Effective from 4 August

According to the Information and Communication Department of the Ministry of Revenues, from 04.08.2013 the following are not subject to real estate tax:

- residential real estate, including their shares owned by individuals that according to the law have the status of parents with many children, foster or poor families, guardians or custodians of children. But no more than one such object per family, guardian or custodian;

- residential real estate, including their shares belonging to orphans, children deprived of parental care, and persons from among them recognized as such by law, disabled children who are raised by single mothers (fathers). But no more than one such object per child.

If an individual is a taxpayer of more than one object of taxation, including different types (apartments, houses or apartments and houses, including their parts), the taxable amount is calculated based on the total floor space of such objects.

In addition, dimensions of residential property were revised in respect of which exemptions apply. Thus, the taxable object / residential real estate, including their shares that are owned by the individual taxpayer is reduced:

 - for flat / flats regardless of their number - for 120 m2;

 - for house / houses regardless of their number - for 250 m2;

Law of Ukraine of 07.04.2013, № 403 amends the current version of Art. 265 Tax on immovable property other than land plot of the Tax Code of Ukraine (hereinafter - the Code) and adds the provision that provides incentives to owners who have different types of residential real estate (in the case of simultaneous presence of the taxpayer owned flat / flats and house / houses, including their parts), by reducing the tax base by 370 m2.

However, benefits for payment of real estate tax do not apply to taxation objects that are used by their owners to generate income (rent, leasing, entrepreneurial activities).