How to save on transport tax
How to save on transport tax - tips
Transport tax is an annual payment required for any car owner. The tax applies to land vehicles (trucks and cars), water and air transport. Its size can vary over a very wide range. For low-power cars (up to 100 horsepower) it does not count at all, but for powerful cars it can amount to hundreds of thousands of rubles. In addition, a number of other factors influence the amount of tax. In times of crisis, the question of how to save on fuel costs is far from idle. In this case, it is advisable not to violate current legislation.
The content of the article
Method one. Vehicle registration location
Savings can be achieved by reducing the tax rate, which differs quite significantly depending on the region of the country. Since this tax has the status of a regional one, only the general procedure for calculation (payment deadlines and base rates) is determined by law. The tax amount is determined by local authorities, and it can vary significantly. Benefits for different categories of payers are established depending on the financial capabilities of the region. You should be careful when exploring this option. For example, rates for a 150 hp car. in Moscow and Rostov they differ by 3000 rubles, and on a car with a power of 280 hp. - are the same.
To save money, you can consider the option of registration in another region or registering a car to another person. However, it should be noted that the tax will be charged at the rates of the region in which the owner of the car is registered, and not where the license plates were obtained.
It is possible to open your own business in a region with a low rate and register the vehicle to the company. Advantageous regions are Kaluga, Novosibirsk, Kemerovo, Kaliningrad, Volgograd regions, Altai, Buryatia, Stavropol and other territories. You can win up to 30 rubles for each engine horsepower.
Method two. Power reduction
By lowering the engine power you can reduce the payout. For example, if in a Moscow car you reduce hp from 235. up to 225 hp, then the gain on each engine horsepower will be 10 rubles. The total savings will be 3,000 rubles, since the rate will no longer be calculated at 75 rubles, but at 65 rubles. But to do this, you need to re-examine the engine in a center with the necessary specialization and obtain documents that will confirm the lower power of the engine.
You can also reduce engine power by tuning (turning off mechanical superchargers, turbines or weakening their operation). But you must have official confirmation of the car’s conversion and its safety. It is advisable to carry out such work in official service centers that guarantee the quality of the work performed and provide the necessary documents.
Purchasing a low-power car (even the second one in the family) can be beneficial. Machine up to 50 hp In terms of taxation, it will cost only 400-600 rubles, depending on the region, and taking into account the Moscow tax benefit, it will be completely free.
Method three. Registration for a beneficiary
The only all-Russian benefit according to Article 358 of the Tax Code is the non-payment of technical tax for the use of specialized cars by disabled people. Other benefits are established by the constituent entities of the Russian Federation. In some regions, pensioners do not have any benefits, while in others the situation varies, for example:
- Dagestan – 50% discount on one car up to 150 hp,
- Adygea – 50% discount on one car of any power,
- Khakassia – 100% discount on cars up to 150 hp,
- Amur region – 100% discount on cars up to 100 hp.
In general, there is a very large list of categories of beneficiaries who can count on a discount in a particular subject of the Federation:
- holders of certain state awards,
- disabled people,
- combatants and members of their families,
- owners of cars with gas cylinder equipment,
- victims of the Chernobyl disaster,
- large families,
- owners of old or low-power cars.
Accordingly, we are talking about the possible re-registration of the vehicle to another person who lives in a region with a lower tax rate, or has certain benefits in his area. A positive aspect can be saving money on paying taxes, sometimes quite significant.
The disadvantages of such manipulations are also obvious - the car becomes the property of another person with all the ensuing consequences (deception, death of the fictitious owner). This can only be avoided by regularly (once every one or two months) signing the purchase and sale agreement before the current date and destroying the previous agreement.
Changing the place of registration of the owner of a vehicle is more difficult; you need to have real estate in the region of interest or good friends who are ready to register the car owner. Therefore, when considering any of the options, you need to carefully calculate the benefits and disadvantages yourself, and only then make a decision.
How to reduce the cost of transport tax
Car owners are required to pay transport tax annually, with the exception of cars for disabled people purchased through social security, low-power cars and stolen cars. However, for car owners of non-preferential cars, there are many ways to reduce this tax burden.
Procedure for paying transport tax
For individuals, private car owners, the tax amount is calculated by the Federal Tax Service at the place of registration: tax inspectors themselves make the calculations and send a tax notice by mail, according to which the vehicle owner must pay the tax one-time before December 1. Commercial companies must calculate the tax amounts themselves and pay it either as a lump sum or in quarterly advance payments.
Transport tax is regional and is paid to local budgets. Its amount depends on:
- tax base (set by each subject of the Russian Federation individually depending on the category, capacity and engine power);
- tax rate (cost of one engine horsepower);
- possession time;
- increasing coefficient (taken into account for cars worth more than 3 million rubles).
The car owner pays tax on each car he owns. Failure to pay or underpayment can lead to serious penalties, including administrative or criminal liability (seizure of property, involvement of the bailiff service, etc.). However, the same law allows for a reduction in the amount of tax.
Options for legal fuel reduction for private car owners
If you haven't purchased a car yet, you can significantly reduce your costs in the future:
- Buy a car with low engine power. The smaller it is, the lower the tax amount, and if the power is below 70-150 hp, then you won’t have to pay at all.
- Buy a car that is not included in the list of expensive cars, compiled annually by the Ministry of Transport of the Russian Federation, so as not to pay an increased coefficient (“luxury tax”).
- Draw up a MTPL agreement for six months (tax is paid according to the number of months of use).
- Buy a car and delay its registration (don’t use it for a while).
If you have already purchased a car, you can register in another city or region of the Russian Federation, where the tax rate is significantly lower than in the region of your residence. For example, in Crimea, Ingushetia, Khakassia, Orenburg, Tomsk, Transbaikalia, etc. You just need to first study the list of regions where the rate is lower.
Benefits for paying TN
The legislation of the constituent entities of the Russian Federation provides for the abolition of transport tax for a number of categories of citizens. Most regions of the country do not pay tax:
- WWII and combat veterans;
- disabled people of groups I and II;
- liquidators of man-made accidents at nuclear power plants;
- large families, etc.
For owners of heavy trucks who pay fees to the Platon system, there is a tax deduction: the amount of tax can be reduced by the amount paid by car owners for compensation for damage on the roads.
You need to find out if your city has tax incentives and if you are eligible to receive them. After this, you need to collect a package of documents and submit it to the Federal Tax Service along with the application. If the benefit is granted, then you have the right to recalculate the technical tax for the last three years of car ownership.
If you are not entitled to the benefit, then there is another simple solution: register the vehicle in the name of your relative, who is entitled to a tax discount by law, and then all that remains is to issue a general power of attorney and compulsory motor liability insurance for yourself. But keep in mind that any actions with the car without a beneficiary are impossible, since he will be considered the official owner of the car.
Reducing car power in PTS
Tax inspectors calculate the amount of car tax based on the data specified in the Vehicle Passport and their information databases. That is, the payment amount depends on the engine power indicated in the technical passport, and not on the actual power of the car. Sometimes one extra “horse” increases the amount several times.
This may be due to an error when registering a car, or to the natural wear and tear of the car during operation (it usually decreases). To avoid large expenses, you can review the power of the car and adjust the data specified in the title.
You can review the error based on a request to the dealer about the factory characteristics of the car, or an expert opinion from an automotive technical expertise. With the received data, you can contact the State Traffic Inspectorate of the State Traffic Safety Inspectorate, pay fees for changes to the PTS and STS - 350 and 500 rubles, receive corrected documents for the car and provide copies of them to the employees of the Federal Tax Service. Changes will be made to the database and the tax will be recalculated.
Power reduction
Since the amount of TN depends on the power of the car engine, it can be reduced by replacing the engine itself with a less powerful one. To do this you need:
- obtain permission from the traffic police to make changes to the design of the car;
- replace the unit at a service station and receive confirmation from the service center;
- pass a technical check at the State Traffic Inspectorate;
- pay a state fee of 800 rubles for confirming compliance of the changes made with safety standards;
- re-register the car with changes to the documents for the car.
After this, copies of the documents along with the application for tax revision are transferred to the Federal Tax Service.
To get an idea of what the vehicle tax will be on your car, use our online calculator.
Reduction of TN for legal entities
Calculation of transport tax for legal entities is identical to the procedure for private car owners. Therefore, all of the above methods of reducing the tax burden are also suitable for commercial vehicle owners.
In addition, legal entities have several of their own methods:
- registration of a car in a company branch registered in a region with lower tax rates or more favorable benefits (a car can be registered at the place of registration of the company’s division - clauses 1, 1.1 and 5 of Article 83 of the Tax Code of the Russian Federation);
- register a car in the name of an employee entitled to the benefit and rent it from him;
- lease a car from a specialized company under the agreement that, until the car is fully purchased, it will be the property of the lessor, and he will pay the tax.
In conclusion, it should be noted that tax legislation allows for many options to significantly reduce the amount of car tax on completely legal grounds.
You can register in a subject of the Russian Federation with favorable tax rates, transfer a car to a relative with benefits, buy a vehicle with minimal power, make changes to the vehicle’s passport or change the engine power, rent a car or lease it. The main thing is to carefully study the legislative provisions and your rights in order to solve the problem of tax reduction quickly and successfully.
How to save on transport tax in 2017?
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Transport tax rates: ways to save in 2017
In addition to the costs of gasoline, insurance and auto parts, motorists have another expense item - transport tax. Its size may vary significantly, depending on the technical characteristics of the vehicle and other factors. From this article you will learn what is taken into account when calculating transport tax, and how you can save on it.
How is transport tax calculated?
All drivers are required to pay transport tax. The proceeds go towards building new or repairing old roads. Only owners of low-power cars (up to 100 hp) and agricultural machinery do not pay transport tax. Air ambulances are also exempt from payment. Transport tax ceases to be collected if the car has been deregistered with the registration authorities or has been stolen.
Tax rates are set taking into account:
• engine power, vehicle capacity, jet engine thrust;
• initial cost of the car;
• environmental class;
• year of manufacture of the vehicle and place of its registration;
• presence or absence of benefits.
Since the vehicle tax is regional, the code establishes only the general procedure for calculation: the size of the base rates and payment deadlines. Local authorities were entrusted with the main function of determining the optimal tax amount for their region. In some areas, rates differ from the base by 8 times. Benefits for different categories are also assigned based on the capabilities of the local budget.
The transport tax covers land vehicles (trucks and cars), as well as air and water transport. The object of taxation is any car registered with the State Traffic Safety Inspectorate. Tax payment is made according to a tax notice, the funds go to the local budget. The payment deadline is no later than December 1.
Now we will consider the situation when you already have a car. If you are just planning to purchase a vehicle, it makes sense to familiarize yourself with the system of increasing coefficients for luxury cars (worth over three million rubles).
Vehicle registration location
Theoretically, any driver can choose the registration location for his car. Depending on the region, tax rates differ quite significantly. Individual transport benefits may vary in different areas. To register a car, you need to contact any nearest traffic police department. But the tax will be levied at the rates of the region in which the owner of the car is registered, which is not always beneficial to the driver.
If the owner received license plates in Rostov-on-Don, and his place of registration is Tver, the driver will pay tax at Tver rates, so the region code will not help him. The driver's expenses in this case will be 10 rubles per liter. With. (for passenger cars with power up to 73.55 kW) and 21 rubles per liter. With. (for passenger cars with power up to 110.33 kW).
Thus, in order to reduce the tax rate, you need to either change your registration (choosing more favorable conditions for car owners) or register the vehicle to another person. Let's look at each of these cases in more detail.
Option A. Passenger car (150 hp)
If you are from Moscow, you will pay 5,250 rubles per year.
If you are from Rostov, you will pay 2,250 rubles per year.
Option B. Passenger car (280 hp)
If you are from Moscow, you will pay 42,000 rubles per year.
If you are from Rostov, you will pay 42,000 rubles per year.
Thus, for cars of different power, the rates in the regions may vary or be the same. Keep this in mind.
Transport tax benefits
It is necessary to submit a tax application and documents confirming your right to benefits on time. The application contains standard taxpayer information (full name, tax identification number, telephone number).
Cars for disabled people
There is only one benefit that is not tied to the place of registration of the car owner; it applies to disabled people using special types of vehicles. All other benefits are established by the constituent entities of the Russian Federation and have significant differences in different areas and regions. This benefit is prescribed in Article 358 of the Tax Code of the Russian Federation:
Benefits for pensioners and disabled people
In the Perm region, retired drivers pay 50% of the transport tax for a passenger car with a power of up to 100 hp (1 kilowatt is equivalent to 1,359 horsepower). In the Sverdlovsk region, the same drivers do not pay vehicle tax at all for a car with the same power. Pensioners of the Omsk and Volgograd regions are entitled to benefits only if they are heroes of the USSR and the Russian Federation, disabled people of group 1 or 2 (power limit 100 hp), veterans or participants of the Second World War (power limit 110 hp)
In St. Petersburg, parents (guardians) of disabled children, citizens with a certificate or ID card for a disabled person, and people exposed to radiation at the Chernobyl nuclear power plant are entitled to receive such a benefit. These categories of citizens do not pay tax on vehicles with a capacity of up to 150 hp.
Other types of benefits
Since benefits are established by constituent entities of the Russian Federation individually, recipients of preferences can be:
• combatants and their relatives;
• large families and families with a disabled child;
• drivers of cars manufactured more than 13 years ago (with power up to 100 hp);
• holders of state awards, members of public organizations;
• owners of cars with gas and low-power engines.
On the Federal Tax Service website you can study discounts for each specific region.
Registration of a vehicle for another individual
Sometimes drivers register a car not in their name, but in the name of a relative or good friend who lives in a region with minimal vehicle tax rates. This method of tax evasion has its advantages and disadvantages. Let's look at them in more detail.
The savings between paying tax in Moscow and in Maikop will be almost 25,000 rubles (for a car with a 300 hp engine), so many enterprising drivers are wondering whether they should register their “iron horse” in the name of their uncle or cousin living in a region with a more favorable tax policy. At the same time, you can save not only on transport tax, but also on compulsory motor liability insurance.
Considering the fact that the vehicle will not be owned by the driver himself, standard force majeure situations may occur. For example, if a quarrel arises between the legal owner and the real owner of the car, it will be almost impossible to prove who the real owner of the vehicle is, and the vehicle may forever remain with a relative or friend.
Another risk is the death of the legal owner of the vehicle
If a driver wants to receive a discount on transport tax and wants to register a car in the name of an elderly relative (disabled or pensioner), it is possible that after the death of the legal owner, it will be possible to enter into inheritance rights only six months later. Within six months after death, the document (power of attorney) has no legal force, and the transport becomes “real estate”.
To avoid such developments, it is necessary to sign a purchase and sale agreement with an updated date at least once a month. The previous agreement should be destroyed. Or make it even simpler - sign the purchase and sale agreement, and leave the date blank for filling out if necessary. Such a document (in the event of the death of the legal owner) will allow you to immediately register the vehicle, without waiting for the moment when you can receive the right to inheritance.
If the fictitious owner was a close friend or good acquaintance, the inheritance by law should be received by his closest relatives, who may not return the car, which according to all documents belonged to the deceased.
You can avoid such developments if you regularly sign and re-sign the purchase and sale agreement. This will also protect you from the consequences of a quarrel with a relative - the “owner” of the car. In this case, the law allows you to re-register the vehicle “in your name”, although you will have to pay a fine for failure to comply with registration rules.
It is also worth mentioning that the legal owner of the car will be sent fines captured by CCTV cameras. If you don’t want to pay the penalty, you will have to solve the problem in the courtroom.
Changing place of registration (registration)
If the car owner has real estate in another region (or relatives who agree to provide registration services have such real estate), you can change the place of registration in order to be able to reduce your transport tax. If there is no house or apartment in a region with lower taxation, this method of saving will not work; maintaining the property will cost more than paying transport tax.
Sometimes it is convenient to register a car to a specific beneficiary or to a “favorable” address. In some situations, it is even possible to avoid paying tax entirely.
Now you know how you can save on transport tax!
How to reduce the cost of transport tax
Car owners are required to pay transport tax annually, with the exception of cars for disabled people purchased through social security, low-power cars and stolen cars. However, for car owners of non-preferential cars, there are many ways to reduce this tax burden.
Procedure for paying transport tax
For individuals, private car owners, the tax amount is calculated by the Federal Tax Service at the place of registration: tax inspectors themselves make the calculations and send a tax notice by mail, according to which the vehicle owner must pay the tax one-time before December 1. Commercial companies must calculate the tax amounts themselves and pay it either as a lump sum or in quarterly advance payments.
Transport tax is regional and is paid to local budgets. Its amount depends on:
- tax base (set by each subject of the Russian Federation individually depending on the category, capacity and engine power);
- tax rate (cost of one engine horsepower);
- possession time;
- increasing coefficient (taken into account for cars worth more than 3 million rubles).
The car owner pays tax on each car he owns. Failure to pay or underpayment can lead to serious penalties, including administrative or criminal liability (seizure of property, involvement of the bailiff service, etc.). However, the same law allows for a reduction in the amount of tax.
Options for legal fuel reduction for private car owners
If you haven't purchased a car yet, you can significantly reduce your costs in the future:
- Buy a car with low engine power. The smaller it is, the lower the tax amount, and if the power is below 70-150 hp, then you won’t have to pay at all.
- Buy a car that is not included in the list of expensive cars, compiled annually by the Ministry of Transport of the Russian Federation, so as not to pay an increased coefficient (“luxury tax”).
- Draw up a MTPL agreement for six months (tax is paid according to the number of months of use).
- Buy a car and delay its registration (don’t use it for a while).
If you have already purchased a car, you can register in another city or region of the Russian Federation, where the tax rate is significantly lower than in the region of your residence. For example, in Crimea, Ingushetia, Khakassia, Orenburg, Tomsk, Transbaikalia, etc. You just need to first study the list of regions where the rate is lower.
Benefits for paying TN
The legislation of the constituent entities of the Russian Federation provides for the abolition of transport tax for a number of categories of citizens. Most regions of the country do not pay tax:
- WWII and combat veterans;
- disabled people of groups I and II;
- liquidators of man-made accidents at nuclear power plants;
- large families, etc.
For owners of heavy trucks who pay fees to the Platon system, there is a tax deduction: the amount of tax can be reduced by the amount paid by car owners for compensation for damage on the roads.
You need to find out if your city has tax incentives and if you are eligible to receive them. After this, you need to collect a package of documents and submit it to the Federal Tax Service along with the application. If the benefit is granted, then you have the right to recalculate the technical tax for the last three years of car ownership.
If you are not entitled to the benefit, then there is another simple solution: register the vehicle in the name of your relative, who is entitled to a tax discount by law, and then all that remains is to issue a general power of attorney and compulsory motor liability insurance for yourself. But keep in mind that any actions with the car without a beneficiary are impossible, since he will be considered the official owner of the car.
Reducing car power in PTS
Tax inspectors calculate the amount of car tax based on the data specified in the Vehicle Passport and their information databases. That is, the payment amount depends on the engine power indicated in the technical passport, and not on the actual power of the car. Sometimes one extra “horse” increases the amount several times.
This may be due to an error when registering a car, or to the natural wear and tear of the car during operation (it usually decreases). To avoid large expenses, you can review the power of the car and adjust the data specified in the title.
You can review the error based on a request to the dealer about the factory characteristics of the car, or an expert opinion from an automotive technical expertise. With the received data, you can contact the State Traffic Inspectorate of the State Traffic Safety Inspectorate, pay fees for changes to the PTS and STS - 350 and 500 rubles, receive corrected documents for the car and provide copies of them to the employees of the Federal Tax Service. Changes will be made to the database and the tax will be recalculated.
Power reduction
Since the amount of TN depends on the power of the car engine, it can be reduced by replacing the engine itself with a less powerful one. To do this you need:
- obtain permission from the traffic police to make changes to the design of the car;
- replace the unit at a service station and receive confirmation from the service center;
- pass a technical check at the State Traffic Inspectorate;
- pay a state fee of 800 rubles for confirming compliance of the changes made with safety standards;
- re-register the car with changes to the documents for the car.
After this, copies of the documents along with the application for tax revision are transferred to the Federal Tax Service.
To get an idea of what the vehicle tax will be on your car, use our online calculator.
Reduction of TN for legal entities
Calculation of transport tax for legal entities is identical to the procedure for private car owners. Therefore, all of the above methods of reducing the tax burden are also suitable for commercial vehicle owners.
In addition, legal entities have several of their own methods:
- registration of a car in a company branch registered in a region with lower tax rates or more favorable benefits (a car can be registered at the place of registration of the company’s division - clauses 1, 1.1 and 5 of Article 83 of the Tax Code of the Russian Federation);
- register a car in the name of an employee entitled to the benefit and rent it from him;
- lease a car from a specialized company under the agreement that, until the car is fully purchased, it will be the property of the lessor, and he will pay the tax.
In conclusion, it should be noted that tax legislation allows for many options to significantly reduce the amount of car tax on completely legal grounds.
You can register in a subject of the Russian Federation with favorable tax rates, transfer a car to a relative with benefits, buy a vehicle with minimal power, make changes to the vehicle’s passport or change the engine power, rent a car or lease it. The main thing is to carefully study the legislative provisions and your rights in order to solve the problem of tax reduction quickly and successfully.
How to save a lot on transport tax
Russian legislation provides, in fact, two main criteria that determine the amount of transport tax for the owner of a passenger car. This is the power of the car’s engine and its region of “habitat”. The more “mares”, the more you will have to give to the state, namely to the treasury of the entity in whose territory the car owner is registered. The second criterion is regional. After all, it is the local authorities who are given the right to determine exactly how many rubles the owner is due for each “horse”, depending on the engine power.
As a result, each region of the country has its own transport tax. For example, in Ingushetia, the owner of a car with a power of less than 100 hp. With. will give 5 rubles for each “horse”, and the owner of a car with an engine “over 251 hp”. With." - 15 rubles per “mare” under the hood. And in the Vologda region, for exactly the same vehicles, the budgets will have to transfer 25 and 85 rubles/horse, respectively.
That is, to save on transport tax, you can, firstly, purchase less powerful cars and, secondly, it makes sense to register the car to a resident of a region with a tax regime that is more loyal to the car owner - for example, to a relative living there.
There are several other saving options. First of all, let’s say that Heroes of Russia and the Soviet Union, veterans of the Great Patriotic War and disabled people of groups 1 and 2 are completely exempt from transport tax. If, when purchasing a car, you indicate a disabled grandmother as its owner, you will not have to pay transport tax.
In addition, in most regions of Russia, local legislation exempts parents with many children from it. These are considered people who have sired at least three offspring, or who have adopted that many children. Moreover, in this case it does not matter whether the parents live together or are divorced.
In some (but not all) regions there are tax breaks for pensioners. In Moscow, for example, there is no such thing, but in St. Petersburg there is. Pensioner “discounts” almost always have significant reservations. In St. Petersburg, for example, a pensioner does not pay transport tax only when he owns a Russian brand car with an engine weaker than 150 hp. With.
In other cities and regions that have established benefits for retired car owners, the latter are not completely exempt from the attention of the tax service, but only 50-70% of the transport “rent” paid by other motorists.
In any case, by taking advantage of these nuances of local tax legislation, you can seriously save on the maintenance of your car.