The first case won in Russia to reduce the cadastral value of a building

Before this dispute, it never occurred to anyone to reduce the cadastral value of buildings. By 2012, many land owners began to be more attentive to the cadastral value of land, which for several years forced them to pay fairly to the budget. The law giving the right to challenge the cadastral value of land plots and buildings was not adopted. And all owners of assets in Russia defended their rights to a fair amount of land tax or land rent based on the explanations of the Supreme Arbitration Court in the case of the Kemerovo company Avers, which concerned the law and procedure for challenging the cadastral value of land plots.

The land tax depended (and still depends) on the cadastral value of land, which was already being reduced with might and main, and with regard to taxes on the property of individuals and organizations, there was only a bill on the transition from the calculation from inventory (for individuals) and residual (for legal entities) to cadastral value. Therefore, we had to show ingenuity in court in order to justify what right we generally have to bring this claim to court.

As a result, the case was won in March 2013, in November the bill became law, and from January 2014 the object, the cadastral value of which we reduced, was included in a special regional list and began to be taxed on the cadastral value. The amount of the tax was   Savings over several years (2014-2018) amounted to 2.6 million rubles.

Savings on corporate property tax after lowering the COP of the building

Author

Daria Vladimirovna Tretyakova

Head of representative office in Moscow