Real estate tax from January 1, 2020
A new procedure for calculating the property tax (IN) of individuals will be introduced from 01.01.2020. Back in 2014, the Russian President signed the Federal Law on amendments to the Tax Code and on tax recalculation: now the calculation will be carried out by the Federal Tax Service on the cadastral value of the property, previously this was done on the basis of the inventory value of the property. The tax base on which the calculation will be carried out is changing. On property owned by citizens: apartments, houses, garages, land.
Property tax for individuals
Individuals - Russians who own any kind of property, expect big taxes next year. Back in 2014, the President signed the Federal Law, which introduced amendments to the Tax Code. The tax calculation will be made at the cadastral value of the property. Previously, this calculation was carried out at the inventory value.
With the onset of 2015, different regions began to carry out cadastral valuation of property. It was agreed that it will be below the market value of interest by 15-20. In fact, the market value of the property is constantly in a change that is difficult to track. Therefore, during the cadastral valuation, errors were made in overstating the cadastral value, which are disputed by the property owners in court.
How was the calculation of ID
A phased transition for the new tax calculation was planned for the period from 2015 to 2020. The formula for new charges implied a phased increase in tax by 20%. It was estimated that the tax burden on property will increase slightly annually, successively by 0.2, - 0.8 percent.
Only in 2020, the tax will have to be paid in full. In 28 constituent entities of the Russian Federation, including Moscow, the transition to new property taxation began in 2015. The increasing coefficient here has already reached 0.6. In another 21 constituent entities of the Russian Federation, it increased to 0.4.
A new version of the tax calculation led to a sharp increase, and property owners began to challenge the results of the cadastral valuation of their property in the courts.
Changes to the calculation of the cadastral value of property tax (IN)
To calculate according to the new IN principle, consider the following example:
Taxation of an apartment of 90 square meters. m
The tax on inventory value was 9400 rubles
The formula used to calculate the cadastral value:
(H2 - H1) * K + H1, where
H2 - cadastral value of the apartment;
H1 - inventory value;
K - lowering set;
For an apartment that is estimated at 10,000,000 rubles. a deduction amount of 20 sq.m. It is calculated as follows:
10 million / 90 * 20 = 2222222 rub.
The tax rate for 10 million rubles = 0.15
Tax base = 10000000-2222222 = 7777778 rubles
H2 = 7777778 * 0.15 = 11667 rubles
We calculate by the formula (11667-9400) * 0.6 + 9400 = 10760 rubles.
The use of reducing coefficients in the constituent entities of the Russian Federation
The subjects of the Russian Federation conducted a cadastral valuation of the real estate fund in different ways. Some of them began to carry out such an assessment as early as 2015, some regions conducted it since 2016, and some regions conducted this assessment since 2017. In some regions, the reduction coefficient has already reached 0.6, while in other regions it is only 0.2.
Since many entities conducted the cadastral valuation incorrectly, it even exceeds the market value of the property in them, some amendments have been made to the Tax Code:
The amount of tax will increase by no more than 10 percent compared to the previous year. The tax base will be calculated with decreasing ratios:
- first tax period - 0.2;
- second tax period - 0.4;
- the third tax period is 0.6.
ID for pensioners of the Russian Federation and non-residents of the Russian Federation
Pensioners are provided with benefits for paying IN. Pensioners are exempted from paying IN in the following types of property:
- household buildings;
- part or whole residential building;
- part or the whole apartment;
- parking place or garage;
- creative workshops, etc.
If a pensioner is not a citizen of the Russian Federation and receives a pension in his state, but is the owner of Russian property, then he is also exempt from paying IN.
Property is expensive: payment in
The benefits of non-payment of ID to pensioners apply only to property that has a rating below 300,000,000 rubles. Property that has a cadastral value higher than 300,000,000 rubles falls under the payment of property.
Also, benefits are not provided to pensioners if:
- the property owned by the pensioner is used by him to receive commercial income;
- a pensioner owns several real estate objects: two apartments or two houses.
The privilege is used only for one object of each type of real estate.
Registration of benefits for IN
Upon retiring, a Russian citizen is not automatically exempted from paying IN. Benefit must be issued. To do this, in accordance with the order of the Federal Tax Service of the Russian Federation No. MMV-7-21 / 897 @, in accordance with the appropriate form, an application is submitted to the Federal Tax Service. This tax benefit statement can be provided immediately for three types of property: land, movable and immovable property. Only one application is filled in one of three ways:
- on the computer;
Retirement age increase and ID
The retirement age has been increased by law since 2019. As reflected in future retired Russians IN. For the period (until 2028), a legislative decision was made to maintain this benefit already reached the age of men / women 60/55 years. Women and men born 1973/1968 respectively, only 60/65 years old will already receive this benefit.
When to pay IN for a parking space or garage
Since 2017, changes have been made to the Tax Code that improve the position of owners of parking spaces and garages. If previously the tax on this type of real estate was calculated in the amount of 2%, and no federal benefits were applied to this type of property, now the marginal tax rate for this type of property is not higher than 0.3%. Also, pensioners benefit from non-payment of ID for this type of property.
If a pensioner possesses the following types of property: an apartment, a residential building, a parking place, then for each type of property he is exempt from paying IN. If a pensioner owns two apartments, then only one of them falls under the benefits. On the second he is obliged to pay IN.
Errors in the cadastral valuation of TO
COs were conducted by independent experts who also made mistakes. Erroneously, the cadastral value in many cases exceeded the size of the market value. The Tax Code has been amended to challenge the owner of the property cadastral valuation. And he will pay according to a new calculation from the moment the error is discovered.
Benefits and deductions: additional changes
The tax base can now be reduced when calculating IDs not only for an apartment, but also for a residential building. The deduction is equal to the cost of 20 square meters. m. When paying IN for part of the apartment, the tax base is reduced by 10 square meters. m
Categories of citizens - beneficiaries for paying IN
Pensioners - this is one of the categories of Russians that is exempt from paying IN. Also, persons with disabilities and children with disabilities are exempt from property tax.
Previously, owners of parking spaces and garages, which were located in non-residential funds, did not have rights to benefits. With amendments to the Tax Code, they are also entitled to benefits.