• 24/04/2024 15:18

Residential property tax: who has to pay and how much?

When concluding a real estate purchase and sale agreement, it is necessary to pay a number of mandatory payments – state duty, personal income tax (NDFL), military and pension taxes, writes the EP.

Residential property tax: who must pay and how much

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Mandatory payments

The state fee is the payment for notarization of the fact that the title of property is transferred from the seller to the buyer. This payment is paid by the seller in the amount of 1% of the value of the property.

Instead, the buyer must pay 1% of the value of the property, but as a pension fee.

In addition, the seller must pay personal income tax, his the size depends on several factors. Yes, the first sale of an apartment in a year is carried out without personal income tax.

If a person sells an apartment for the second time in a year, then he must pay 5% personal income tax, the third and subsequent sales – 18% personal income tax. In addition, if before the sale the apartment was owned for less than three years, personal income tax is paid at the level of 18%.

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An exception is the sale of inherited real estate.

Together with personal income tax, the seller also pays a military tax in the amount of 1.5% of the value of the property.

Luxury tax

Every year, owners of real estate of a certain area are assessed a so-called luxury tax. Apartments with an area of ​​60 square meters, houses with an area of ​​120 square meters and various types of residential real estate, including their shares of 180 square meters or more, are subject to taxation.

The amount of the tax is determined by the decision of the village, town or city council in depending on the location of the property. You can find out the rate in your region on the tax website.

The tax rate is calculated as a percentage of the minimum wage as of January 1 of the reporting year and cannot exceed 1.5% per square meter. The luxury tax must be paid before July 1 of the next year, that is, the tax for 2023 is paid in 2024, and for 2024 in 2025.

Using an online calculator, you can calculate how much tax you will have to pay .

If a person has ownership rights to a property whose total area exceeds 300 square meters (for an apartment) and 500 square meters (for a house), the tax amount increases by 25 thousand hryvnia per year.



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