Together with our partners - Yakovlev and Partners Law Group, we have implemented a project to reduce the cadastral value for a number of gas stations in a large international network. In this case, we chose the path not through establishing the cadastral value in the amount of the market value, but through correcting mistakes made in determining the cadastral value of real estate. Gas stations were located in several regions of the country, including Moscow and the Moscow region, as well as a number of other regions of the Central Federal District.
Gas stations are complex facilities consisting of a building, structures beyond the redevelopment of the building, landscaping facilities, engineering equipment, etc. Due to the complex structure of the structure, registration of rights to such objects occurs in different ways. This largely depends on how the initial permits for construction were originally drawn up and/or how the object was transferred under the purchase and sale agreement. There is almost always a land plot on the register. Improvements to the site can be registered as a non-residential building (an operator's room with a store, a car wash), and at the same time the remaining parts of the complex are not, in principle, put on cadastral registration.
However, often the gas station was designed not as a building, but as a structure. Since the structure is complex, and the parameters of its individual elements can be determined by the area of the buildings, others by linear meters of length (for networks, fences), reservoirs by volume, etc. When entering data into the cadaster and the Unified State Register of Real Estate on the basis of a technical passport and title documents, registration of objects is often carried out according to the building area of all components of this complex structure, and moreover, asphalt platforms and paving were also included in its composition.
Valrus specialists conducted a comprehensive analysis of determining the cadastral value for 25 objects. As a result, 9 objects were determined, for which, with an extremely high probability, mistakes in determining the cadastral value will not be able to be disproved by the State Budgetary Institution. Error correction statements have been prepared for them.
The procedure for determining the cost of buildings and structures in accordance with the Law on State Cadastral Valuation, Methodological Guidelines for state cadastral valuation, as well as reports on state cadastral valuation conducted assumes that the calculation of the cost of a capital construction facility is carried out within the framework of a cost approach without taking into account the cost of the land and without objects located outside the boundaries of the enclosing structures of the capital construction facility.
The state budgetary institution's mistake was that, having chosen the correct analogue from the Co-Invest collection for the structure as part of the complex, they applied the pricing for it to the total building area of the entire facility, including both other components of the structure (canopies, containers, etc.) and asphalt pavement. Firstly, it is obvious that the cost of building, for example, a canopy that has no walls, per 1 sq.m. will be less than the cost of building a heated building. Secondly, according to the Order of the Ministry of Economic Development of the Russian Federation dated 05/12/2017 No. 226 "On approval of methodological guidelines on state cadastral assessment", landscaping facilities outside the perimeters of exterior walls should not be included in the cost of capital construction facility, they are not taxable.
The applications submitted by Yakovlev & Partners lawyers were reviewed and satisfied within the prescribed period. The cadastral value of the structures was overestimated on average for all objects by more than 6 times, and the Client received a tax reduction of more than 15 million rubles. It should be noted that when correcting an error in determining the cadastral value, the tax base is converted for the entire period from the beginning of the application of the cadastral value.
Setting the cadastral value at the market value would never have allowed such a reduction in the tax base. A competent analysis of the procedure for determining the value within the framework of the state cadastral valuation, identifying mistakes and submitting comments on them can bring many times more tax savings than an expensive and longer cost adjustment procedure through a valuation. Contact good specialists – oddly enough, given the higher rates, this allows you not only to earn money, but also to save a lot on the cost of services.