Tag: Tax Law

FTS RF directed for use in the Ministry of Finance letter of August 30, 2010 N 03-03-05/193. In this letter, the Ministry of Finance informs that payments made under the temporary use of property in the form of objects of capital investments made state acceptance committee, the ownership of which has not yet been registered, recorded profits for tax purposes in the general procedure. This conclusion makes the Ministry on the basis of provisions of Art. 252 of the Tax Code, defining the concept of reasonable and documented expenses, as well as paragraph 3 of Article 131 of the Civil Code, which obliges the state registration of property rights and transactions it must at the request of copyright owner to certify the registration made by issuing a document of the registered right or the transaction or the commission of the inscription on the document submitted for registration. On According to the Ministry of Finance investor who has received the results of investments in the form of completed construction sites, to the state registration of rights to them is their owner with the possibility of possession, use and disposal of objects completed construction, including the offer such property for payment for temporary use to a third party. 31.08.2010. FTS RF directed for use in the Ministry of Finance letter of 30 August 2010 N 03-03-05/193.

In this letter, the Ministry of Finance informs that payments made under the temporary use of property in the form of objects of capital investments made by the state acceptance committee, the ownership of which have not yet registered, recorded profits for tax purposes in the general procedure. This conclusion makes the Ministry pursuant to the provisions of Art. 252 of the Tax Code, defining the concept of reasonable and documented confirmed expenses, as well as paragraph 3 of Article 131 of the Civil Code, which obliges the state registration of property rights and deals with it, must certify at the request of copyright owner produced registration by issuing a document of the registered right or the transaction or the commission of the inscription on the document submitted for registration. According to the Ministry of Finance investor who has received the results of investments in the form of completed construction of objects, to the state registration of rights to them is their owner with the ability to own, use and disposal of objects completed construction, including to provide such a property for payment for temporary use of a third party.

As you know, under Art. 223 of the Civil Code the right of ownership in the acquirer things under the contract arises from the transfer, unless otherwise provided by law or contract. In cases where the alienation of property subject to state registration of the ownership in the acquirer arise from the time of such registration, unless the law provides otherwise order. The transfer of ownership together with the transfer of things – most common form of transfer of ownership under a contract of sale, supply and other contracts relating to the transfer of property. However, Art.

223 of the Civil Code provides for the possibility to specify in the contract otherwise the transition ownership of the goods, for example, after the full payment. Since the date of receipt of income from accrual, regardless of actual receipt of funds in payment for goods shall be the date of implementation, determined by the time of the transfer of ownership (Section 1, Art. 39 Tax Code), the condition of the contract on transfer of ownership of the goods to the buyer after full payment allows the taxpayer to determine the tax base is not account received in payment for goods in cash when the remaining unpaid portion of the cost of goods is small compared to the value of all goods. Analysis of judicial practice on the application the above rules shows that the judiciary is not a unified approach to estimating the time of transfer of ownership of the goods, other than the transfer of the thing itself. For example, when considering one of these cases, the court was made conclusion that the parties' agreement on transfer of ownership to the buyer the goods when full payment does not reflect their actual attitudes and actual financial and economic performance, and the right ownership of the goods has passed to the buyer after putting it to the carrier for delivery to the buyer. The time of transfer of ownership of real property acquired from different interpretations of the Civil Code in the Letter of Ministry of Finance from 26.10.2005, the, which states that the seller of immovable property the duty to pay tax on income from the transfer of property to the buyer on the act (bill) acceptance and transfer of fixed assets, regardless Depending on the date of state registration of immovable property and transactions with them. It does not take into account the norms of civil law (to make a single state. Register the rights records of ownership buyers to purchase their property by the owner of the property continues to be a seller), and rules of tax law (the absence of a transfer of ownership eliminates the possibility of recognition of the fact of implementation, which is a transfer of property is not, and ownership of property). Motives of the Finance Ministry in this matter are clear – to accelerate the process of taxation of income from the sale of real estate, but in this case it is necessary to apply the concept of transfer of ownership on the basis of its regulation in civil law, to avoid violating the integrity of the system of norms, regulatory institutions, both public and private law.