It was formed in Moscow on 1 July 1922. The division headquarters and the 40th Rifle Regiment were stationed at Vladimir. The 41st Rifle Regiment was in Murom and the 42nd Rifle Regiment at Kovrov. The division transferred to the Leningrad Military District in Vologda during the late 1930s. Its regiments were deployed in Vologda, Arkhangelsk and Cherepovets. In September 1939, the regiments were each expanded to division strength, resulting in the formation of the 88th Rifle Division and 168th Rifle Division. On 11 September 1939, its headquarters moved to Murmansk.