Ukrainians have been charged UAH 6.7 billion of real estate tax: the deadline for payment is in August
23 August 2024 16:11
As of 1 August 2024, the State Tax Service of Ukraine has sent more than 3.5 million tax notices regarding the payment of real estate tax, which does not include land plots. This is reported by Ekonomichna Pravda, citing data from the State Tax Service, "Komersant Ukrainian" reports
According to the service, about 2 million people received these notices. The total amount of the accrued tax is UAH 6.7 billion. For comparison, in 2023, the tax service charged Ukrainians UAH 2.6 billion less in real estate tax, and in 2022 – UAH 4.4 billion less.
It is also noted that the level of real estate tax payment among Ukrainians remains insufficient. In 2022, the State Tax Service accrued UAH 2.3 billion of tax, but real budget revenues amounted to only UAH 1.2 billion. In 2023, the accrual amounted to UAH 4.1 billion, while revenues were UAH 2.8 billion.
Tax notices on the payment of real estate tax were sent out by 1 July. Citizens have 60 days from the date of receipt of the notification to pay the amount, i.e. no later than 30 August.
What are the consequences of not paying taxes?
In case of late payment of tax, the State Tax Service may impose a fine:
- 5% of the amount owed for delays of up to 30 days;
- 10% – if the delay is more than 30 days.
The real estate tax is a local tax payable once a year on all real estate owned by the taxpayer, except for land plots. In 2024, the tax will be paid based on the results of 2023.
Real estate tax: who has to pay and how much
The basis for taxation is the area of real estate that exceeds the statutory limits. This means that the tax must be paid for square metres exceeding 60 square metres for an apartment, 120 square metres for a house and 180 square metres if a person owns both an apartment and a house.
The tax rate may not exceed 1.5% of the minimum wage for the reporting year for each “additional” square metre. Since this year the tax is paid for the year 2023, the maximum tax rate is UAH 100.5 per square metre.
If a person owns real estate with a total area of more than 300 square metres for an apartment or 500 square metres for a house, the tax amount is added to UAH 25,000 per year.
