Land tax: rate, terms of payment, declaration

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

Many people prefer to live in private buildings instead of stuffy and noisy apartments. They are usually located on the site, where there is enough space left to engage in subsidiary farming. This is not only an interesting hobby, but also saves a lot of money, since you do not have to spend a lot of money on buying different products. Farming is allowed only on land registered in the ownership of a citizen. Therefore, it becomes necessary for him to correctly calculate and pay land tax. At the same time, rumors regularly circulate that the size of this loan, along with the tax, has increased significantly. You should understand the rules for calculating and transferring this payment so as not to violate the law.

Collection Concept

The land tax is regulated by various articles of the Tax Code. At the same time, local authorities of the regions can significantly adjust the legislation in this area. Funds are directed to the budget of the region. Therefore, the municipalities themselves determine which tax rate will be used. This takes into accountthe provisions of Ch. 31 NK.

Previously, to calculate this fee, the book value of the land was taken into account, which was not large in size, so the payment was quite low. But since 2106, significant changes have been introduced that have affected the rules for calculating land tax. Now, for this, the cadastral price of the object is used, which is similar to the market value. Therefore, the payment itself was increased several times.

The cadastral price is determined by independent experts, for which various factors are taken into account, such as the size of the site, its location, land condition, infrastructure development and other nuances. Appraisers often rely on unreliable data, so the cadastral price is considered too high. Under such conditions, the owners of the territory have the opportunity to challenge the established indicator. Therefore, disputes often arise regarding the correctness of determining the cadastral value.

Is it possible to challenge the indicator

Often the cadastral price of a certain land is really extremely high. Initially, the owners of the object must apply to a special interdepartmental commission for a reassessment. If, according to its results, the price remains unchanged, then you will have to turn to independent experts.

If the results of an independent assessment show that the cadastral price is much lower than the indicator used by the Federal Tax Service when calculating the tax, then you need to file a lawsuit. Evaluation report serves as evidence. If the courttakes the side of the plaintiff, then a recalculation is made, and changes are made to the Rosreestr, therefore the cadastral value is reduced. The plaintiff may additionally recover from the Federal Tax Service the costs of the assessment.

Objects of taxation

Land tax in 2018 is levied only on land plots located on the territory of the Russian Federation. It should be implemented by normative regional acts. Both individuals and different companies must pay the fee, but they usually have different rates and payment procedures. Funds are collected from land that can be agricultural, industrial or recreational.

The main objects for this fee include:

• plots owned by companies and intended for agricultural work;
• land owned by dacha communities or citizens, and the purpose of its acquisition should be farming;
• territories required for the operation of various industrial enterprises;
• lands that belong to a tourist area or are intended for recovery, so they usually have different hotels, boarding houses and sanatoriums.

Land tax does not apply to objects owned by the state or withdrawn from circulation, as well as if they are of historical or natural value. Additionally, this includes sites intended for the construction of high-rise buildings.

Bet Size

When calculating this fee, you should know what the land tax rate is. She's differentfor individuals or companies. Regulated by the local municipality, but according to Art. 294 of the Tax Code sets the limit values for this indicator.

Often, local authorities do not set their own land tax rate. In this case, information contained in federal legislation is used. Bets are equal:

• 0.3%. It is used for territories intended for agricultural activities, the construction of residential buildings or communal complexes, as well as those used for subsidiary plots.
• 1.5%. This rate is used for other areas designated for other uses.

These percentages are determined from the cadastral price of objects. Rates can be differentiated and regulated by local authorities. For this, the category of the object, its location, permission to use and purpose are taken into account.

Where to find out the rate

To find out this information is quite simple, for which you need to go to the official website of the Federal Tax Service. The desired region is found in the search, after which information from regional legislative acts is studied.

Additional information can be found at any branch of the Federal Tax Service of a particular city. Often, the data is even placed on special stands in these institutions.

Calculation rules for individuals

Calculating land tax is considered a simple process if you know the right data. These include the cadastral value of the available territory, the established rate and the possibility of using reduction factors.

For individuals, the calculation is carried out directly by employees of the Federal Tax Service, after which citizensreceive receipts for the payment of this fee. You can additionally find out the necessary information in your personal account on the website of this service.

If desired, even citizens can independently determine the amount of this fee. To do this, use a simple formula or standard online calculators.

Fee amount=cadastral value of 1 sq. m. of landland areatax rate.

This formula is standard, so it does not take into account the ability of citizens to enjoy benefits or reduction factors. If a person registered land in the middle of 2017, then the land tax in 2018 will be calculated based on the number of months of ownership of this object.

If there are several owners in one territory, then the payment is distributed on the basis of the available shares. For self-calculation, you will need information on the cadastral price of land. To do this, you can submit a request to Rosreestr or you can even find the necessary information in an extract from the USRN, which can be ordered electronically.

Calculation rules for legal entities

Land tax for legal entities is calculated by the organizations themselves. To do this, firms must take into account some significant features:

• whether the organization transferred land to another category;
• whether the status of an individual changed to a legal entity;
• when exactly the object was purchased;
• what is its cadastral price.

The organization's accountant does the calculations. Information can be obtained from variouscompany documents, and the cadastral price is specified in Rosreestr. This takes into account whether a particular enterprise can enjoy any indulgences from the state. As soon as the land tax for legal entities is correctly calculated, it is required to pay funds to the budget in a timely manner.

Since 2015, individual entrepreneurs, as well as individuals, receive receipts with a calculated fee by mail. Therefore, they do not have to do the calculations themselves. Additionally, they are exempted from the need to draw up and submit a declaration for this fee to the Federal Tax Service.

Who can benefit

For each tax, the state establishes the possibility of using certain concessions for vulnerable categories of the population. Even with the land tax, there are some benefits. Both individuals and companies can use them.

Land tax benefits for individuals are provided to citizens:

• disabled and veterans of various military operations, which include the Second World War;
• people involved in various nuclear tests;
• citizens who eliminated the consequences of the Chernobyl accident;
• disabled people of the first two groups;
• heroes of Russia and the USSR;
• disabled since childhood;
• people who became disabled as a result of radiation sickness, which they developed after nuclear or space research.

The benefits are that the tax base is reduced by 10 thousand rubles. This amount must be deducted from the cadastral value of the object.

How to take advantage of benefits for individuals

Citizens must independently take care of the appointment of benefits, for which they draw up an appropriate application. Documents are attached to it, on the basis of which a person confirms that he can really count on relief.

Based on this application, a land tax exemption will be granted. There are no time limits for the transfer of documentation, so even if the employees of the Federal Tax Service have already sent a receipt for payment, they can generate a new document for the applicant.

Company Benefits

Even firms can enjoy certain indulgences. All of them are listed in Art. 395 NK. Therefore, benefits are provided to organizations:

• enterprises of the criminal and executive system;
• religious organizations;
• crafts enterprises;
• disability organizations;
• companies that are classified as residents of special economic zones, and only in relation to plots located in these zones, and the benefit is provided for five years after registration of the property certificate;
• firms operating in Skolkovo;
• shipbuilding companies with the status of residents of special zones.

Additionally, local authorities can independently provide an opportunity for different companies to enjoy a variety of concessions in the calculation and payment of land tax. Therefore, you can find out about the possibility of applying benefits directly to the local administration or the department of the Federal Tax Service. Often informationis published in the media, so it will not be difficult to access it.

Terms and payment rules

The term for paying land tax is different for individuals or companies. It can be set by local authorities, but usually they use the information contained in federal law. This takes into account the features:

• the fee is paid exclusively at the location of the site itself;
• payers are the owners of the territory, which can be individuals, various associations or companies, and the latter can use the land on the basis of perpetual ownership;
• individuals and individual entrepreneurs, according to federal laws, receive special notifications from the Federal Tax Service, which contain a receipt for payment, so they may not deal with calculations on their own;
• they must pay the fee by December 1 of the year following the reporting year;
• companies are required to make advance payments every quarter, and in some regions this method of payment of the fee has been eliminated, so only a single payment at the end of the year is required;
• when using advance transfers, the money for the last quarter must be transferred before February 1 of the next year.

Each firm or citizen owning land that is subject to this tax must pay land tax. The deadline for payment by legal entities and individuals differs significantly, and in case of violation of the main provisions of the law, serious liability measures are assigned.

Responsibility for violations

The Tax Code clearly states that citizens and companies that violate the terms of tax payment are held accountable, and pen alties are set by local authorities.

For the lack of funds within the established time limits, a fine of 20% of the amount of the payment is charged. If there is evidence of malicious fee evasion, then a fine of 40% of the amount is charged.

Additionally, fines are charged, and for their calculation 1/300 of the refinancing rate is used. They are calculated for each day of delay, so if taxpayers do not fulfill their obligations for a long time, this can lead to a significant increase in debt.

Reporting collection

Individual entrepreneurs and individuals should not create and submit any land tax reports to the Federal Tax Service. But it is mandatory for companies. Reporting is transmitted at the location of the land itself.

A land tax declaration must be formed in the form of KND 1153005. The rules for filling it out are contained in the Order of the Federal Tax Service No. ММВ-7-21/347. When creating a document, the main conditions and requirements are taken into account:

• you can fill out the document in paper or electronic form;
• Declaration is submitted annually until February 1 of the year following the reporting year;
• if a paper version of the document is used, then not only the head of the company, but also a trustee with a notarized power of attorney can bring it;
• it is allowed to send reports by mail, for which registeredletter;
• The most common is the electronic form of the document, for which it is sent to the Federal Tax Service by e-mail.

Taxpayers themselves determine which method will be used to send documentation.

Rules for completing the declaration

In order for the document to contain all the necessary information, it is important to fill it out correctly. This process is handled by an experienced accountant. Reporting should contain information:

• Title page. It contains basic information about the payer himself, as well as information about the department of the Federal Tax Service where this documentation is sent. The code of the institution, the name of the enterprise and other important data are prescribed.
• 1 Section. It contains information on exactly what amount of funds must be transferred to the budget.
• 2 Section. Its main purpose is to enter all the necessary information for the correct calculation of the amount of the fee. Therefore, the size of the tax base, the cadastral price of the object, its size and other data are entered. As a result, the amount of the fee is calculated.

Thus, the land tax is considered a specific fee, which is paid only by the owners of certain territories. Payers are both individuals and enterprises. Different tax rates are set for them, and citizens may not do the calculation on their own. Enterprises must determine the amount of the fee themselves, and are also required to make quarterly advance payments. They prepare an annual declarationin the correct form. In case of incorrect calculation or late payment of the fee, serious pen alties are imposed, represented by large fines.