Interest payments to Russian companies on loans from affiliated foreign companies may be considered dividends and taxed as such, Vedomosti reported citing a High Arbitrage Court ruling on a claim by OAO Naryanmarneftegaz.

The court’s decision makes such financing less favorable, the Moscow-based newspaper said.

To contact the reporter on this story: Anatoly Temkin in St. Petersburg at atemkin@bloomberg.net

To contact the editor responsible for this story: James M. Gomez at jagomez@bloomberg.net