Cadastral revaluation real estate objects in Russia: how will this affect taxes?

Cadastral revaluation real estate objects in Russia: how will this affect taxes?

In Russia, the cadastral revaluation of real estate has been completed, and this has certain consequences for taxpayers. According to the leading mass media, the cost of real estate has increased by 20-25 percent on average. This means that the housing tax will also increase accordingly. The new recalculation data will be used in calculating property tax as early as 2024, and it will need to be paid by December 2025. This means that the housing tax will also increase accordingly. The new recalculation data will be used in calculating property tax as early as 2024, and it will need to be paid by December 2025.

To find out the cadastral value of real estate, citizens need to get an extract from  the Unified State Register of Taxpayers. Cadastral value is one of the two values that are inherent in any real estate object. The second value, the market value, is used when buying or selling real estate.

The market value of the apartment is this is the price for which it is sold or bought. It is indicated in advertisements for the sale of real estate and purchase and sale agreements. The market value depends on many factors such as the city, the area, the infrastructure, the age of the house, the quality of the finish, the floor and the view from the windows.

The cadastral value of housing is determined by government agencies and is used as a tax base for calculating property tax, gift tax and apartment revenue tax. It is important to note that the cadastral value may not coincide with the market value - it may be either less or more.

Taxes and some other types of payments are calculated based on the cadastral value. For example, property tax is paid annually and calculated based on the cadastral value. Also, the gift tax is calculated according to the cadastral value, if the contract does not specify the market value. The tax on income from the sale of an apartment is calculated from 70% of the cadastral value if the market value is lower than this amount, and from the value under the contract if it exceeds 70% of the cadastral value.

Cadastral revaluation of real estate in Russia is an important step in establishing fairer tax rates. It allows you to take into account changes in the market value of real estate and provide a more accurate calculation of citizens' tax obligations. At the same time, citizens need to be prepared to increase the amount of housing tax and fulfill their tax obligations in a timely manner.

If you want to know the cadastral value of your property, please apply for an extract from the Unified State Register of Taxpayers. This will help you calculate your tax liabilities correctly and avoid possible problems with the tax authorities. Be careful and responsible about your tax obligations - this will help you avoid unpleasant situations in the future.

Do not forget that these changes will take effect only from 2024. You have enough time to prepare for them and take all necessary measures. Do not forget to follow the news in this area.