Land tax payers, attention!

Press service of the State Tax Service of Ukraine, published 11 April 2024 at 10:23 Chapter: News

Article 269 of the Tax Code of Ukraine (hereinafter – Code) provides that land tax payers are owners of land plots, land shares (units), land users who, according to the law, have been granted the use of state and communal land plots with permanent usage rights, and rent payers – land users (tenants) of land plots of state and communal property on lease terms.

Land taxation objects are land plots, land shares (units) that are owned, land plots of state and communal property that are owned with permanent usage right and land plots of state and communal property, provided for use on the lease terms (Article 270 of the Code).

At the same time, it is informed that according to Article 281 of the Code, the following categories of citizens are exempted from paying tax:

persons with disabilities of the first and second groups;

individuals that raise three or more children under the 18 y. o. age;

pensioners (by age);

war veterans and persons subject to the Law of Ukraine "On the status of war veterans, guarantees of their social protection";

individuals recognized by the law as victims of Chernobyl disaster.

Exemption from payment of tax for land plots provided for the above-specified categories of citizens applies to land plots for each type of use within limit norms, namely for:

keeping personal peasant entity – in the amount of no more than 2 hectares;

construction and maintenance of residential building, farm buildings and structures (homestead): in villages – not more than 0.25 hectares, in towns – not more than 0.15 hectares, in cities – not more than 0.10 hectares;

individual cottage construction – not more than 0.10 hectares;

construction of individual garages – not more than 0.01 hectare;

horticulture – not more than 0.12 hectares.

Also, Paragraph 281.3 Article 281 of the Code defines that owners of land plots, land shares (units) and land users are exempted from paying tax during period of validity of the single tax of Group IV, provided that land plots and land shares (units) are leased to the single tax payer of Group IV.

If individual, defined in Paragraph 281.1 of this Article, as of January 1 of the current year owns several land plots of the same type of use, area of which exceeds limits of limit norms defined in Paragraph 281.2 of this Article, such individual has to submit a written application by May 1 of the current year in an arbitrary form to the controlling body at the location of any land plot on the independent selection/change of land plots for application of benefit (hereinafter – application for benefit) (Paragraph 281.4 Article 281 of Code).

Benefit begins to be applied to the selected land plots from basic tax (reporting) period in which such application is submitted and is valid until the beginning of month following the month of submitting new application for benefit.

If individual, who as of January 1 of the current year owns several land plots of the same type of use, submits application for benefit after May 1 of the current year, benefit begins to be applied to the selected land plots from the next tax (reporting) period.

If right to benefit for individual who owns several land plots of the same type of use arises during a calendar year and/or individual defined in Paragraph 281.1 of this Article acquires right to own land plot/plots of the same type of use, such individual submits application for benefit to the controlling body at the location of any land plot within 30 calendar days from the date of acquisition of such right to benefit and/or ownership (Paragraph 281.5 Article 281 of the Code).

Benefit begins to be applied to the selected land plots taking into account requirements of Paragraph 284.2 Article 284 of the Code and is valid until the beginning of month following the month of submitting new application for benefit.

In case that individual does not comply with requirements of Clause 1 of this Paragraph, benefit begins to be applied to the selected land plots from the next tax (reporting) period.

It also should be informed that tax legislation gives taxpayers right to apply in writing or in electronic form by the electronic communication means (in compliance with requirements specified in Paragraph 42.4 Article 42 of the Code) to the controlling body at their registration place in the controlling bodies or at the location of land plots, including right to which individual has as owner of land share (unit) for reconciliation of data on the area’s size and number of land plots, land shares (units) owned and/or used the taxpayer, right to use tax benefit taking into account provisions of Paragraphs 281.4 and 281.5 Article 281 of the Code, amount of land tax rate and accrued amount of land tax.

In case of discrepancies between data of the controlling bodies and data confirmed by the land tax payer on the basis of originals of relevant documents or duly certified copies of such documents, in particular documents on the ownership right, use of benefit, as well as in case of a change in the land tax rate, the controlling body to which the land tax payer applied, conducts a recalculation of tax amount within ten working days (Paragraph 286.5 Article 286 of the Code).