the guide →Sources
Last updated 26 October 2026. General information only, not legal or tax advice. Indian and Russian rules change often; confirm current requirements before acting.