How to get back 13 percent of buying a car on credit: the main options and ways to save

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

In the article, we will look at how to return 13 percent of the purchase of a car.

It is impossible to issue a tax deduction for the purchase of a car purchased on credit. The only benefit that is possible in this case is the receipt of funds in debt, intended for the purchase of a car under the state program. The law does not provide for a tax refund, since deductions to the state budget, if a credit car is purchased, are not made. You can get a deduction only when selling a vehicle.

And still people are interested: "When buying a car, can I get 13 percent back?".

Income tax

All citizens of the Russian Federation are required to pay income tax to the budget, which is 13% of income. In some situationsthe state can provide benefits that allow a citizen to return a certain amount of money back. As a rule, deductions are used when paying for treatment, acquiring real estate, voluntary pension insurance, making money as a tuition fee. Purchasing a credit car raises certain questions. The use of credit services also involves high costs. There is an opinion that it is impossible to get back part of the money spent on the purchase of a credit car.

Determination of tax deduction

Find out how to get 13 percent back on car purchases.

Under the tax deduction is understood the amount by which the income of a citizen paying personal income tax is reduced. In some cases, it is allowed to return the amount that was paid to the budget earlier. Currently, this is possible if a citizen has purchased property, paid for treatment or education. In fact, a tax deduction is a benefit that is provided in accordance with Article 217 of the Tax Code of the Russian Federation.

How to return 13 percent of the purchase of a car in a car loan? A person recognized as a tax resident who receives income subject to personal income tax at a rate of 13% can use the benefit to return a part of the amount paid in Russia. There are several ways to get a tax deduction.

Let's look at ways to return 13 percent of the purchase of a car.

With a statement to the employer

A citizen has the right to apply to the employer with a relevant application. If it happensmaking a deduction for a child, you will need to provide a birth certificate, documents that can confirm disability (if any), and papers that confirm the status of a single parent. When an exemption is granted for expenses incurred during the acquisition or construction of housing, all documents must be submitted to the tax authorities. The tax office will send the citizen's application for consideration, after which it will issue a specific notification that will indicate the possibility of obtaining benefits, as well as the available refund amount. After receiving the notification, you must contact the employer. To receive a social deduction, it will be necessary to fill out and submit a declaration, to which documents confirming the costs are attached.

It is important to collect all the necessary information in advance, how to return 13 percent of the car purchase.

Why does the state need this?

By providing tax incentives, the state encourages people to find a job officially. In addition, part of the funds is redirected to education, he althcare, and construction. There are deductions available for all employees who have children and have participated in certain events. It is possible to receive funds only if all the conditions established by law are met. Each type of tax deduction requires the preparation of a package of certain documents provided to the tax office.

How to get back 13 percent of the purchase of a car, everyone wants to know.

Possibility of obtaining a tax deduction for the purchase of a credit car

Types of tax deductions, as well as the features of their provision, are fixed in Chapter 23 of the Tax Code of the Russian Federation. Buying a vehicle is not a reason to get a refund. The benefit does not apply to the purchase of a car for the following reasons:

1. In accordance with Article 220 of the Tax Code of the Russian Federation, a car does not apply to property, acquiring which a citizen receives the right to a benefit. Previously, the issue of including a car in this list was not discussed.
2. The cost of most budget cars does not reach 650 thousand rubles. Receiving part of the funds in this case is not a significant help for a citizen. Only some citizens purchase vehicles worth more than a million rubles.
3. Only those persons who have paid tax and regularly make other contributions to the state budget are en titled to receive benefits. When buying a car, a citizen does not make any deductions to the budget. Therefore, the deduction is not possible in this case.
4. Citizens mistakenly think that the deduction is part of the money paid for the acquired property. It is generally accepted that the completion of a transaction and its documentation allow you to receive part of the money from the state. Such an opinion is erroneous. A deduction is a reduction in the tax base. That is, it will be necessary to pay personal income tax not from the entire amount, but from some part of it.

People often ask how to return 13 percent of the purchase of a car incar dealership loan? Let's figure it out.

Deductible Purchases

All available tax deductions fall into three broad categories:

1. Property.
2. Social.
3. Standard.

Tax deductions from the standard category are provided to citizens by their direct employers. In this case, the employer acts as a tax agent. To receive a benefit, you must prepare certain documents, draw up an application and submit it to the employer. As a rule, the standard allowance for children is used. The amount of the deduction depends on the number of children:

1. 1, 4 thousand rubles for the first two children.
2. 3 thousand rubles for the third and every next child.
3. 12 thousand rubles for underage children with disabilities. If the child is a disabled person of the first or second group and is studying full-time, then the benefit will be provided until his age reaches 24 years. Parents and adoptive parents can receive a deduction in the amount of 12 thousand rubles. Trustees and guardians can receive a deduction of 6 thousand rubles.

Standard tax credits

There are also other standard tax deductions:

1. Disabled servicemen, disabled veterans of the Second World War can count on receiving 3 thousand rubles.
2. Disabled people of groups 1, 2, childhood - 500 rubles.
3. Participants of the Second World War - 500 rubles.
4. Heroes of the Russian Federation, USSR - 500 rubles.
5. Chernobyl victims - 3 thousand rubles.

Among social deductions there are:

1. For medicines, treatment.
2. For voluntary insurance.
3. For a funded pension.
4. For training.
5. To charity.

Property deduction can be obtained if transactions such as:

1. Repurchase of property intended for municipal, state needs.
2. Purchase of land for development and construction of housing.
3. Sale of property.
4. Purchasing a home.

Getting a tax break is not always possible. It is impossible to get a deduction if funds from maternity capital, funds from the state budget, employer, other persons were involved, as well as if the transaction was concluded between persons dependent on each other.

Selling Property and Getting Tax Relief

You can also count on receiving a tax benefit by selling property. If the property was owned by a citizen for 3-5 years or more, you should declare income and pay tax. The amount of the tax deduction in this case is 130 thousand rubles (if a residential building, room, cottage, land plot, apartment was sold).

There are also professional deductions. Self-employed citizens can get them. These benefits allow you to reduce your tax base by an amount equal to your verified income.

How to get back 13 percent of the purchase of a car on credit?

Privileges when purchasing a credit car

You can receive certain benefits only if a credit car was purchased within the framework of existing state programs, which is regulated by Government Decree No. 808 of 07.07.2017. The benefit is available for people who purchase a car for the first time and have more than two children. If lending occurs under the state program, then the citizen acquires the right to receive a 10% discount, however, this entails a certain restriction regarding the choice of vehicle. The cost of a car should not exceed 1,450 thousand rubles. Other benefits for the purchase of a credit car by the state are not provided.

We continue to consider how to return 13 percent of the purchase of a car and ways to save money.

The nuances of tax deductions for the purchase of credit vehicles

A car owner can count on a tax benefit only if he sells the vehicle. Therefore, it is recommended that a citizen be prepared for the subsequent sale of a car if a tax deduction is planned. To eliminate possible difficulties in registration, it is recommended:

1. Keep the contract of sale under which the car was purchased and in which its cost is indicated. It is desirable that the document be notarized.
2. During the time you own a car, you should collect and save receipts that confirm the spending of money on improving car performance. If in three years a citizen decides to sell a car at a costless than in the contract confirming the sale and purchase, then the documents will allow him to receive a deduction.
3. The vehicle must be registered to a citizen who will subsequently act as a seller. If all the nuances are not met, it will not be possible to receive a benefit in the future.

These are the main options on how to return 13 percent of the purchase of a car.

If the documents are not saved, what should I do?

If a citizen does not have documentary evidence, the process of obtaining a tax deduction will be very difficult. In this case, you will need to complete a tax return. The document must be submitted to the IFTS at the place of registration. If the declaration is not submitted on time, the citizen will have to pay a fine. The amount of the fine is one thousand rubles. If a car or other vehicle is sold for less than 250 thousand, the amount is not taxed. In other situations, a citizen has the right to apply for and receive a tax deduction.

We told you how to return 13 percent of the purchase of a car.