Decrease in cadastral value

Today, many owners of land are trying to optimize their deductions for land tax. This is understandable - there are unlikely to be unwilling to overpay exorbitant taxes. The blessing now is quite lawful and uncomplicated way to implement it. Reducing the cadastral value of a land plot is a real and working method for optimizing tax payments. Someone has already done it, but somebody only intends to "rush into battle."

I know enough people who have already passed this thorny path, but I also know an even greater number who do not dare to do it. The reason to me is not fully understood. Perhaps they do not want to go to confrontation with the state. Bodies, and perhaps do not see for themselves in this sufficient benefit, and maybe they do not know or do not understand how to do it.

Looking through the judicial practice in different regions, I came to a striking (in my opinion) result. In very many regions of the country there are massive claims on this category of cases. Moreover, these claims are overwhelmingly subject to satisfaction by the court.

What is the reason for such events? What does it mean? And this means only that in these regions the cadastral value of land is overestimated in an absolutely "frank way" in comparison with their market value. To whom is it profitable? The answer to this question arises by itself.

I do not exaggerate at all, it is really so. Today, the cadastral value of land quite often does not correspond to its market value. And it is true. It is enough simply to look at the open sources of electronic and printed publications, where information on public offers, analytical materials, expert assessments is posted in free access mode. Among them there are quarterly monitoring of property prices as of a certain date, prepared by the same state bodies. Unfortunately, the figures indicated in these sources are far from the cadastral values established by the bodies authorized to do so. There are plenty of examples. You can easily find them on the Internet.

Conclusion suggests one - the cadastral value of the land, unfortunately, today performs only fiscal functions, and in most cases it is far removed from the existing realities.

That is why the decrease in the cadastral value of land plots has acquired such a scale today. People are trying to survive. By any lawful means, they seek to reduce the tax burden. And here there is nothing reprehensible. Is it possible to reproach someone for planning their budget and optimizing their costs ...

In my experience and deep conviction, the land, no matter how attractive it is for taxation in the eyes of the state, should not be valued in an amount for which I will never be able to sell it on the real estate market. Paradoxically, in our country it is still overestimated. The purpose of these intrigues of authorized bodies is clear to me - entrepreneurs and ordinary citizens will pay more taxes, the local budget will grow, but .... But, it seems to me, the goal does not justify the means, it is not acceptable if we want to have respect for each other in the country.

And the government knows that the land is wrongly valued, but pretends that everything is right for them, in the hope that people will swallow and will pay more as a result. Do not swallow! Someone, of course, will give up, and someone will probably go to court to protect their rights. And it is right. Their rights must be defended. As the tax code declares, taxes should be economically justified. This problem reminds me of the situation with insurance payments on road accidents. In the vast majority of cases, insurance companies underpay policyholders. People have to go to court in order to pull out the "undocked" remaining amounts, which could be more or less repaired by a vehicle. And everyone knows about this situation, but nothing significant is happening. Apparently someone it is profitable.

Now there are a lot of proposals and resources on this topic. The general method of reducing the cadastral value, or rather bringing the cadastral value to the market, I have already described. The algorithm is simple enough and transparent, based on the judicial establishment of the market value of the land. Of course, one can turn to third-party lawyers, and in some cases it will be a good solution, but is it worth overpaying to third parties if the rules of the game are already known in advance and "the path has long been beaten by others". After all, by and large, the procedure for determining the market value of a land plot is not as complicated as some might think. In any case, it's up to you.