Облагается ли налогом квартира, полученная по наследству
Облагается ли налогом квартира, полученная по наследству?
Чтобы не допустить путаницы, отметим сразу, что речь тут может идти сразу о трех налогах:
1. О налоге на полученную в наследство недвижимость,
2. О налоге на владение недвижимым имуществом, и
3. О налоге с продажи этой недвижимости.
Не следует их путать.
Кроме того, существует еще нотариальная пошлина, которую надо платить нотариусу при оформлении унаследованной квартиры. Некоторые тоже путают ее с налогом. Сейчас мы все быстро расставим по местам.
Inheritance Tax exposed: Is your home at risk of costly IHT bill?
Inheritance tax explained by Interactive Investor expert
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Analysis of data from HM Revenue and Customs (HMRC) by Just Group has broken down the regions in the UK where estates are being levied with astronomical IHT due to the expense of the residential properties within them. After the death of someone, Inheritance Tax is charged on that person’s estate, which includes their money, possessions and home. No IHT is paid if the value of your estate is below the set £325,000 threshold or if everything above this amount is left to someone’s spouse, civil partner or charity.
HMRC’s figures found that residential property makes up nearly half the value (49 percent) of estates facing IHT in London.
In the country’s capital, 4,010 homes are at risk of being given an expensive Inheritance Tax bill with the average value of the estates being £1,431,421.
The majority of regions which saw IHT charged on estates were once based in the south of England.
Inheritance Tax exposed: Is your home at risk of costly IHT bill? (Image: GETTY/EXPRESS.CO.UK)
London was followed closely by the East of England and the South East with 40 percent and 48 percent of estates being made up of residential properties in those areas, respectively.
In comparison, areas such Scotland and Wales saw residential properties make up significantly less of the value of estates in those regions.
Homes and other residential properties made up 25 percent of estates in Wales, while the North East, Scotland and Northern Ireland came to 24 percent, 23 percent and 18 percent.
Furthermore, HMRC reports that the proportion of estates made up of cash and financial securities is lower in London and the East of England than other regions.
Stephen Lowe, group communications director at Just Group, emphasised that where someone’s estate is plays very little into how much they pay.
He noted that it is in fact what someone’s estate is made up of which leads to a higher IHT bill down the line.
Mr Lowe explained: “Although the average value of estates liable for Inheritance Tax doesn’t vary much by region, the components of those estates are very different.
“In areas such as London and the East of England property is a much bigger proportion of the estate.
Map of UK Inheritance Tax (Image: JUST GROUP/HMRC)
“Relatively low amounts of cash and securities are left compared to other areas which may require a very different approach to estate planning.”
The financial expert also broke down some of the extra difficulties that arise when it comes to Inheritance Tax, specifically when dealing with a house or flat.
He added: “Property can be tricky when it comes to estate planning because it is providing a place to live and is often a sentimental as much as a financial asset.
“It is also illiquid in the sense that you can’t sell or gift part of a property as easily as cash or other investments.
“That is why we are seeing equity release being used for estate planning because cash released can be gifted and, depending on how long the homeowner lives, may not form part of the estate on death or will attract a lower rate of Inheritance Tax.”
On top of this, this inheritance guru encouraged people to get sound financial advice on dealing with their estates, particularly when managing their property.
Mr Lowe said: “These days our homes make up such a large proportion of a homeowner’s wealth that it is important to factor it into financial planning and to take professional advice.
“Whether it is to generate more income or lump sums, to make gifts or to pay for care in later life, the value tied up in a property can contribute to helping people meet their goals in later life.”
Tax benefits you can avail on income from other sources
- After claiming tax exemptions and deductions, incomes under IFOS head are added to the total income of the taxpayer and taxed as per slab rates.
In the income tax return (ITR) forms, incomes to be declared are broadly categorized under five heads: salary, business, house property, capital gains or losses and income from other sources (IFOS). Any residual income that is taxable but cannot be declared under the first four categories is to be declared under IFOS. Some incomes under the IFOS head, such as savings account interest, family pension, among others, enjoy tax benefits. After claiming tax exemptions and deductions, incomes under IFOS head are added to the total income of the taxpayer and taxed as per slab rates.
Mint gives you a rundown of what incomes constitute IFOS and the tax deduction rules applicable to them.
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Interest income: Interest earned on deposits, savings accounts and bonds is shown under the IFOS head.
Interest income up to ₹ 10,000 in a financial year from bank or post office savings accounts is exempt from tax. This exemption limit is applicable to interest from all savings accounts combined and not individual accounts. So, if you have accounts in different banks and post office, you must add the interest income earned from all the accounts to calculate your tax liability. If the total interest falls below the threshold, you should declare it under exempt income, else it should be declared under IFOS head.
Interest earned from fixed deposits and recurring deposits is fully taxable.
Dividend: Rules on taxability of dividend income have changed from the current assessment year. Earlier, dividend income up to ₹ 10 lakh was exempt from tax as the company paying out the dividend deducted dividend distribution tax (DDT). Dividend above ₹ 10 lakh had to be declared by the taxpayer and was taxed at 10%.
From this year, the liability of declaring dividend and paying tax on it has moved to the taxpayer completely. In view of this, the threshold of ₹ 10 lakh is removed and each taxpayer has to declare dividend income under the IFOS head and pay tax on it as per their slab rate.
Gifts: Gifts received in a year whose aggregate value exceeds ₹ 50,000 are considered as other income and declared under IFOS as per Section 56(2). It should be noted that if the aggregate value of gifts exceeds the exemption limit of ₹ 50,000, you have to pay tax on the entire amount. Gifts received through inheritance, on the occasion of a wedding, from parent’s siblings, from spouse, among others are not taxable and should be declared under exempt income.
Depending on your date of birth, the IRS requires you to take money out of most types of retirement accounts. These mandatory withdrawals are called required minimum distributions (RMDs). Note: The RMD age changed to 72 when the SECURE Act passed in 2019. If you turned 72 before 2020, you may be subject to RMDs. If you turned 72 in 2020 or beyond, your RMDs begin at age 72.
In general, you should take your RMDs by the end of the year (December 31).
If you’ve turned 72 this year, you have the option to complete your first RMD by April 1 of next year. If you do this, you’ll need to take two distributions in the same tax year:
- Complete your first RMD by April 1.
- Complete your second RMD by December 31.
- This could have tax implications. For more information, consult with our tax advisor.
If you don’t take the full amount of your RMD, you may be liable for an IRS penalty of up to 50% of the portion of the RMD that was not withdrawn. If you’ve already scheduled or taken the full amount of your RMD at another financial institution, you don’t need to withdraw additional funds from your Schwab IRA(s).
You must take an RMD for these types of retirement accounts:
IRAs (Individual Retirement Accounts)
- SEP (Simplified Employee Pension)
- SIMPLE (Savings Incentive Match Plan for Employees)
Qualified Retirement Plans 1 (QRPs)
- Individual 401(k)
Generally, no, you don’t need to take an RMD for a Roth IRA unless you inherited one.
Because the SECURE Act changed the laws regarding inherited IRAs, people will generally fall under one of two rules. Those under the old rules may be required to take RMDs from inherited IRAs. Those under the new 10-year rule may not have an annual RMD. We recommend consulting with your tax or financial advisor, as these new rules can be complex. Learn more about beneficiary types and distribution options.
If the IRA owner passed away before 2020, you will likely fall under the old distribution rules. Certain eligible designated beneficiaries can also fall under the old distribution rules. We recommend consulting with your tax or financial advisor to determine which distribution rules apply in your situation. Learn more about beneficiary types and distribution options.
- Surviving spouses
- Minor children up to age of majority
- Disabled individuals—under strict IRS rules
- Chronically-ill individuals
- Individuals no more than 10 years younger than the IRA owner, such as siblings near the same age
If you are not an eligible designated beneficiary, or you inherited the IRA after 12/31/2019, you fall under the new 10-year distribution rules. Which means you can distribute the assets any way you want, as long as all the assets have been distributed before the end of the 10th year. There’s no annual RMD under the 10-year rule. If you fail to distribute all of the assets after the 10th year, those assets will be subject to a 50% penalty, or excise tax.
You can use the Traditional IRA calculator if you’ve inherited an IRA from a spouse.
The amount of your RMD is usually determined by the fair market value (FMV) of your IRA as of December 31 of the previous year, factored by your age and your life expectancy using the uniform life expectancy method. Sometimes FMV and RMD calculations need to be adjusted after December 31. If you had a transfer or rollover to your Schwab retirement account(s), a conversion from a traditional IRA to a Roth IRA and back, or any correction for security price after year-end, please call us at 877-298-8010 so we can recalculate your RMD.
Yes, you can withdraw more than the RMD from your IRAs without IRS penalty. Remember, these withdrawals will generally be taxable as ordinary income and won’t satisfy your RMD requirements in future years. We recommend consulting with your tax advisor.
The total amount of your RMD is generally taxed as ordinary income at your personal federal income tax rate. State taxes may also apply. Your tax liability and any tax withholding you elect are based on your home (legal) address.
No, RMDs can’t be reinvested back into an IRA or 401(k), or rolled into another tax-favored retirement account. So, if you don’t need it for living expenses, what can you do? Invest it in a taxable brokerage account. Save it in a bank account. Donate to a charity. Contact us for ideas suited to your needs.
Years to Accumulate
The last factor to consider is your investment time frame. Consider the number of years you expect will elapse before you tap into your investments. The longer you have to invest, the more time you have to take advantage of the power of compound interest. That’s why it’s so important to start investing at the beginning of your career, rather than waiting until you’re older. You may think of investing as something only old, rich people do, but it’s not. Remember that most mutual funds have a minimum initial investment of just $1,000?