Settlement when selling an apartment and buying an apartment

Offsetting is a simultaneous procedure for buying a new apartment and selling the old one. The funds received for the old home fully cover the costs of purchasing a new one.

Developers very often offer to exchange old real estate for one located in a new building. But, offset during the sale does not take into account the contribution of additional money, that is, the difference between the old apartment and the new one.

And this fact, in turn, very often is an obstacle for people dreaming of moving.

Settlement procedure

This process consists of several stages:

1. The citizen is determined with the option in the new building, among those that were offered to him by the agency. Options are offered only from those developers who participate in such a program. It is better to choose a large agency so that it works with a large number of developers, so the citizen will have much more choice.
2. Agency employees go to the person’s old apartment and conduct an independent assessment. They will calculate the real cost and advise the client on approximately how much extra the developer will have to pay for the new property.
3. The agency begins advertising an old apartment for its quick sale. At the same time, the advertising campaign is quite large and active; buyers will not have to wait long.
4. A person can start looking for a bank to take out a mortgage loan if he does not have the amount of money to pay the difference between two properties. Contacting a banking institution does not guarantee receipt of the necessary funds.
5. When a buyer is found for the old housing, in parallel with the documents for the sale of his apartment, the citizen will sign an agreement for the purchase of a new one. The agency will fully control all stages of the transaction. The best option for a person would be to have a ready-made amount of money to pay the difference between them. When the old property is sold, the former owner will have to vacate it within a couple of weeks.

Tax deduction for sales and purchases

Important! If there was only one tax period in which the sale and purchase of real estate occurred (for example, from January 1 to December 31, 2023), then taxes must be paid on both transactions.

The fact that a citizen purchased a new apartment with money earned from his old property does not relieve him of responsibility for paying taxes.

For tax purposes, these are two different transactions, each of which must be taxed.

1. When selling. If a citizen has owned the property for less than three years, then it is necessary to pay a tax on the cost that exceeds 1,000,000 rubles, or a tax on the difference between the amount of money from the sale and purchase of this apartment (13%). If documents from the purchase transaction were saved. When real estate is owned by a person for less than three years, we do not pay tax.
2. When buying real estate. When purchasing an apartment, a citizen has the right to return 260,000 rubles from the budget. You can do this only once in your entire life; you cannot receive such a deduction again. Therefore, in the case of selling housing at a price of 3.5 rubles. and the purchase of housing, the cost of which is 4.5 million rubles, a tax deduction will be calculated from the amount. That is, the tax will be offset when selling and buying an apartment and the person will pay a smaller amount of tax.

The Tax Code regulates the tax period, deductions and other payments associated with changing housing.

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Pros and cons of netting

This procedure has both its disadvantages and advantages for persons wishing to change their place of residence. The disadvantages include:

• the sold property will always have a reduced value, since realtors need to sell it faster;
• Usually, only real estate that has been owned for more than three years takes part in the offset procedure;
• persons living in the apartment must be ready to vacate it as soon as possible after the sale, despite the fact that the new housing is located in a building under construction;
• a rather narrow choice of housing to buy, especially in small towns. Even though in 2023, netting became popular in small provinces.

The advantages of this procedure include:

• assistance to the company in finding a buyer for an apartment of a person purchasing real estate from a partner of the developer;
• full legal support of all transactions.

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A person will also need to find a bank, in case he does not have funds to pay the difference between housing, in order to obtain a mortgage loan. But they may be refused, so you should always have a certain amount with you.

The offset procedure for the sale and purchase of an apartment is becoming increasingly popular among citizens in 2023. This is due to the large number of new buildings that are appearing in various cities and the desire of developers to sell real estate faster.

Buying and selling an apartment by offset: the pros and cons of the method Link to the main publication

Credit for purchasing an apartment

The usual purchase and sale scheme brings together the seller and the buyer, and there is a standard exchange of one apartment for a sum of money. But there are other situations in the market. For example:

• the buyer does not have real money, but housing that he would like to exchange for another;
• more than two owners are involved in the chain of transactions;
• we are talking about a journey or a congress;
• housing is purchased in a new building instead of an existing property.

In a word, when one property is sold and another is bought at the same time, this is no longer an ordinary purchase and sale. Depending on whether a new apartment is purchased or the transaction takes place on the secondary market, there are:

• alternative transaction - on the secondary market;
• offset or offset – when purchasing a new home.

Such transactions are highly complex, so the general advice if you decide on an alternative transaction is to entrust its preparation to a specialist.

Simultaneous purchase and sale

In an alternative transaction, at the same time .

This method of registering real estate is the only possible option when selling real estate owned by a minor.

According to the conditions most often set by the guardianship and trusteeship authority, there should be no time gap between the transfer of one apartment and the receipt of another - otherwise the rights of the child may be seriously violated.

Schematically, an alternative sale involving two premises looks like this:

1. The “top” buyer comes into the transaction only with money. He does not sell housing, but only buys it from the “average”.
2. The “middle” simultaneously sells housing to the “top” and buys from the “bottom”. That is, he spends the money received from the “top” buyer to purchase housing from the “bottom” buyer, paying the difference if necessary.
3. The “bottom” seller sells his apartment to the “middle” seller.

This is a “simple” alternative purchase and sale scheme. Any number of real estate objects can participate in chains based on a similar principle. It is clear that with an increase in the number of participants in the chain, the risks for its participants increase.

Alternative transactions also have their own risks:

• The risk of one of the contracts being declared invalid. If this happens, the entire chain will fall apart.
• The more participants, the greater the subjective risks. Someone may simply change their mind - and the whole chain will not take place.

To avoid risks, it is necessary to verify the legal capacity of each of the parties to the transaction, check all documents for all premises and collect all necessary consents (spouses, guardianship and trusteeship, co-owners). -link to article about documents

It is almost impossible for any of the participants to carry out a chain of transactions on their own, given all the possible difficulties. There must be outside control here, so it is better to seek help from specialists.

Peculiarities

Essentially, an alternative transaction is several purchase and sale agreements that are completed on the same day. A separate agreement is concluded for each apartment, for example:

Ivanov A.A.
I decided to move from my home to a more spacious apartment. He turned to a realtor, who found A.A. Ivanov for the apartment. buyer Sidorov V.V. and at the same time the seller Petrov N.N., whose apartment ideally suits the needs of Ivanov A.A. All participants agreed on the terms. Two agreements were concluded at the same time:

1. Agreement for the sale and purchase of an apartment between the seller A.A. Ivanov and buyer Sidorov V.V.
2. Between the seller Petrov N.N. and buyer Ivanov A.A.

Accordingly, for each contract you need to collect your own package of documents:

• title documents for the object;
• technical documentation – technical plan;
• certificates of registered persons and arrears in payment of utility services;
• spouse's consent to sale (purchase);
• permission from the guardianship and trusteeship authority;
• notifications to co-owners about the sale.

The contract is drawn up as standard. When preparing papers, you need to consider the following points.

If there are minors in the transaction - it doesn’t matter whether they are the owners or simply registered ones - the deregistration of registered persons and registration in the new apartment will occur after the transfer of ownership to the new buyer. The risk of the new owner is that minors cannot be discharged “to nowhere” even through the court.

To protect yourself, ask the seller for a notarized undertaking to deregister your children within a certain period of time.

This paper is not submitted to Rosreestr along with other documents for registration; it serves as a guarantee that your counterparties will be discharged from the apartment.

In addition, the agreement in an alternative transaction may contain a clause stating that the registration of the rights of the new owner occurs only in the event of successful registration of ownership rights to other objects in the chain. In this case, the terms of the contract will not work if one of the other participants in the alternative suddenly does not show up for the deal.

After signing all the papers, the documents are submitted for registration to Rosreestr. In this case, all contracts are submitted at the same time, which means that all participants in all transactions must be present. If it's 25 people, then 25 people should come. Each participant comes in person or sends his representative by notarized power of attorney.

Upon completion of registration, each participant receives final documents:

• sellers are issued contracts with a mark of state registration;
• Buyers simultaneously with contracts are issued new extracts from the Unified State Register of Real Estate.

After receiving the documents, you can make the final payment for each transaction.

Exchange and netting

From a legal point of view, pure exchange is quite rare. It is possible only by replacing one non-privatized apartment with another.

Offset (offset) is used in the case when the buyer plans to replace the existing housing with an apartment in a new building. This scheme is not an exchange in the literal sense. The general exchange scheme is as follows:

• the buyer books an apartment in a new building;
• during the booking period, the old apartment is assessed and sold;
• The proceeds from the sale of the apartment are used to purchase reserved housing.

As a rule, the sale of an old property is undertaken by the same agency that helps with booking a new building. It conducts an active advertising campaign, which allows it to meet booking deadlines.

Some real estate agencies themselves buy the housing that is planned to be exchanged, but in this case its price will be at least 10-15% lower than the market price. The advantage of the deal will be the accelerated sale of the home - no need to wait until a suitable buyer is found. This scheme is called trade-in.

Remember that when booking a new apartment, most often you immediately make a down payment towards your future purchase.

What documents will be needed and what should I pay attention to?

During the offset, at least three real estate agreements are signed:

1. booking agreement for a new apartment;
2. purchase and sale agreement for old housing;
3. a purchase and sale agreement for a new apartment or an agreement for shared participation in construction, if the house has not yet been built.

Accordingly, the potential owner of a new home will need to act as a seller in a transaction to sell his home and as a buyer in a transaction to purchase new real estate. Typically, these transactions are signed and recorded at the same time.

As with any transaction, the buyer of a new home bears various risks. Here's what you need to pay attention to when applying for a credit:

• When booking a new apartment, pay attention to at what point the price is fixed: at the time of booking or at the time of purchase. Some agents can achieve a fixed price at the time of booking, and this is the most profitable option for the buyer. If the price is determined at the time of purchase, you risk paying more for housing than you expected.
• If you are planning to enter into a share participation agreement in the construction of a new house, think in advance where you will live until the new building is commissioned. The issue of temporary housing also needs to be resolved.
• Collect documents for selling your home in advance so as not to waste time booking a new home.
• Make sure your buyer has full legal capacity. Ask him to provide his wife's consent to the purchase.
• Check that the rights of minors or third parties are not violated.

A netting transaction is very complex both from a legal and psychological point of view. It is necessary to take into account a lot of nuances, starting from the developer’s requirements for the payment procedure, issues of payment for an old apartment and ending with the choice of a specific date for transactions.

That is why the registration of the offset should be entrusted to an experienced specialist who will analyze the transactions, help agree on all the conditions and draw up the necessary documents.

Taxes and declaration

If you sold your home for 1,000,000 rubles and at the same time bought a new one for 1,500,000 rubles, this does not mean that you have expenses of 500,000 rubles , on which tax is not paid. In other words, there is no need to add up the costs of one apartment with the income from the sale of another. This is a significant mistake.

The correct thing to do in this situation is:

• pay 13% personal income tax on the sale of your property;
• apply for a tax deduction on the purchase of a new apartment.

Moreover, both of these actions are subject to benefits and restrictions as in ordinary transactions, in particular:

• if the property has been owned for more than 5 years , there is no need to pay tax on its sale;
• if the premises are sold for less than 1,000,000 rubles , tax on its sale also does not need to be paid;
• if you purchased from a close relative, you lose the right to a tax deduction for the purchase of this apartment.

If you are unsure whether you must file a return and pay any taxes upon completion of your alternative transaction, please consult with a tax professional.

Adviсe

1. To support transactions, contact large agencies with a good reputation.
2. Write down all agreements in detail to protect yourself from unjustified disruption of the deal.
3. Choose a reliable developer if you are planning to rent an apartment in a new building. Read the project declaration if the house is still under construction.
4. Do not make any tax calculations unless you are sure they are correct. Remember that there is no special tax on alternative transactions.

Settlement for the purchase and sale of an apartment

The Tax Code provides citizens of the Russian Federation with the opportunity to receive a refund of part of the taxes paid from their income when selling or purchasing real estate. The procedure is formalized in two types of tax deductions, each of which has its own refund limit. By comparing the results of applying benefits for an asset acquisition transaction and a sales transaction, a netting is established.

Offsetting when buying and selling an apartment: taxation features

In the event of the sale of real estate that was owned, an individual receives income in the amount of the value of the property. Personal income tax is withheld from the entire proceeds and transferred to the budget. Transactions with real estate that the seller has owned for more than 3 years are not subject to taxation.

The maximum tax deduction for a transaction for the sale of an apartment and other real estate is 1 million rubles. When purchasing a home, an individual can claim a benefit of up to 2 million rubles. (Article 220 of the Tax Code of the Russian Federation).

Settlement for the purchase and sale of an apartment is possible provided that both contracts were implemented in the same calendar year.

If this rule is violated, the taxpayer will have to pay the tax due, and if the right to the second type of deduction arises, contact the Federal Tax Service for a tax refund.

An example of the implementation of the netting procedure

The taxpayer sold an apartment worth RUB 2.5 million in January 2018. In March, new housing was purchased at a price of 3.36 million rubles. The individual has not previously claimed property deductions. Calculation algorithm:

1. The tax base for personal income tax is determined from the amount of income after the sale, taking into account deductions - the total is 1,500,000 rubles. (2,500,000 – 1,000,000).
2. Tax liabilities for the sale of property are derived - the amount of calculated tax is 195,000 rubles. (1,500,000 x 13%).
3. The amount for which a citizen can claim compensation after purchasing a home is calculated - the taxpayer has the right to take advantage of the maximum benefit amount equal to 2,000,000 rubles. The amount of income tax on the return will reach 260,000 rubles.
4. A tax offset is carried out when selling and purchasing an apartment - the tax amount is adjusted downward by a deduction for the purchase of property. As a result, we obtain a negative value, so the tax liability of an individual is zero (195,000 – 260,000 = - 65,000 rubles). A citizen has the right to additionally receive a tax refund in the amount of 65,000 rubles.

If the value of the property being sold was higher, then tax deductions might not cover the entire amount of personal income tax calculated for payment. Then the adjusted balance of the tax liability would have to be paid to the budget.

How to arrange a tax offset when selling and buying an apartment

When assigning transactions for the sale and purchase of residential real estate to different reporting periods, tax on income resulting from the sale of an apartment or house will have to be paid, but taking into account an adjustment for a deduction in the amount of 1 million rubles.

After purchasing a new home, an individual applies to the Federal Tax Service for personal income tax compensation for property deductions. In both cases, the citizen actually applies property deductions.

To do this, he submits applications to the Federal Tax Service with 3-NDFL declarations for each period.

When netting, purchase and sale transactions are carried out within one year. Therefore, the procedure for mutual adjustment of tax obligations and compensation is reflected in one declaration.

In addition to the reporting form, a complete set of supporting and payment documentation for each type of transaction is attached.

When filling out the declaration form, you must indicate;

• income received from the sale, deduction for this transaction;
• deduction for the transaction of purchasing a new apartment;
• taxable income adjusted for benefits;
• the estimated amount of tax liability.

Sale and purchase of an apartment in one year: we arrange offset

No matter how confusing the legislation may be, tax offsets when selling and buying an apartment are an excellent help for new residents. Indeed, in fact, it is not uncommon for a young couple or a large family to change housing, even one that they have recently owned.

Unfortunately, exchange agreements are now very rare. Basically, transactions are carried out through the sale and purchase of real estate. And any sale means you have to pay income tax. And if you take into account the cost of modern, even very modest housing, the personal income tax amounts turn out to be exorbitant.

Therefore, the ability to offset an apartment when buying and selling is a huge help to owners. But in order to properly arrange everything and try to avoid paying taxes, you need to understand the intricacies of tax legislation.

So, let's figure out what rights and responsibilities those who sell one apartment and buy another have.

How many years has it been owned?

First, let's look at the simplest option. According to the law, until 2016, there was no need to pay tax at all on the sale of an apartment that had been owned for more than 3 years! But for housing sold in 2016 and later, this period has increased to 5 years.

• Read all the details in this article.
• And we will further consider the option of selling an apartment that does not have such a tax benefit upon sale.
• You can watch this video or continue reading the article.

Short period of property ownership

For the sake of you and me, let there be a large Ivantsov family, headed by Ivan Petrovich. Not long ago, the family purchased an apartment, but for reasons beyond our control decided to change it. Let Ivan Petrovich act as the seller and the buyer, which means he will be the main character of the story.

In order to qualify for tax deductions, and therefore take advantage of the offset, Ivantsov must meet two conditions:

• he receives official income and pays personal income tax at a rate of 13%;
• previously did not use the right to deduction (or did not use it fully after 2014).

Now let's take a closer look at what Ivan Petrovich needs to know.

Selling an apartment

If the owner has owned the residential space for less than three years (and from 01/01/2016 - less than 5 years), you will have to familiarize yourself with the tax legislation. The seller must pay 13% tax on the amount for which the property was sold.

The law says that the former owner can reduce the tax payment by the amount of the deduction, and the latter should not exceed 1 million rubles. What does this mean in practice?

In the year following the sale of the property, Ivan Petrovich must submit a 3-NDFL declaration to pay tax on this income. At the same time, he can take advantage of the deduction. After which the 13% payment should be made not from the actual cost of the apartment, but from the amount reduced by the tax benefit.

There are 2 options on how you can reduce the tax base :

1. Tax deduction 1,000,000 rub. If the apartment is sold for less than 1 million rubles, a deduction is provided for the actual cost of housing.
2. There is another option. If Ivantsov can confirm the expenses he incurred in purchasing this apartment, then he can claim a deduction for the entire amount spent.

For example, Ivan Petrovich bought an apartment a year ago for 1,950,000 rubles. Now he is selling this home for RUR 3,300,000. Since the seller still has payment documents from a year ago, he has a choice of how much to apply for a tax deduction.

Option 1 . Deduction for 1 million rubles. Ivantsov must pay a tax of 13%*(3,300,000 rubles – 1,000,000 rubles)=299,000 rubles.

Option 2 . Deduction for the amount of expenses. We receive a tax of 13% * (3,300,000 rubles – 1,950,000 rubles) = 175,500 rubles.

The second option is preferable if the apartment was purchased for an amount greater than the maximum deduction.

But very often a new apartment is sold at the same price for which it was purchased. In this case, the mathematics turns out to be even more interesting.

Option 1 . We subtract the benefit from the total sales amount and pay tax on the remaining amount: 13% * (3 million - 1 million) = 260,000 rubles.

Option 2 . We compensate the income from the sale with the costs of purchasing the same property: 13% * (3 million - 3 million) = 0 rub.

As they say, think for yourself which option suits you best. ????

We looked at what needs to be done when selling real estate. Now let’s look at possible bonuses when buying a home.

Apartment purchase

In case of purchasing a home, the buyer can return 13% of the cost of the apartment. The maximum deduction limit is RUR 2,000,000.

So, Ivantsov makes the next transaction - the purchase of a new apartment. Suppose now the cost of housing is 4,200,000 rubles. The owner can claim a refund of a maximum of 2 million rubles, thus, Ivan Petrovich will receive 13% * 2 million rubles = 260,000 rubles.

Starting from 2014, the deduction for one buyer can be used for several residential premises, but the total amount for personal income tax refund should not exceed 2 million rubles.

But this law, as usual, has many restrictions. Therefore, before you count on it, find out all the details: “How many times do you receive a tax deduction when buying an apartment?”

We briefly examined the benefits for the sale and purchase of real estate and came to the concept of tax offset.

Tax offset

We get that in one case Ivantsov is obliged to pay tax to the state, in the other he has the right to compensate for part of the costs. The essence of offset is that if the sale of one home and the purchase of another occurs in one calendar year, then both procedures can be combined. How to calculate tax offset?

Let us remind you that Ivantsov sold one apartment for 3,300,000 rubles, bought a second one for 4,200,000 rubles.

Option 1 . There are no documents confirming the expenses for the first apartment. In this case, from the first transaction, Ivan Petrovich must pay tax on the amount of 3.3 million rubles. – 1 million rubles = 2.3 million rubles.

From the second transaction (purchase) a return of 13% is possible from 2 million rubles.

We calculate the income remaining after the sale, on which tax is paid: 2.3 million rubles. – 2 million rubles. = 300,000 rub.

From this amount it remains to pay 13% to the state - 39,000 rubles.

Option 2 . There are documents confirming expenses for the first apartment in the amount of 1.95 million rubles. After the first transaction (sale), taxable income remains of 3.3 million rubles. – 1.95 million rubles. = 1.35 million rub.

The deduction for the second transaction (purchase) remains the same - 2 million rubles.

We calculate the income after purchasing a new home: 1.35 million rubles. – 2 million rubles. = - 650,000 rub.

Agree that sometimes knowledge of the law frees you from responsibility! ????

We prepare documents

All that remains is to figure out the design. According to tax law, all citizens are required to file an income tax return by April 30 for the year following the year in which the home sale transaction was completed.

Thus, if Ivantsov resolved housing issues in 2023, the documents must be submitted for tax offset before April 30, 2020. Ivantsov must contact the tax office at his place of registration.

For information about what package of documents he needs to collect in order to formalize the offset of housing, see: “What documents are needed to return the money for the purchase of an apartment.” The only addition to the list will be the agreement (copy) of the sale of the apartment.

conclusions

Despite the apparent complexity of calculating and obtaining a tax offset, the entire procedure was created for you and me. Instead of having to contact the inspectorate at least twice, first transfer the amounts, then return them, we can become a little more familiar with the legislation and save effort and time.

If you need help to understand your situation specifically, to assess how best to report to the tax authorities, leave a request for a consultation or filling out 3-NDFL on our website nalog-prosto.ru. We work for your benefit!

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How is the tax deduction calculated if I sell and buy an apartment?

vadim70 ovthinnikov/Fotolia

OGRC-Center lawyer Alexandra Ruzieva answers:

The tax period begins on January 1 and ends on December 31. Accordingly, you need to have time to conclude both transactions at this time, that is, sell the apartment and buy a new one. In addition, you need to understand what the cadastral value of the apartment is. It won't work as before. Previously, during a transaction, it was possible to indicate the amount of 1 million in the contract, and it was not subject to tax.

Now it is already necessary to indicate at least 70% of the cadastral value in the purchase and sale agreement. Accordingly, if the cadastral value of the apartment is 10 million, then the contract should indicate an amount of 7 million. Of this, 1 million is not taxed, but with 6 million you will have to pay 13%.

If a person manages to buy alternative housing during the tax period, then there is still minus 2 million, for which he can offset. That is, they will not be taxed. 6 million – 2 million = 4 million, on which you will still have to pay tax. To make it clear: 1 million is not taxed on sales, 2 million on purchases.

Or rather, these two million are taxed, but the person is also entitled to a refundable tax. Accordingly, you can make a mutual offset: not receive a refundable tax, but also not pay 13% on 2 million.

Does selling an apartment prevent you from getting a tax deduction?

I sold my home and bought a new one, with zero income. What about taxes?

Elena Mishchenko, head of the urban real estate department of the northeastern branch of the NDV-Real Estate company, answers:

One tax period is one calendar year. If you are selling in 2017, then you should have managed to register the new apartment in your name during the same period. In this case, you will be able to take advantage of a sales tax deduction in the amount of 1 million rubles and a purchase tax deduction in the amount of 2 million rubles.

Let's give an example: if you sell an apartment, say, for 3 million rubles (provided that the price of the apartment is equal to the cadastral value or does not differ much), and buy for 2 million rubles in one tax period, then when you submit the corresponding declaration, you will not pay taxes , although they owned the apartment for less than three years.

Let's carry out the calculation: 3 million rubles (the cost of the apartment being sold) – 1 million rubles (deduction) = 2 million rubles (tax base) x 13% = 260 thousand (tax payable on the sale).

This calculation must be completed correctly by submitting the appropriate declaration to the tax office in the year following the reporting period.

They gave me an apartment. Do I pay tax if I sell it?

Is a gift taxable if the holding period is less than a year?

Answered by K. Yu. Sc., lawyer Yulia Verbitskaya:

If you sell an apartment that you have owned for less than five years, you will be obligated to pay a tax in the amount of 13% of the value of the property. In this case, you have the right to a tax deduction in the amount of 1 million rubles.

This tax deduction is applied by reducing the sale price of the apartment (for example, 5 million rubles) by this amount.

The remaining part of the cost (5 million rubles, initial - 1 million rubles, tax deduction = 4 million rubles) is subject to tax at a rate of 13%.

In case of purchasing housing, the buyer has the right to return 13% of the cost of the apartment. At the same time, the limit on tax deductions is 2 million rubles. Thus, if the cost of a new apartment is 4 million rubles, the maximum refund amount will be 2 million rubles x 0.13 = 260 thousand rubles.

How to calculate the offset of taxes when selling and buying an apartment?

After the publication of articles about taxes when selling an apartment and tax deductions when purchasing, many questions were received from readers related to alternative transactions for the purchase and sale of apartments. They ask about how to calculate taxes when selling and buying an apartment, and whether it is possible to offset taxes when selling one and buying a second apartment. You will find answers to these questions in this article.

So let's look at two cases:

1. Taxes on the purchase and further sale of an apartment.

Let's consider a situation where you bought an apartment, owned it for less than 3 years and decided to sell. You must pay 13% tax on the amount you receive, reduced by 1 million rubles (tax deduction).

You have a certificate of ownership, a purchase and sale agreement and documents confirming the fact of payment for the apartment.

Instead of using the right to receive a property tax deduction provided for by this subparagraph, the taxpayer has the right to reduce the amount of his taxable income by the amount of expenses actually incurred by him and documented expenses associated with the receipt of this income.

This means that the tax base can be reduced not by 1 million rubles, but by the purchase amount.

Example 1 : an apartment was purchased 1 year ago at a price of 2 million rubles. Currently on sale for 4 million rubles. We calculate the tax:

 (4 million-2 million)*13%=260 thousand rubles.

Example 2 : an apartment was purchased 2 years ago at a price of 3 million, but is currently being sold for 2 million rubles. We calculate the tax:

 (2 million – 3 million) < 0, there is no tax base, the tax is zero.

Example 3 : a room (also valid for a share in an apartment) was purchased less than 3 years ago for 800 thousand rubles. Currently on sale for 1,200,000 rubles. You can reduce the tax base by the purchase amount, the tax amount will be:

 (1.2 million – 0.8 million) *13%=52 thousand rubles.

However, in this situation, it is more profitable to use a property tax deduction in the amount of 1 million rubles, provided for in Article 220 of the Tax Code of the Russian Federation; the tax amount will be:

(1.2 million – 1 million)*13%=26 thousand rubles. The difference is obvious.

2. Taxes on the sale and subsequent purchase of an apartment.

Second situation. You sell an apartment that you have owned for less than 3 years, and then buy another.

In this case, you must pay personal income tax (NDFL), and you can also receive a tax deduction upon purchase (maximum 2 million rubles).

If both transactions were carried out in the same calendar year, then you can sum up both tax deductions for the sale and for the purchase (2 million) according to Letter of the Ministry of Finance of Russia dated December 30, 2011 No. 03-04-05/1-1135.

Example 4 : (owned for less than 3 years) sold for 3 million rubles and bought another for 4 million. Both transactions took place in 2012. The seller has the right to reduce the tax base by 1 million rubles, as well as add a tax deduction (2 million) upon purchase. Then the tax offset when selling and buying an apartment will look like this:

 ((3 million – (1 million + 2 million))*13% = 0.

Example 5 : an apartment (owned for less than 3 years) was sold for 4 million rubles, in the same calendar year another one was bought for 4 million. We have the following tax deduction for the sale and purchase of an apartment:

((4 million – (1 million + 2 million))*13% = 130 thousand rubles.

This is the amount of tax the seller will have to pay.

Example 6 : an apartment (ownership less than 3 years old) was sold for 2 million rubles, and in the same year another one was bought for 4 million. We have:

 (2 million – (1 million +2 million))*13% = - 130 thousand rubles.

• The minus sign in this case indicates that the unused tax deduction is transferred to the next year, and the seller will be able to receive a personal income tax refund in the amount of 130 thousand rubles in future periods.
• All of the above is true provided that the buyer-seller has the right to a tax deduction , that is:
• • Works and officially pays tax
• • Have not previously used a tax deduction.

If the sale and purchase transactions took place in different tax periods (sold in December 2011, bought in January 2012), then the tax offset described above does not apply.

In this case, it is necessary to submit two different declarations in two different years (2012 and 2013, respectively). In this case, the seller is obliged to fully pay the tax on the sale of the apartment in 2012.

And as a buyer, it is possible to receive a personal income tax refund only starting from 2013 (from the employer) or in 2014 (from the tax office based on the results of 2013).

And finally, let's look at one more situation:

Example 7 : my client M. bought and paid for an apartment in a building under construction for 1.5 million rubles in 2010. At the beginning of 2012, M. signed the apartment acceptance certificate. At the end of 2012, M. makes an alternative transaction to sell his apartment for 2.5 million and buy a new one for 4 million. M. works, but has not received a deduction before. Calculation of taxes taking into account offsets will be as follows:

 ((2.5 million – 1.5 million) – 2 million)*13% = - 130 thousand rubles.

Source: realty-ask.ru

Tax offset when selling and buying an apartment

Last update 2023-06-14 at 13:12

How is the tax on the sale of an apartment calculated if another one is purchased? After all, taxes are paid on sales, and taxes are returned on purchases.

Personal income tax for the sale and simultaneous purchase of an apartment

In paragraph 5 of paragraph 1 of Article 208 of Part 1 of the Tax Code of Russia, the sale of real estate is listed as a type of income generated in the country. And according to Article 209 of the Code, such income is subject to taxation. Therefore, for the sale of an apartment a citizen must pay personal income tax:

• 13% of revenue - if you have resident status;
• 30% of revenue - if not a tax resident of Russia.

Since real estate has a high price, the tax amount is quite high for the average citizen. Therefore, the legislation provides ways to exempt or reduce a person’s personal income tax.

The exemption is offered under clause 17.1 of Article 217 of the Tax Code of the Russian Federation and applies only to residential real estate and shares in it. How it works:

• if the property was purchased before 2016 and more than 3 years have passed from purchase to sale, you are exempt;
• if the property was purchased after January 1, 2016 and more than 5 years have passed from the date of purchase to the sale, you are exempt;
• if the property was donated by a close relative or family member, inherited, privatized, received from the annuitant before 2016, then upon sale you are released;
• if the property was donated by a close relative or family member, inherited, privatized, received from the annuitant after January 1, 2016, and more than 3 years have passed from the date of acquisition to the sale, you are exempt.

In case of exemption, offset does not occur, since the tax is not collected from you anyway. And if you do not qualify for the exemption, you can reduce the tax:

• first by deduction;
• further, if it does not reach zero, by means of offset from the deduction when purchasing a home.

How to reduce using deduction:

• subtract from the tax base a fixed deduction in the amount of 1,000,000 rubles, which is established by Article 220 of the Tax Code of the Russian Federation;
• or deduct from the base the amount of your expenses that you had when you bought this apartment; This method requires documentary evidence of expenses.

Important!

The base can be reduced only in one of the ways chosen by the payer.

Example 1

Shcherbakova Kristina bought an apartment in 2017 for 1,900,000 rubles. A year later, she sold it for 2,100,000 rubles. Ownership period is less than 5 years, you need to pay personal income tax.

If you use a deduction, the base will be equal to: 2,100,000 - 1,000,000 = 1,100,000 rubles. Tax: 1,100,000 × 13% = 143,000 rubles.

If you use expenses: 2,100,000 - 1,900,000 = 200,000 rubles. Tax: 200,000 × 13% = 26,000 rubles. The second method is more expedient, but requires the submission of documents confirming expenses - a transfer deed, a purchase and sale agreement, a check, etc.

At the same time, Mrs. Shcherbakova still had an amount to pay - 26,000 rubles. And if she receives or wants to start receiving a property deduction for the purchase of a home, then she can compare the tax on the sale and the deduction on the subsequent purchase of the apartment.

That such a deduction when buying a home is a fixed amount by which you can reduce the personal income tax base for past or future periods. According to Article 220 of the Tax Code of the Russian Federation, this deduction is equal to 2,000,000 rubles. If you reduce your basis for past periods, you will get back the income taxes you paid in the past. And if for a future period, you will not be charged personal income tax within the deduction limits.

Important!

The deduction for the purchase of housing can be used for the last 3 years, but not earlier than the year the right to it arose.

Example 2

Shcherbakova Kristina bought an apartment for 2,900,000 rubles in 2017. In 2023, she decided to file for the deduction and reduce her basis in past periods. She will be able to use it only for 2018 and 2017, and 2016 will not fall within the scope of the deduction, since at that time Shcherbakova had not yet purchased an apartment and, accordingly, there was no right to a deduction either.

Also in 2018, she paid personal income tax on the sale of an inherited car. The sale amounted to 300,000 rubles, after reduction by deduction, the base became equal to 50,000 rubles, and the tax was 6,500 rubles.

In just 2 years, the total base was 850,000 rubles, and the total personal income tax was 110,500 rubles. Now we use the purchase deduction, which is equal to 2,000,000 rubles, but you can use that part of it that is equal to the base: 850,000 - 850,000 = 0, since the base cannot be negative. Consequently, all personal income tax paid has become an overpaid amount and requires a refund. Shcherbakova will be returned 110,500 rubles.

She can apply the remaining part of the deduction of 1,150,000 rubles (2,000,000 - 850,000) in the future, when she again accumulates paid personal income tax. Or she can immediately apply it at her place of work - tax will no longer be withheld from her salary.

And offset means a situation where a person has a tax to pay and there is a refund - they cancel each other out so that the tax payable becomes zero, and the amount of the refund is reduced by the amount of this tax. This entire scheme must be reflected in declaration . How to do it:

• on the sheet “Appendix 7” show information about the deduction for the purchase;
• reflect deductions for sales on sheet “Appendix 6”;
• on the sheet “Appendix 1” indicate the taxable income on which you paid tax;
• in the sheet “Section 2” write down all the results - this is where the personal income tax offset when purchasing real estate is reflected;
• in the “Section 1” sheet, indicate the amount to be refunded or to be paid, if any remains after tax offset when selling an apartment and buying a new one.

Let's look at the example below.

An example of calculating personal income tax when buying and selling an apartment in one year

Example 3

Shcherbakova Kristina sold the apartment that she inherited from her grandmother for 2,400,000 rubles. Instead, she bought another apartment for 2,600,000 rubles. Over the past year, Shcherbakova earned a salary of 900,000 rubles.

You must pay personal income tax on the sale. There were no expenses, which means that only a deduction can be applied. The base is equal to: 2,400,000 - 1,000,000 = 1,400,000. Personal income tax: 1,400,000 × 13% = 182,000 rubles.

You can receive a property deduction from the purchase of an apartment. The base for the year consists of salary and income from the sale of an inherited apartment: 900,000 + 1,400,000 = 2,300,000 rubles. But the property deduction is maximum equal to 2,000,000 rubles, therefore, you can only return: 2,000,000 × 13% = 260,000 rubles, although more was paid.

In the declaration it will look like this:

1. In Appendix 7 you will indicate information about the purchased property and the amount of expenses.
2. On Schedule 6, you will record your use of the sales deduction.
3. In sheet Appendix 1 you need to indicate all income and personal income tax on them.
4. In Section 2 you carry out the netting itself. The result is the remainder to be returned.

Results

1. When selling real estate, you must pay tax on the amount that remains after the revenue has been reduced by the amount of a special deduction or expenses incurred when purchasing this apartment.
2. When purchasing a home you can get a refund previously paid tax or does not pay future taxes in the same amount.

3. When buying an apartment and selling a house at the same time, you can offset the tax - the tax that you need to pay on the sale is taken as a deduction from the purchase.
4. All transactions for the purchase and sale of real estate reflected in the 3-NDFL declaration.

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