Land tax is monetary payments made in favor of the state, which are collected from organizations and individuals who have ownership rights to a land plot. This type of tax is mandatory for all citizens, however, there are exceptions.
| 1. Who is eligible for the benefit? | — Officially recognized Heroes of the Soviet Union and the Russian Federation. - Pensioners. — Direct or indirect participants in the Second World War. — Persons affected by radiation-related disasters. — Citizens organizing peasant farming for the first time. — Persons whose field of activity is folk crafts. |
| 2. What is the benefit amount? | From 2021, the benefit amounts to a deduction of 6 acres from the plot |
| 3. What documents are needed to receive land tax benefits? | — Application — Passport — Document confirming the right to benefits (certificate, certificate, etc.) |
| 4. Where to go? | You can contact - Federal Tax Service Branch (in person, by mail) - MFC - Official website of the Federal Tax Service |
| 5. Application for tax benefits for land tax | Application form Example of filling out an application |
Concept of land tax
Land tax is understood as a collection into the state budget of the region. The amount of the contribution is established on the basis of the price that was assigned during registration in the cadastral system and is based on the location of the land and its purpose.
Land is treated as part of real estate, so the tax calculation will be identical. The category of payers includes owners and users of plots. The tax rate varies between 0.1–2.5% of the cadastral registry assessment. The definition of the circle of payers is enshrined in the Tax Code in Article 389.
Budget institutions
To establish the cadastral value of land plots, a state cadastral valuation of land must be carried out according to its intended purpose and type of functional use: land under multi-storey buildings, land under individual residential buildings, land under industrial facilities, land under trade facilities, public catering establishments, etc. Further. — Certificate of state registration of rights in the form approved by Decree of the Government of the Russian Federation of February 18, 1998 No. 219 “On approval of the Rules for maintaining the Unified State Register of Rights to Real Estate and Transactions with It”;
Are pensioners and disabled people exempt from paying land tax?
This question worries almost all pensioners. After the adoption of changes to legal acts relating to land, the rate increased significantly. Not every person receiving pension benefits can pay this amount. Therefore, a discount on paying this fee was developed for them.
Considering Article 395 of the Tax Code, one can see that representatives of small nationalities have a complete exemption from paying the tax: indigenous residents of the Northern, Siberian and Far Eastern regions, whose plots are used for the purpose of preserving and further promoting their traditions. Such lands are adapted for national farming or traditional crafts.
For other persons, a benefit is established that will reduce the tax rate. This category includes:
- Heroes of the USSR, Heroes of the Russian Federation, as well as pensioners - full holders of the Order of Glory;
- disabled people of the first two groups;
- persons with disabilities since childhood;
- WWII veterans and combatants;
- people who have received radiation exposure from nuclear power plants and are protected by law;
- those who received or suffered radiation sickness or disability as a result of nuclear testing.
The benefit applies only to 6 acres. In 2021, a category of pensioners was added. If a person owns a larger plot, the benefit is valid only for 300 sq.m. For the remaining area the standard rate is charged.
Municipalities determine their preferences and the conditions for their provision for each category of citizens.
Therefore, the answer to the question of whether pensioners and disabled people are exempt from paying land tax is negative if the size of their plot does not exceed 6 acres.
The legislative framework
Land tax as a concept and type of taxation has existed for quite some time. Back in 1991, Law No. 1738-1 was adopted, which regulated the procedure for paying tax contributions for owned land plots. This regulatory document was in force until 2005. On January 1, 2005, new legislation in this area came into force, the basis of which is regulated by Chapter 31 of the Tax Code of the Russian Federation.
For a long time, the rules of taxation in the land sector remained unchanged, but in September 2021, significant changes were made to the Tax Code of the Russian Federation, which affected not so much the procedure for calculating contributions, but their size. A change was made to Chapter 31, according to which the tax began to be calculated from the cadastral value of the site, which significantly increased the amount of fees collected. To facilitate the transition to a new type of payment, Federal Law No. 286 developed a special step-by-step program, the purpose of which is to mitigate the resulting cost difference for the taxpayer. Starting from 2021, over three years, regional budgets will gradually increase the collected coefficient in order to reach 100% of the established charged barrier by 2021.
Which organizations are exempt from paying land tax?
In addition to individuals, legal companies are also given the right to receive benefits. The list of such organizations is based on their performance of special functions.
The determination of the fee for organizations is based on the category into which the land falls. There are several types of plots that are not subject to the tax:
- not included in circulation;
- of cultural value;
- nature reserves;
- protected state areas;
- including water resources that are state property.
Legislation
The legislation of the Russian Federation determines that the initial approval of benefits for certain categories of citizens occurs at the level of federal laws. This is determined by Art. 391.
However, this possibility is also under the jurisdiction of local authorities - they can, by their decision, establish additional privileges for certain groups of citizens.
The tax is established on the entire area owned by a citizen - this remains relevant even when part of it falls under the easement of the land plot.
Who sets the benefits?
The tax is credited in two directions: to the federal and local budgets. The establishment of benefits will be carried out by bodies of both levels of government. The government determines generally accepted rates and the conditions for their application.
According to federal law, organizations that:
- belong to the department of the Ministry of Justice of Russia;
- whose main activity is road construction;
- carry out religious activities;
- represent communities of people with disabilities;
- develop creative people;
- included in a special economic zone.
For more specific territories, the parameters of benefits are considered by municipalities. They can expand and complement preferences. Therefore, in some regions of Russia, pensioners are also included in the preferential class.
Let's sum it up
The provision of all of the above or additional concessions for taxpayers who own land plots is determined by legislative acts at the local level. You can be exempt from the fee not only completely, but also partially by withdrawing a small amount from the financial base of the object, which is the cadastral price.
When we talk about complete exemption from payments, we mostly mean organizations; individuals do not have the right to completely stop transferring funds to the budget in this area. However, even for them the tax burden can be reduced, albeit slightly. The list of benefits is quite broad, so if you know that you qualify for one of them, then do not take advantage of the opportunity.
Requirements for exemption from land tax
By studying the laws, it is easy to understand who is included in the circle of persons excluded from paying land taxes. A citizen must provide evidence to the tax authority that he belongs to this category in order to receive a preference. A professional lawyer will help you defend your right to reduce your tax base. He will explain to the person or organization whether their site belongs to legally protected areas or has other privileges. In cases where the tax authorities disagree with the requirement to provide benefits, the case will be referred to the court. In such a situation, you cannot do without the help of a specialist.
Who is the payer
The category of land tax payers includes individuals who own one/several plots of land that meet the definition applied to the object of taxation in this area. The ownership of an object by a specific person must be confirmed by the right of ownership, that is, ownership of the land for life. If the person in question dies, the plot will be inherited by family members of the owner.
Citizens who use land free of charge or who own it temporarily do not fall into this category of payers. They are not actually owners.
Who is completely exempt from paying
It can be summarized that both individuals and organizations will be fully exempt from tax. Their right is specified in tax legislation. An organization can receive an exemption in cases where a water body, forestry or nature reserve is located on the land area. They also do not pay tax for territories that have state protection.
The type of individuals eligible for exemption includes indigenous residents of the North, Far East and Siberia. If their main goal is established - to preserve the traditions of folk crafts and economics, as well as to promote their development. Pensioners and disabled people receive a benefit, which is expressed in getting rid of the tax charged on 6 acres. In cases where the plot exceeds this size, the remaining square footage is charged the full rate approved in the region. This discount also applies to families of military personnel who have lost their breadwinner.
Elements of taxation
Taxpayers
Payers of land tax are generally considered to be all citizens, legal entities and individual entrepreneurs with any tax regime who are owners of land and are endowed with the right to own it throughout their life or the right to use it without a time limit.
Object of taxation
Object of taxation when calculating tax in Art. 389 of the Tax Code of the Russian Federation is clearly marked. The accrual occurs on plots of land that are located in the constituent entities of the Federation that have adopted a bill introducing such a tax. However, this law does not apply to the following lands:
- Excluded from circulation or a limit has been imposed on it;
- Land plots from the forest fund lands and occupied by state-owned water bodies;
- On which multi-apartment residential buildings are located.
Tax base
The tax base is the cadastral value of the land, established as of January 1 of the year for which the assessment is made.
So you can find out the cadastral value by the cadastral number of the plot on the Rosreestr website. Throughout the year, the price of the salary, which is taken to calculate the tax, remains unchanged.
Tax rate
The interest rate for calculating payment for land is determined by territorial authorities. It is determined by the category to which the allotment fits and can be adjusted by local authorities.
But the highest interest rate is 1.5%. The legislation also defines a list of exceptions, where the interest rate should not exceed 0.3%:
- land that is exploited for agricultural purposes;
- a plot of land that is used for livestock farming, gardening or subsidiary farming of citizens;
- land plot intended for housing construction;
- z/u, which is located under residential buildings.
How to get a benefit
You should go to the Federal Tax Service before November 1st. Since benefits have a declarative nature, they can be applied to the current period and to the three previous years. To write an application you will need to prepare the following documents:
- passport;
- pensioner's ID;
- photocopies of documents;
- information about the site (registration number and address).
A sample application will be provided to the inspectorate. To save time, the form and sample can be downloaded on the Internet. The application should be filled out using dark-colored paste and printed characters. All information is entered in accordance with passport and cadastral documents.
Large families also provide a certificate issued by the Social Security authority indicating the appropriate status.
Please note that if the tax authority has documentary evidence of the right to the benefit, then there is no need to submit an application.
Duration of the procedure
In order to receive a legally entitled benefit for a plot of land, you will need to submit your application within the deadlines established by law. Moreover, if the application is submitted in the current year, then it is likely that the tax will be received only in the next year.
The deadline for payment of the established land tax is set differently in each individual region, so you will need to familiarize yourself with this information on the website of the local municipal government, or directly at the local tax authority.
