Unfortunately, the level of social benefits in Russia cannot provide citizens with a decent income. For this reason, in addition to cash payments, socially vulnerable Russians have additional benefits.
Our country provides the following tax benefits for pensioners:
- benefits are possible for transport tax for pensioners if this is provided in the region where citizens live;
- benefits for land tax are established by the regional administrative body and are provided to pensioners only if it is provided for in the region of residence of citizens;
- Property tax benefits are provided throughout the country and apply to all pensioners, regardless of the basis for pension provision.
Who is eligible for personal property tax benefits?
Federal beneficiaries (Article 407 of the Tax Code of the Russian Federation, full list)
- disabled people of groups I, II, disabled since childhood;
- Heroes of the Soviet Union and Heroes of the Russian Federation, holders of the Order of Glory of three degrees;
- participants in the Civil War, the Great Patriotic War, military operations to defend the USSR from among military personnel who served in military units, headquarters, institutions as part of the active army, and former partisans; combat veterans;
- “Chernobyl survivors”, citizens who received or suffered radiation sickness or became disabled as a result of nuclear tests;
- military personnel and citizens dismissed from military service for health reasons, age, due to organizational and staffing measures, with a total duration of military service of 20 years or more;
- family members of military personnel who have lost their breadwinner, parents and spouses of military personnel and government employees who died in the line of duty;
- pensioners receiving pensions, men over 60 years of age and women over 55 years of age receiving a monthly life allowance;
- combatants in Afghanistan;
- and some other categories of citizens.
Federal beneficiaries are granted a personal property tax benefit in the amount of the tax that is payable.
Local benefits
Local governments, the authorities of Moscow, St. Petersburg and Sevastopol have the right to establish additional property tax benefits. The amount of local benefits in each municipality may be different. You can find out what benefits are available in your municipality using the special service of the Federal Tax Service - Reference information on rates and benefits for property taxes.
Tax deductions
In addition to property tax benefits for certain categories of citizens, you can receive a tax deduction. This is the amount by which the tax base for a particular property is reduced. There is no need to submit a special application for deductions; they are available to all owners of apartments, rooms, and residential buildings, and the tax office will take them into account independently in your tax payment notice.
Amounts of property tax deductions
- for apartments - cadastral value 20 sq.m. total area (subtracted from the cadastral value of the entire apartment);
- by room - cadastral value of 10 sq.m. area of the room (subtracted from the cadastral value of the entire room);
- for residential buildings - cadastral value of 50 sq.m. total area of the house (subtracted from the cadastral value of the residential building);
- for a single real estate complex, which includes at least 1 residential premises or residential building - 1 million rubles (deducted from the cadastral value of the ENK).
If the object belongs to several owners, the deduction will still be given for the entire object, and the resulting tax will be divided among the owners according to their shares in the right to this property. If your property is so small that using the deduction results in a negative number, you do not have to pay tax on such property at all.
Categories of beneficiaries
Who is exempt from paying property tax?
Article 407 of the Tax Code of the Russian Federation contains a list of persons who are granted tax benefits (on property of individuals):
- Pensioners;
- Citizens with 1st and 2nd group disabilities and disabled people since childhood;
- Certain categories of military personnel;
- Military participants, veterans;
- Close relatives of military personnel and civil servants who died while performing their professional duties;
- Chernobyl victims;
- Citizens of creative professions using a taxable property (premises) for work;
- Owners of outbuildings with an area of less than 50 square meters.
It is important to know that regional legislation may expand the list of federal beneficiaries.
What kind of real estate can receive a property tax exemption?
Beneficiaries can choose an object for which they will receive a property tax benefit. You can choose from the following objects:
- residential premises (room, apartment);
- residential building (including garden and country houses);
- garage;
- parking space;
- utility structure or building with an area of no more than 50 sq.m. on a plot of land that is provided for individual housing construction, dacha or personal subsidiary plot, for vegetable gardening or horticulture;
- specially equipped premises, structures that are used as a studio, atelier, creative workshop (the benefit is given only for the period of such use and only to individuals professionally engaged in creative activities);
- residential premises that are used as a non-state museum, library, gallery open to the public (similarly, the benefit can only be issued for the period of such use and only for individuals professionally engaged in creative activities);
- other real estate - if local authorities decide so.
Rules for filling out an application for a tax benefit for property pensioners
But it is not necessary; the tax service can often request the necessary documents from other government agencies. But it’s still better to submit documents, for example, tax officials are not always able to find out information regarding a disabled person or other less common categories of beneficiaries. More or less, the interaction scheme has been established only for pensioners. What property objects are eligible? Mainly, the question of what objects can receive a benefit concerns property tax. You can receive benefits for the following items:
- apartment (room);
- house;
- garage (parking space);
- utility buildings, as well as premises used as a studio, workshop, etc.
A taxpayer can receive a benefit for one object of each type. An innovation is the rule establishing that benefits for real estate are provided in relation to one object of a specific type of property, which is determined by the pensioner himself. Thus, pensioners who own several real estate properties can count on benefits exclusively for one property.
Our lawyers know the answer to your question. If you want to find out how to solve your particular problem, then ask our duty lawyer online. It's fast, convenient and free! or by phone:
- Moscow and region: +7-499-350-97-04
- St. Petersburg and region: +7-812-309-87-91
- Federal ext.
149
Transport tax benefits As already mentioned, transport tax belongs to the regional category, therefore the main features of issuing benefits for it depend on the region where the pensioner lives.
There are other ways to submit documents:
- ordered letter;
- through an intermediary with a notarized power of attorney;
- filling out an application through the MFC (“My Documents”).
The list of services provided by multifunctional centers has been supplemented by the possibility of submitting applications for tax breaks on property, transport, and income for pensioners and other groups of the population. And also through them you can access the taxpayer’s account or send a notification about the selected tax object.
When the benefit comes into force After reviewing and checking all the documents presented, Federal Tax Service employees make a decision on granting the benefit for the current year, subject to the timely submission of the application by the pensioner. If in previous years the citizen had the right to reduce obligations, a recalculation and refund of previously paid amounts will occur.
Conditions for receiving property tax benefits
- The benefit can be applied for only one object of each type of your choice. If you own several apartments, apply for a benefit for one of them (which is more profitable). You will have to pay tax for the remaining apartments you own.
- The object for which the benefit is requested must be owned by the benefit recipient. If a beneficiary is simply registered or lives in someone else’s apartment, it is impossible to apply for a tax benefit for this apartment.
- Benefits cannot be applied for an object that is used in business activities.
- If you are entitled to a benefit on several grounds (for example, as a group I disabled person and a combat veteran), the benefit will still be provided only for one piece of real estate of each type.
How to apply for a property tax benefit
- Collect a package of documents: - application for a benefit + notification of the choice of taxable object + documents confirming the right to a benefit (for example, a pension certificate, a disability card, etc.). If you are entitled to a land and transport tax benefit, you can apply for it with the same application.
- Submit an application with attachments to any tax office. The Federal Tax Service recommends doing this before May 1, before the distribution of property tax notices begins. But in general, you can submit a notification about the choice of taxable items for which you want to receive benefits before November 1.
You can apply for the benefit:
- personally to the tax office (additionally, take your passport and original documents confirming your right to the benefit), as well as by power of attorney;
- through the taxpayer’s Personal Account on the official website of the Federal Tax Service (to obtain a login and password for your personal account, contact any tax office with a passport);
- by mail (preferably by registered mail with acknowledgment of receipt or a valuable letter with a list of the contents and notification).
Do I need to confirm my right to property tax relief every year?
No, you do not need to register this benefit with the tax office every year. It is enough to contact the tax office once and provide all the necessary documents. Just indicate in your application the period of validity of the property tax benefit - indefinitely.
Important: the benefit will be valid until it is canceled by the relevant law. Therefore, it is still better to check the relevance of your benefit annually on the website of the Federal Tax Service.
Tax benefits for pensioners - procedure for provision and sample application
If you receive a personal property tax exemption, it must be sent to the location of the property subject to property tax. Your place of residence (registration) does not matter.
Info
You can find out the address, name and number of the tax office by following the link. Next, write down your full name (from left to right in capital block letters).
A separate cell is allocated for each letter. The procedure for filling out the following fields with your data depends on whether you indicated your TIN or not. If indicated, then you do not need to fill out the fields: - 2.4 “Date of birth” - 2.5 “Place of birth” - 2.6.1 “Document type code” - 2.6.2 “Series and number” - 2.6.3 “Date of issue” - 2.6 .4 “Issued by” If you did not indicate your TIN, then all these fields must be filled out. Please pay attention to filling out fields 2.6.1 “Document type code” and 2.6.4 “Issued by.”
What happens if I don’t apply for a property tax benefit?
If you do not choose the property for which you want to receive a property tax benefit, the tax service will provide the benefit on its own. In this case, the benefit will be taken into account for one taxable object of each type with the maximum calculated tax amount.
Property taxes for 2020 must be paid no later than December 1, 2020. You can view the tax notice for property tax in the taxpayer’s Personal Account.
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An individual can submit an application for a property tax benefit to any inspectorate
The documents that can be submitted to the Federal Tax Service Externally are as follows.
1. Application for tax benefits for transport tax, land tax, and property tax for individuals.
Please note: starting from 2020, such an application will need to be submitted using a new form (format), approved. by order of the Federal Tax Service of Russia dated November 14, 2017 No. ММВ-7-21/ [email protected] (see “A new application form has been approved for granting benefits to individuals on “property” taxes”).
Fill out and submit land, transport and “property” tax declarations online for free
2. Notification of the availability of real estate and (or) vehicles recognized as objects of taxation.
Let us remind you that if the calendar year has ended, and the notification from the tax office about the payment of “property” taxes has not been received, the owner of the property or car must, by December 31 of the year following the previous year, inform the Federal Tax Service about the availability of the above-mentioned objects. From August 2020, you can submit the specified information to any inspection of your choice (clause 2.1 of Article of the Tax Code of the Russian Federation).
The form of the message was approved by order of the Federal Tax Service dated November 26, 2014 No. MMV-7-11/ [email protected] (as amended by order dated October 2, 2017 No. MMV-7-21/ [email protected] ; also see “Individuals will have to submit to Federal Tax Service Inspectorate information on personal property according to new forms").
3. Notification of selected tax objects in respect of which a tax benefit is provided for the property tax of individuals.
As is known, for the property tax of individuals, a tax benefit is provided in respect of one taxable object of each type at the choice of the taxpayer. For example, if an individual has several apartments, then the benefit can only be claimed for one of them. To do this, the taxpayer must, before November 1, submit to the inspectorate a notification about the selected object of taxation in respect of which the benefit is applied (clause 7 of Article 407 of the Tax Code of the Russian Federation).
The notification form was approved by order of the Federal Tax Service dated July 13, 2015 No. MMV-7-11/ [email protected] (as amended by order dated October 2, 2017 No. MMV-7-21/ [email protected] ; also see “Individuals will have to submit Federal Tax Service Inspectorate information on personal property according to new forms").
4. Request to provide a tax notice to an individual (his representative) in person against signature.
5. Application for clarification of the contents of the tax notice.
Please note: the result of reviewing the listed documents can be obtained from the same tax authority (if the taxpayer so desires).
