Tax on the sale of land. Do I have to pay tax on the sale of land?

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

Today we will be interested in the tax on the sale of land. For many, this topic becomes really important. After all, when receiving this or that income, citizens must make certain payments (interest) to the state treasury. With only a few exceptions. If this is not done, then you can run into many problems. Real estate transactions are a process that, in principle, is subject to fees. For example, buying and selling land. Taxes in this case may or may not be paid. So what are the possible cases?

By income

To begin with, many transactions are subject to taxes. Especially in relation to property and property. The earth belongs to them. This means that the tax on the sale of land will be paid. In any case, in most situations, this is the rule that will apply in Russia.

The sale and purchase operation will beregarded as personal income. It's no secret that all taxpayers are subject to it. With no exceptions. It is also worth noting the following fact: the tax on the sale of a house and a land plot (or just a plot) will be called income tax. True, there are some peculiarities here. Which ones?

Who pays?

For example, first of all, you need to pay attention to the payer himself. Tax after the sale of the land is paid only by the owner. Or rather, those who received income after the transaction. The buyer is not subject to this payment in any way.

True, there are exceptions. Let's say there was a sale and purchase of land. Taxes will be paid by all taxpayers who were, as already mentioned, the owners thereof. Some are inclined to believe that pensioners will be exempt from paying. Legislatively, such a decision is not valid. That is, income tax is paid by everyone and in full. This will have to come to terms.

If we talk about the so-called land tax, then there are no discounts and benefits for pensioners either. For finding the site in the property you need to make money to the state treasury annually. Both pensioners and ordinary citizens are equal here. Do I always have to pay tax on the sale of land? No. There are exceptions.

Holding time

And the period of time in which the land and other real estate was your property plays a huge role here. The point is that the income taxas we have already found out, it is always paid by everyone. Regardless of social status. But there are exceptions.

One of them is the transfer of land and real estate from a close relative under a donation agreement. It turns out that a person seems to be making a profit in the form of property, but it is not taxed. Also, in this case, the income tax will not be paid if the land has been owned for more than three years. Such rules are spelled out in the Tax Code of the Russian Federation. That is, it is enough to own a land plot for more than 36 months to be completely exempt from income tax when it is sold. This scheme is used by many citizens. Quite an obvious option, because the plots are now expensive. And the interest charged can seriously hurt your pocket.

How much to pay?

A little about how much you have to pay for a deal made with the land. Remembering the rule is extremely easy. The tax on the sale of land, as we found out, is called income tax. At the same time, you need to pay attention to the fact that the calculations will be made according to the rules provided for such contributions.

What are we talking about? The personal income tax requires the payment of 13% of the total amount of funds received to the state treasury. That is, the more expensive you sell the land, the higher your debt will be. No other formulas or rules are provided. This rule applies only to residents of the Russian Federation. These are citizens who stay in the country for more than 183 days (accounting for a year).

Non-residents

As we have already noticed, the tax on the sale of land really needs to be paid. And do it all the citizens of the Russian Federation. The tax that is levied is called income tax. It also applies to non-resident foreign citizens. It turns out that even a guest of our country cannot avoid paying contributions to the Russian treasury.

For such citizens, a slightly different rule applies. More precisely, the tax rate required for calculations increases. How much? Slightly more than twice. The thing is that non-residents of the Russian Federation are subject to a tax of 30% when selling land in Russia. Many consider the rate of 13 percent already sky-high, to say nothing of 30! But such norms are established by law. To verify this, you can look at the official website of the Federal Tax Service of Russia. There you will see that the tax on the sale of land for residents of the Russian Federation is set at 13%, and for non-residents - 30%.

Payment due dates

Until when do all bills need to be paid? Here, too, there are rules. Of course, you should not rush to pay taxes after the sale of the land. You will have enough time to prepare well for this process and make payment on time.

There is a so-called tax reporting period. It runs until April 30 of each year. And it is related to the previous one. That is, in 2016, by April 30, you need to report to the state for income in 2015. So the transactionscan wait a bit. Nevertheless, it is necessary to report and submit a special reporting form (3-NDFL) by April 30 in each year. Do not forget, the data is taken from the previous period.

But you can pay sales tax (and income) until July 15 of the same year. Conditionally - until the middle of summer. In Russia, the so-called advance payment has become very widespread. It is paid before April 30 of each reporting tax period. Starting from this date is easier. You can pay in advance and not worry about incurring debts to the state.

Shares

Is there a tax on the sale of a land share? This question is of interest to citizens not so often, but it does occur. Fortunately, the answer here is unequivocally yes. This will also count as income tax. This means that all the rules that were taken into account earlier also apply to land shares. How much to pay? Again known to us information. It turned out that residents of the Russian Federation will give only 13% of the transaction amount, and non-residents - 30%. There are no discounts or other features here. And you can't get away with paying. Failure to pay can result in loss of property as well as problems with the tax authorities.

Conclusions

What should be the conclusion from all of the above? Tax on the sale of land is paid. It's called income. And no one is exempt from it. Except when the property has been owned for more than three years. And it does not matter if there is a house on the site or not. The fact remains.

Citizens and residents of the country contribute 13% of the total transaction amount to the state treasury, and non-residents - 30% each. In some cases, you can make a tax deduction. But only citizens of the Russian Federation have such an opportunity. The tax is paid before July 15, but reporting on it must be submitted before April 30 of the year following the transaction. Most often, payment is made along with this. This will be an advance payment. In a word, nothing difficult if you get it right.