How does the tax office know that you rent an apartment and don’t pay taxes
Real estate expert Oleg Tsarev talks about how government agencies get information on renting housing and not paying mandatory income taxes
It’s no secret that 70% of apartments on the rental market are rented without taxes. But nevertheless, the tax service manages to find out that people are renting an apartment, and the state does not get any of this. There are many ways to find out about such housing, most of them are random for the owner or, as they can be called, sudden.
The most important are the neighbors. They are different. Firstly, the neighbors on the porch. Unfortunately, fortunately, fortified by communism, many more remain. They are used to reporting everything that happens to the district police officer. It can also be neighbors with whom you have a bad relationship, or they don’t like your employers. There are neighbors in a communal apartment. It’s about a situation when a person owns a room in a communal apartment, rents it out, but neighbors from other rooms don’t like it, they inform the district police about this or can write a direct letter to the tax office. And if it doesn’t work out, then they go to court.
The second of the methods for obtaining information about such real estate follows from the first – these are the courts. Often people in court disputes provide rental contracts for an apartment that they allegedly incurred some expenses, or, for example, in a dispute, the employer and lessor submit this agreement to the court to clarify the relationship between the two parties. These contracts, as a rule, necessarily fall into the tax service in connection with the interaction (albeit weak) of state bodies.
The next method for identifying rented apartments is the Federal Migration Service. Citizens coming here from foreign states or republics are required to register. All these data fall into the Federal Migration Service, which, in turn, passes them to the tax office, and the tax authorities already address the owners of this apartment with the question: “Aren’t you accidentally renting your apartment? And would you like to pay us taxes? ”
Also, all state bodies, the Ministry of War and the Ministry of the Interior reimburse their employees, employees, part of the cost of renting a house; Due to the fact that the payment is official, of course, these data fall into the Federal Tax Service.
Well, and probably the most unexpected thing is the situation when you rent an apartment, it’s like you rent it for an employee of the organization, but the company simply reimburses him for the costs in cash. This applies most to commercial private organizations. When the tax office comes with an audit to the organization, all documents that are stored in the accounting department become visible. And, of course, this data is verified. In this way, the fact of rental housing is established, and the owner will be forced to pay taxes.
Many may now be frightened by the thought that they will have to pay for the entire period specified in the contract or in several contracts. Suddenly, inspectors will be forced to pay tax for all previous years of rental ?!
However, in practice, inspectors do not require this – they are limited to the current tax period. In the 3-NDFL declaration (section “Income from sources in the Russian Federation taxed at a rate of … percent”), the landlord indicates “income from renting the apartment in 2007,” the details of the contract, and the rate is 13 percent. A copy of the contract itself and a receipt on receipt of money are attached to the declaration.
The same thing can happen when renting an apartment through a real estate agency. Typically, real estate agents take a copy for reporting to the agency, this copy can be stored, which, of course, is a rarity. In the case of verification, like any other commercial organization, you will have to pay tax.
Imagine this situation: in 2007, the owner was summoned to the inspectorate, “educational conversation” was held, and as a result, he decided to pay tax on income received in 2006. But in fact, the apartment also surrendered in 2005 and in 2004. Do you have to pay tax for these periods? The answer is no! The tax service is content with the information that it currently has.
From the foregoing, we can distinguish several key informants of the Federal Tax Service: these are utilities and utilities and district inspectors. Previously, even unscrupulous inspectors earned small, but substantial money for the service of silence before the tax on residents or owners. And now the state is changing, employees are becoming more respectable; sometimes it even seems that the precinct has a plan to identify apartments for rent.