On the procedure for providing benefits for property taxes for individuals

The coronavirus pandemic has had a negative impact not only on small and medium-sized businesses, but also on the self-employed. Most payers of professional income tax were engaged in the provision of household and personal services, and this area was completely suspended due to quarantine. To support micro-businesses, the Government has introduced a new tax bonus for the self-employed. What is this benefit and how to use it?

List of tax benefits for persons of retirement age

The main tax benefits provided to persons who have retired include:

• the most basic tax benefit in respect of which is enjoyed is property;
• then land;
• and the one that is provided by law for the existing vehicle.

This type of relief is provided if the applicant meets the conditions and requirements for his case.

As for the provision of land tax benefits, this issue is resolved at the regional level and local authorities themselves determine whether to exempt or reduce it.

The categories of persons who may be granted such relief are listed at the federal level, and include:

• persons living in the Far North and engaged in preserving local traditions;
• indigenous populations of Siberia and the Far East.

Pensioners are not included in the list, but regional authorities are not prohibited from adding to the lists at their discretion.

Relief for vehicles is also established at the regional level; for 2021, a list of vehicles has been established for which no one needs to pay tax:

• a boat equipped with a motor whose power is less than 5 hp. With.
• vessel for river or sea fishing;
• tractors or combines.

For the remaining vehicles, a certain procedure for their payment may be established, which will apply to persons who have retired.

Postponement of tax payment deadlines in 2021

According to the project being developed by the Government of the Russian Federation, if organizations (entrepreneurs) of the most affected industries as of March 1, 2020 are included in the Unified Register of Small and Medium Enterprises, then the following is provided for them:

1. Extension by 6 months of the deadline for paying taxes for 2021,
   corporate income tax,
2. tax under the simplified tax system,
3. Unified Agricultural Sciences.
4. Changing the deadlines for payment of advance payments for transport tax, corporate property tax and land tax (unless regional legislation abolishes the payment of advance payments):
   for the first quarter of 2021 must be paid no later than October 30, 2021,
5. for the second quarter of 2021 – no later than December 30, 2020.
6. Postponement of the deadline for payment of other taxes and advance payments on them (personal income tax, income tax, simplified tax system, unified agricultural tax, UTII, mineral extraction tax, gambling tax, water tax and excise taxes) for the first half of 2020:
   for periods falling on the first quarter of 2021 - for 6 months,
7. for periods falling on the second quarter (half of the year) 2021 - for 4 months.
8. extension by 6 months of the deadline for payment of insurance premiums calculated from payments and other remuneration in favor of individuals for the period March - May 2021.
9. Extension by 4 months of the deadline for payment of insurance premiums calculated:
   from payments and other remuneration in favor of individuals for the period from June to July 2021,
10. insurance premiums for entrepreneurs with income over 300,000 rubles, which must be paid no later than July 1, 2021.

Please note that for small and medium-sized businesses engaged in the industries most affected by the coronavirus, VAT payment deadlines will not be postponed.

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List of property eligible for tax benefits

The provision of tax benefits on real estate to persons of retirement age depends on how many properties are in their possession.

The benefit is provided only for one object from each category:

• garage space;
• country house;
• residential real estate in the form of a house or apartment;
• a room in a communal apartment, provided that it is privatized;
• non-residential premises located near the house.

In order to be able to receive the required property benefit, pensioners must meet certain conditions, and if they are absent, it will not be issued:

• the properties in respect of which the relief is issued must be the property of the applicants;
• bottom property should not generate outside income;
• the cost of ownership should not exceed 300 million rubles.

ATTENTION !!! An important point is that benefits can only be obtained in relation to an object that is registered in the state register and if there is a corresponding package of papers confirming the right to own it.

Pensioners in whose possessions there are several objects of the same category have the right to independently determine which one will be subject to relief, that is, tax will not be paid on it.

One of the main conditions that allows you to apply for a benefit in relation to a property is the fact that it is used only for personal purposes, that is, if it is used for business activities or is rented out, then you are not entitled to receive benefits. As for commercial buildings, in order to receive relief for them, it is necessary that the area does not exceed 50 square meters. m.

Categories of beneficiaries

Tax legislation provides a list of citizens who have the right to take advantage of the property tax benefit, such persons include:

• citizens who have the status of heroes of the country (USSR, Russian Federation);
• persons with limited abilities since childhood or who received disability group 1.2 during their lifetime;
• subjects who participated in hostilities;
• those citizens who were affected by the Chernobyl nuclear power plant and those who participated in its elimination;
• military personnel who have served until retirement, those who were dismissed due to a reduction in position, or due to health lost during the years of service;
• citizens who have lost their breadwinner as a result of his fulfilling official obligations;
• persons who retired upon reaching a specified age;
• citizens engaged in creative work can count on receiving preferences in relation to those premises that they use for carrying out work, as well as in relation to objects if a museum is located on their territory, etc.

These categories of citizens have the right to file a property tax in relation to the selected object if there are several of them and they belong to the same category, for example, two apartments, etc. Regional authorities may add an additional category of subjects living in the region of registration to the formalized list at the federal level.

How to apply for a property tax benefit for a pensioner

The procedure for obtaining a preference for property tax is not complicated; everything will depend on how it will be carried out.

If a property owner has the right to a benefit in relation to payments related to property tax, then they should submit a package of relevant papers and an application in the established form, this can be done:

• via Russian Post;
• through a personal appeal to a tax organization or through a person who has a power of attorney for this action;
• through the MFC branch;
• This can also be done through the taxpayer’s personal account created through the Federal Tax Service website.

Applicants for the benefit must, by November 1, submit to the Federal Tax Service the required package of papers indicating the property for which the benefit will be issued. If you want to replace the selected property with another, you will have to wait for the next grace period.

IMPORTANT !!! A tax organization can automatically apply a benefit to existing real estate, but only if the pensioner has previously submitted paperwork for its registration.

In cases where:

• the preferential category of citizens does not re-submit documents to the tax office for any existing object, and there are several of them in their possession and all belong to the same category, then the organization automatically issues a relief in the direction of the one that has the highest value;
• in cases where there is only one object, the benefit will be applied automatically.

If you have not previously applied, then to obtain the right to a benefit you will need to provide a package of papers, which can be clarified at the Federal Tax Service branch or on the organization’s website.

How to inform the Federal Tax Service that you have taken advantage of tax holidays

Individual entrepreneurs operating on the simplified tax system or PSN are required to notify the Federal Tax Service of the application of tax holidays as follows.

Documents for applying for benefits

To apply for a property benefit, a pensioner will need to collect and provide a package of papers, which include:

• a statement of appropriate content written personally by the pensioner;
• proof of identity of the applicant (passport);
• pensioner's ID;
• documentation confirming that the applicant is the owner of the property;
• and you should also attach papers confirming the right to receive relief, for example, for persons classified as disabled, this is a certificate confirming the diagnosis, veterans present certificates of the appropriate type, etc.

The list of papers can be supplemented depending on the situation. Lists of beneficiaries are compiled every year before the end of December, but the procedure for applying for benefits is not quick; the law has established a certain period by which applications must be submitted and ends on November 1 each year.

If for some reason the provision of papers was made later, then you can count on receiving benefits only after the next benefit year has expired. Well, for persons who want to re-issue the exemption for another object, the situation will be similar, that is, they will receive the benefit according to the old application, and for a new object in a year.

Filling out an application from a citizen

The paper that serves as the basis for providing this type of benefit is an application, and all other papers are already attached to it. As a rule, such an application is submitted to the tax authority at the place of residence.

The legislation of the Russian Federation does not provide for a specific form for writing such a statement, but despite this, it must necessarily indicate the following points:

• the address of the authority to which the document is sent, as well as the full name of the person to whom the application is addressed;
• information about the applicant, or rather the full name, address at which it is registered, TIN, contact information for which it is possible to contact the person submitting the documents;
• you should also indicate the reasons why the right to benefits arose;
• information about the object to which the papers are submitted.

The document is written in two copies, one of which is sent to the Federal Tax Service; on the second, upon submission, the receiving official puts a mark indicating when the papers were accepted, and it remains with the applicant.

Registration of a property benefit is a simple procedure; all you have to do is collect the papers and contact the organization within the prescribed period. If there is a reason, Federal Tax Service employees will exempt the specified property from paying tax and there will be no need to re-submit papers if the pensioner does not own a new property for which he wants to apply.

Are there any for the unemployed?

The main benefits that the unemployed can count on for the first time after dismissal are unemployment benefits. Persons who do not receive any other income are entitled to this type of benefit.

Benefits for combatants in Syria

After contacting the employment center, a person is assigned one-time assistance at the discretion of management. The subject is paid a monthly allowance.

To receive financial assistance, people need to contact the employment center and submit the following documents:

1. Confirmation that the person is unemployed.
2. Confirmation stating that the citizen has been awarded unemployment benefits.
3. An order confirming that an individual is enrolled in advanced training courses.
4. A document that tracks a student's progress.
5. Personal file kept in the employment center.

Payments to an individual will be terminated if:

1. The deadline for providing financial assistance has expired.
2. The citizen stopped attending classes related to advanced training.
3. The person is no longer unemployed.
4. In case of death of an individual.