An error was made in the property tax declaration, which was submitted in due time. How should it be corrected, avoiding penal sanctions and misunderstandings with controlling authorities?
When clarifying declaration to be submitted
It should be recalled that declaration on property tax is to be submitted once a year (in advance) to February 20. It will be necessary to correct the errors made through the clarifying declaration. In order to do this, in the title part of the declaration, in the line 03 “Clarifying” it should be put a mark “X”, and the box “taking into account the clarifications from” of line 3 should be filled in with the indication of the month from which the clarifications were made.
The clarifying declaration is submitted in the event of error detection and in case of transfer of ownership (as a result of the sale or purchase of the property) from one owner to another during a calendar year (if the transfer of ownership took place after the submission of the declaration).
It should be emphasized that submission of a clarifying declaration during the conduct of documentary scheduled and unscheduled inspections is not allowed.
How errors to be corrected
Unlike the reporting and reporting new declarations, the completion of the table part of which ends with line 6, in case of clarification of tax obligations in the clarifying declaration, all lines can be used.
When filling in the table part of the clarifying declaration, the following should be taken into account:
- in line 6 it is indicated the correct amount of the accrued tax for the reporting year splitting this amount for four quarters;
- in line 7 it is indicated the accrued amount of tax according to the previously submitted declaration (transferred from line 6 of the declaration clarified);
- in line 8 it is reflected an increase in the tax liability as a result of clarification of the indicators. It should be indicated the positive value of the difference l. 6 - l. 7;
- in line 9 it is indicated the amount of underestimation (underpayment) of the tax liability on the property tax. It is shown in columns 8-11 of line 9 the amounts of only those underpayments for tax liabilities, the terms of payment of which have already passed before the date of submission of the clarifying declaration;
- in line 10 it is reflected a reduction in the tax liability as a result of clarification of the indicators. It is indicated the positive value of the difference l. 7 - l. 6;
- in line 11 it is indicated the amount of overcharge (overpayment) of the property tax liability. It is shown in columns 8-11 of line 11 the amounts of only those overpayments for tax liabilities, the terms of payment of which have already passed before the date of submission of the clarifying declaration;
- in line 12 and 13 the taxpayer indicates the amount of the fine and the penalty calculated independently.
When fine and penalty to be applied
Fine and penalty are only applicable if the error led to a reduction of tax liabilities. If not, then lines 12 and 13 are not to be filled. In addition, according to para.129.1.3 the payer should accrue a penalty to oneself after the expiration of 90 calendar days, following the last day of the deadline for payment of the tax liability.
The clarifying declaration is submitted in the event of error detection and in case of transfer of ownership (as a result of the sale or purchase of the property) from one owner to another during a calendar year (if the transfer of ownership took place after the submission of the declaration).
