Tax on donation of an apartment – service of urgent extracts from the Unified State Register of Real Estate

Article updated: December 22, 2021
Marina AfanasyevaTax consultant with 5 years of experience

Hello. Here you will find detailed information about gift tax. More precisely, it is a personal income tax (NDFL). In the article I will repeat myself a lot, i.e. write some statements many times, but “from different angles.” The fact is that the same questions are asked in the comments.

Tax on gift of an apartment between close relatives
Donors never pay tax
The donee pays the tax
Tax rate and how much to pay
How is it paid?
What happens if you don’t pay - fines, penalties

Tax on gift of an apartment - what is it?

When an apartment is given to you free of charge, the donation process itself is not subject to tax. By law, you are considered to have received income in the form of the cost of housing. And for any income you need to pay taxes. Therefore, the tax when donating an apartment will be 13% of the gift price.

There are no exceptions based on age or other criteria. Pensioners, people with disabilities, and orphans must pay the apartment donation tax on an equal basis with everyone else. And for children who are not yet 18 years old, the fee will be returned to the state by their parents, guardians or trustees.

Important! Only the person receiving the gift pays the tax. The one who gives the gift owes nothing to the state. The donor receives no income. And since there is no profit, there is no tax.

How much will you have to spend?

Upcoming expenses include expenses for:

payment of state duty (2000 rubles);
payment for notary services;
payment of 13% income tax for recipients who are not close relatives of the donor - the amount of payment is determined from the estimated value of the object received as a gift.

What gifts do you not need to pay tax on?

According to Russian law, not all gifts need to be shared.

Money . If you receive a cash gift, the government cannot tax you.
Off the list. If you were given an item that does not qualify as a taxable gift. This is neither an apartment, nor a car, nor a stock. Then you can sleep peacefully and not think about taxes.
From relatives. There is no need to pay tax when donating an apartment between close relatives. You will be exempt from the duty if the apartment was given to you by the husband with whom you are officially married. The same goes for the wife. In addition, the tax will not affect gifts from children, parents, grandparents, siblings and half-siblings.

That is, if a father gives his daughter an apartment, none of them will pay the fee. And if the property passes from uncle to niece, the transaction will be subject to tax.

Legal opportunity

Is it possible to donate donated living space if the donor is alive?

Since we have seriously taken up the discussion of such a complex concept as donation and possible transfer, we need to first turn to the conceptual apparatus in order to be sure to know all the information about the procedure under discussion.

What is remarkable about the donation of housing?

Donation is a transaction that is regulated by civil law, or rather, by the civil code itself. This procedure has many characteristics. Let's start with the basics.

So, donation is a two-way transaction. Why? First of all, because two parties take part in it. One of them is called the donor. The donor has the right to alienate real estate from his property in order to transfer it to a second party.

The second party is called the donee. This subject of the transaction accepts real estate from the donor, and then it becomes his full property. However, sometimes the donee may refuse the gift and then the transaction is terminated.

The next characteristic of donation is gratuitousness . And indeed, the entire procedure is carried out free of charge, that is, for the fact that the donor donated property to the recipient, he receives nothing.

Now we know what the transfer of housing as a gift is. And what then, according to all the rules, is re-gifting ? In fact, this is exactly the same procedure that is carried out immediately after the donee has become the direct owner.

There is no such thing as a transfer in legislation, so the name of the transaction is used as a donation. It is carried out according to the same criteria as a regular donation, based on Chapter 32 of the Civil Code.

An important nuance is that the original donor must be informed and aware of the state of his property and subsequent transactions with it, because he still retains the right to cancel the donation in special situations.

Find out from our articles about the pros and cons of deeds of gift, as well as what is better: a gift or a will.

How to pay tax on a gift?

First of all, you enter into a gift transaction and draw up an agreement. Once all the documents have been submitted and you have the keys, we move on to taxation. To return 13% to the state, you need to submit a 3-NDFL declaration to the tax authorities. The document form can be found on the Federal Tax Service website. The next stage is submitting the declaration to the tax office according to registration. This can be done by visiting the inspectors in person, or by sending documents by mail.

Along with the declaration, you will need to provide a passport, a gift agreement, as well as a document on the ownership of property - an extract from the Unified State Register of Real . You can receive it both in paper form and electronically. Both options are legally binding.

The donation transaction itself is drawn up by a notary. You need to have with you:

Passport;
documents for the apartment;
a document confirming the donor's ownership of real estate. Such a document is an extract from the Unified State Register.

Obtaining an extract from the Unified State Register of Real Estate is mandatory if there are minor owners in the apartment and it is required to obtain permission to make a gift from the guardianship and trusteeship authorities. Or in a situation where a donation is made for a share in an apartment.

Which method is the most profitable?

As statistics show, donation is recognized as the most profitable method of re-registration. It is common to think so, since the package of documents for this transaction is minimal, and additional cash investments are not required.

If there is a need to transfer the apartment to your daughter, you should adhere to the following rules:

Choose the most suitable conversion method after studying the advantages and disadvantages of each.
Prepare the necessary package of documents.
Have the contract certified by a notary.
Pay duties and taxes.
Register the transfer of rights with the relevant authorities.

Didn't find the answer to your question? Find out how to solve exactly your problem - call right now: +7 (Moscow) +7 (812) 309-53-42 (St. Petersburg) It's fast and free!

Where can I order an extract from the Unified State Register of Real Estate?

A paper statement can be ordered from the MFC or contacted directly by Rosreestr. To do this, you need to come to the branch in person, fill out an application and leave your personal data.

Important! You will have to wait 5-9 days for the USRN extract on paper. If you want to receive a document urgently, then the electronic version is suitable.

You can order it using the EGRN.Reestr service. In order to find out the necessary information, you do not need to provide any information other than the address of the apartment or its cadastral number. The finished answer will be sent to you by email. Order an extract from the Unified State Register in advance, before you send the declaration to the tax office. It will help you avoid misunderstandings when determining the amount of tax.

To order an extract from the Unified State Register on the Unified State Register website, you need to:

enter the exact address or cadastral number of the object;
pay the application;
receive the finished document by email.

This request option is more convenient - you do not need to contact the organization personally and waste your time on it.

It’s even more convenient to order an extract using the EGRN.Reestr application. Download it to your smartphone and receive a statement that will be convenient to read even from your phone screen.

How to determine the price of a donated apartment and the amount of duty?

Firstly, if the cost of the apartment is specified in the gift agreement, then it will be the starting point for the tax.

Important! The specified figure must be at least 70% of the cadastral value. If inspectors consider the price to be too low, they have the right to demand payment of tax at market value.

Secondly, if they give you part of the apartment. Then 13% will be calculated from the value of the donated share of real estate .
Thirdly, if the cost of the apartment is not specified in the contract, then its price will be determined by the cadastral value. Because it is closer to the market one. Some citizens may consider it too high and enter into a dispute with the tax authorities. To do this, you need to find out the cadastral value of the apartment in advance. This is where the USRN extract comes in handy. Order it electronically and be fully prepared. The USRN extract may also be useful if you decide to check the apartment that was given to you.

Is it possible to challenge a deed of gift?

Cancellation of a deed of gift if there are disagreements between the parties is a problematic task. By mutual agreement, they can cancel the transaction before the transfer of the gift by formalizing an agreement with the DD.

Contestation is usually required if it is necessary to cancel the DD unilaterally.

This is possible for one of several reasons:

Art. 578 of the Civil Code of the Russian Federation “Cancellation of donation”

causing harm to the health and life of the donor or his relatives by the recipient;
dishonest attitude towards the donated property, entailing the risk of irretrievable loss if the gift is of non-property value to the former owner;
intentional murder of the donor by the donee (disputed by the heirs);
signing a DD under the influence of delusion, threats, blackmail, violent actions on the part of the donee.

The creditors of the donor conducting business activities can also cancel the transaction if it was completed 6 months before the citizen was declared bankrupt by decision of the arbitration court.

Arbitrage practice

It is difficult to challenge a deed of gift, but with good legal support, the chances of a positive result increase, and this is confirmed by several decisions made in favor of the plaintiffs:

Decision No. 2-55/2019 2-55/2019(2-775/2018;)~M-675/2018 2-775/2018 M-675/2018 dated June 17, 2021 in case No. 2-55/2019 ;
Decision No. 2-44/2019 2-500/2018 dated June 28, 2021 in case No. 2-44/2019;
Decision No. 2-768/2019 2-768/2019~M-272/2019 M-272/2019 dated June 28, 2021 in case No. 2-768/2019.

Important! If the court revokes the deed of gift, the defendant undertakes to return the gift to the plaintiff in its original form. If the gift cannot be delivered, you will have to compensate for its cost.

Is it worth checking the donated apartment?

Many citizens are afraid that there may be problems with their new apartment. It is unlikely that the people who give you real estate will wish you harm. But it's still worth checking. In order not to receive a broken trough or housing with debts instead of a gift, protect yourself in advance.

Order an extract from the Unified State Register of Real Estate . With this document you can find out the history of the owners of the apartment, as well as all current owners. In addition, you will understand whether there are any encumbrances on the property.

For example, property may be pledged. If the donor is not a person close to you, this is a reason to think about it. Maybe the room in the communal apartment that he decided to give you is a burden to him and there are a lot of debts on it. He can't sell it. Therefore, it is easier to donate real estate than to pay huge sums for it.

Or, for example, the apartment had a mortgage . Its former owner believed that he had paid the housing court in full, but was late and forgot about it. Penalties grew and became a debt on the property. If you do not check the housing according to the documents in advance and register the property yourself, there is a risk that your gift will be followed by a huge tail of your debts.

What happens if you don’t pay the fee to the state?

If you fail to submit your return on time. This will result in a monetary penalty. The violator will be fined 5% of the tax for each overdue month. But the sanction should not exceed 30% of the total amount.
Donation tax was not paid on time. First of all, for such a violation you will be charged a penalty for each day of delay. Its size is 1/300 of the refinancing rate of the Central Bank of the Russian Federation. The countdown will begin on July 16. In addition, the violator will face a fine of 20% of the tax.

Important! You can only be fined if the inspectors have sent a notice of delay. If you realized that you did not pay the duty before the tax authorities, pay off the debt and penalties as soon as possible. Then no one can punish you.

Text: Ksenia Antonova, Ekaterina Zhaikova