Land tax: calculation example, rates, payment terms

2024 Author: Howard Calhoun | [email protected]. Last modified: 2023-12-17 10:16

The tax rate means the amount to be paid, which the owner of the land plot is obliged to carry out in favor of the municipal authorities. When determining, the characteristics of the site, as well as its cadastral value, are taken into account. The article discusses what a land tax is. An example calculation is given for individuals and legal entities.

General provisions

Chapter 31 of the Tax Code of the Russian Federation establishes a land tax, which is indicated in the budget. It must be paid by persons who own real estate related to the object of taxation.

According to the law, all land plots located within municipalities are considered to be such.

The following objects are not taxed:

• Territory related to the housing stock.
• Forestry allotments.
• Allotments that are withdrawn from circulation, according to the laws of the Russian Federation.
• Territories with reserves, cultural monuments and similar objects located on them.

Factors affecting payouts

The amount of the fee does not depend on the financial income of the owner of the plot or on the fertility of the soil. Any example of land tax calculation will show that the most important parameters that are taken into account are the size of the plot, its type, location, and similar characteristics. The tax base is always based on the cadastral value of the land, recorded in the Unified Register. The final amount is also affected by the availability of benefits.

Bet determination

The Law "On the General Principles of Local Self-Government in the Russian Federation" No. 131 indicates that both the introduction and the change, as well as the abolition of the tax collection, are within the powers of the regional authorities. Therefore, in the local administration you can find out all the information about the current rate. They will also tell you what the land tax is set for. An example of a calculation is easier to find on third-party resources.

Features when determining the rate

Often there are cases when the allotment of land is located on the border area. Then the norms of 2 regions are applied to it at once, in which their own land tax is established. For budgetary organizations, an example of calculation is carried out for each region separately (the same as for individuals). Then the size of the cadastral price of the object is taken into account.

When revaluing the cadastral value, you can change the tax base based on the following rules:

• If an error is made in the calculations, then the recalculation is done for all the years calculatedwrong.
• If the adjustment is made by decision of the commission or the court, then the changes take effect from the moment the citizen applies to the appropriate authority to revise the price.
• In other situations, the change in the current year is not carried out, and the new cadastral price starts to be taken into account from the next tax period.

If the plot of land is in common ownership, then the tax is distributed in equal parts or in accordance with the share of each of the co-owners of the land.

When to pay

The payment term is contained in both federal and regional legislation. Individuals must deposit funds by October 1 of the following year after the tax period. Citizens would like to know how to calculate the land tax. They can use the example and formula to do the necessary calculations. This may be necessary to verify the calculations made by the tax authorities, since ready-made notifications with amounts are sent to payers by mail. Of course, every literate person should understand what he pays money for.

Legal entities, as a rule, independently deal with the calculation. In addition, they separately pay an advance, and also submit a completed declaration to the territorial office of the Federal Tax Service. Payment of the tax fee is carried out as follows:

• After the end of the 1st quarter, a deposit and a declaration are paid.
• After the end of the 2nd and 3rd quarter, deductions are also made andreporting provided.
• After the end of the year (not later than the first of February), legal entities pay the remaining amount and submit a declaration to the tax authority.

Notice

Individuals transfer money for land tax on the basis of a notification that contains information about the object, the calculated amount, and the timing of payment. The notification is sent to the address of the owner of the plot no later than one month before the end of the payment period. If the letter was not received, it is advisable to contact the tax authority in person to receive a notification. Otherwise, pen alties may apply.

If errors are found in this document, then the citizen should contact the organization using the contacts provided in the notification. It is convenient to verify data, as well as make payments, by registering on the official website of the tax service. Having gained access to a personal account, a citizen will always be able to be aware of how much to pay and what deadlines to meet.

Rate for individuals and legal entities

For all land owners the same land tax is calculated. The calculation example below proves this. The amount of the fee is based on the provisions of Article 394 of the Tax Code.

For the following lands the rate is 0.3%:

• Farmland.
• Plots with residential buildings and utility infrastructure located on them.
• Special purpose land limited inturnover.
• Allotments intended for horticulture and horticulture.

In relation to the rest of the plots, the tax is 1.5%. Different regions can set their own rates (with a decrease in its value to 0.1% or using a differentiated approach). For example, in the Yaroslavl region, the rate is from 1% to 1.5%. The difference is due to the category of land. Information about this can be obtained by contacting the municipal authorities. If local authorities did not set rates, then the tax fee is calculated based on the values determined at the federal level.

Calculation example for individuals

Each land owner can independently calculate the land tax. The calculation example is based on the following formula:

Rate=cadastral valueshareregional tax rateownership ratio (if the allotment was not owned all year).

Let's imagine that the cadastral value of a plot in Moscow Region is 2.5 million rubles. The tax rate for this land is applied at a rate of 0.3%. Then an example of calculating land tax for individuals in the general case will be as follows: 2.5 million0.3/100=7500 rubles.

If the land was owned for 4 months, then the coefficient will be equal to 0, 33 (or 4/12). In this case, the formula will take the following form: 2.5 million0. 3/1000. 33=2475 rubles.

If the plot is in shared ownership (3/4), then the land tax example rate will belike this: 2.5 million0.3/100¾=5625 rubles.

If a citizen is en titled to a benefit, then its amount is subtracted from the received value.

Benefits

Article 395 of the Tax Code states that certain individuals and legal entities have the right to enjoy benefits. Legal entities include the following:

• Institutions of a religious type.
• Prisons.
• Avtodory.
• Individual public organizations.
• Other persons.

The following beneficiaries stand out among individuals:

• Disabled people.
• Veterans of the Second World War.
• Persons at particular risk.
• Those who have had radiation sickness or received disability due to radiation.
• Other persons.

Regardless of the region, these persons receive a benefit, the amount of which is 10 thousand rubles. Thus, 10 thousand rubles are deducted from the final amount. In addition, the regions may have their own programs, which differ in amounts, as well as in the list of applicants. To find out about beneficiaries in your region, you should contact the tax office at the place of residence.

There are times when the benefit starts or stops in the middle of the year. Then the tax collection is calculated by dividing the number of full months in which there was no discount by the number of months in a year.

FAQ

Many people have a number of questions about paying taxesto the ground. The most common are:

• Can I pay land tax ahead of schedule? Yes it is possible. To do this, contact the tax office at the location of the plot of land.
• Can inspectors require a certificate of the cadastral price of the site? No, they can't. Additional requirements for the payer are not imposed by the tax service.
• When does the obligation to pay land tax end? Information about this is contained in Article 388 of the Tax Code. According to its provisions, this fee must be paid by persons who have a land plot in ownership, perpetual use or inherited possession for life. Consequently, immediately after the alienation of the land, the obligation to pay land tax ceases. For example, the terms begin to be calculated from the moment changes are made to the Unified Register.
• What documents are title documents in order to recognize a person as a taxpayer? This right is confirmed by the State Registration Certificate. If the site was purchased before January 31, 1998, then the documents that were in circulation at that time are fundamental. Re-registration in order to obtain new documents is not required.
• Are there any restrictions on the periods of tax collection recalculation? Yes there is. Recalculation is possible up to three years (no more) before sending a corrective notice.
• How is the pen alty calculated? This procedure depends on when the notification is received. If there was no violation on the part of the tax authority, then the pen alty begins to accrue from the next dayafter the deadline set for the payment of the tax levy. If it was received late, then the citizen has the right to pay the tax within 30 days after he actually received the notification.
• What happens if you don't pay land tax? An example calculation for organizations is necessary, since they must perform this action on their own. Individuals receive a notification. Regardless of whether the owner is a natural or legal person, he is liable for failure to fulfill the obligations of a taxpayer. For non-payment (as well as for incomplete payment) of land tax, according to Art. 122 of the Tax Code of the Russian Federation, a fine is imposed, the amount of which is 20% of the arrears.

Conclusion

Legal entities must make their own calculations. To be sure that the overpayment is not made, it also does not hurt for individuals to know how to calculate the land tax. An example of payment with a calculation given in the article will help with this. Any nuances can be clarified in the tax office at the place of residence, since this fee is set at the regional level.