One of the concerns we have heard about from the owners of real estate is: “We will not be able to contest the land tax after the new cadastral appraisal!”
We were skeptical about this pessimistic belief and since the start of the year we have appealed to the regional court and the Commission of Rosreestr (Federal Service for State Registration, Cadastre and Cartography) with a dozen of the complaints challenging the cadastral value.
It is common knowledge that in the late November last year, the Committee for Public Property Management of Kemerovo Region approved the results of a new cadastral appraisal for the lands within the borders of settlements in our region. Since January 1, 2016, cadastral appraisal has been used to calculate the land tax, rent and price of land in the case of buying it from state and municipal property. This cadastral appraisal will be valid for at least the next three years.
Unfortunately, another cadastral appraisal has not satisfied real estate owners in Kemerovo region. New cadastral values, just as the previous ones which were from 2009 to 2015, are overcharged many times in comparison with the real market price on the land.
New cadastral values, are overcharged many times in comparison with the real market price on the land.
Of course, an unfair cadastral appraisal of real estate can be contested in Kemerovo Regional Court and the Dispute resolution Commission by the results of determination of cadastral value under Rosreestr Department (for corporate bodies, it is a must to make a pre-trial application to the Commission).
The preparation of the documents for contestation (the collection of basic legal documents from clients, the records from the Cadastral Chamber, notary certification, the preparation of a report on cadastral appraisal and receipt of a positive expert opinion, sending applications packages with addendums to the parties in the dispute, and the state duty payment) took from 1 to 1.5 month.
Eventually, in March and April our barristers received the first positive results, both in court and in the Commission:
|Ground parcels||Occupied by a healthcare institution of the city of Kemerovo|
|The authority considering the case||Dispute resolution Commission by the results of determination of cadastral value under Rosreestr Department|
|Cadastral value before reduction||204 million rubles|
|cadastral value after reduction||68,8 million rubles|
|Amount of money saved owing to reduced land tax, per year||2 million rubles|
It is important to know: If you file an application to the court or the Commission before the end of the current year then compulsory payments (land tax or rent) can be recalculated for the whole period of 2016 based on the market value of the parcel. At the same time, the debts which accumulated for the year can be written off, and if all payments were made timely, the excess amount paid can be refunded or offset against future periods.