Does the church pay taxes in Russia: the answer of a specialist

In news feeds, no, no, yes, there will be information on the mythical budget of the Russian Orthodox Church, about the incredible expenditure of the Orthodox clergy, about the legislation that makes the church virtually inviolable. No wonder that against this background many are asking the question: "Is the church taxed in Russia?" We will answer it as detailed as possible.

What is the church?

To understand whether the church pays taxes in Russia, we will determine what is essentially the ROC from the "business" point of view. Religious organizations in our country are considered full-fledged participants in economic relations - they carry out certain activities, own any property - movable, real estate, land. It is logical that they are entitled to be called legal entities.

In addition to all of the above, religious organizations are engaged in a specific cult activity - they conduct certain ceremonies and ceremonies, meetings and events. Art. 8 of Federal Law No. 125 "On Freedom of Conscience and Non-Religious Associations" defines the concept of "church" as: voluntary association of groups of citizens, which is formed for the spread of faith and its joint confession, among other things, registered as a legal entity.

Legal framework and church

Consider the legal acts, one way or another related to the church's taxes to the state in Russia:

• ФЗ №7 "About non-profit organizations": the church has the right to engage in business, as well as create a number of its own enterprises and organizations.
• FZ No. 129 "On state registration of entrepreneurs and legal entities": the church and its branches are subject to compulsory state registration.
• The Federal Law no. 125, art. 11, mentioned earlier: for religious organizations, a special procedure for state registration is implied.
• Tax Code of the Russian Federation, art. 3, item 1: products of religious significance are exempt from VAT.
• Resolution of the Government of the Russian Federation No. 251 (31.03.2001): the document contains a complete list of items and services sold by the church and exempt from VAT.
• Agreement "On the Importation of Educational, Scientific and Cultural Materials": imported religious imported products are taxed not higher than those applied to similar goods on the territory of the host state.

The income of the church

Does the church pay taxes in Russia and with what income? This is a very interesting question for Russian citizens. Let's list the main points from which the profit of the religious organization is formed:

• Donations of believers for the calls, commemoration;
• Donations of sponsors;
• Selling candles;
• Sale of books and religious atibutics;
• "Lace" collection after service;
• Income from the activities of commercial ecclesiastical organizations;
• Transfer of a number of church facilities for free use;
• Receipts from the state budget of the Russian Federation.

VAT for church

Speaking about what taxes the church pays in Russia, it is necessary to touch on those payments from which the religious organization is released or who are paying the treasury in preferential order. The first thing to pay attention to the VAT - we will list the fact that the sale directly by the church gives it the right not to pay this 18% tax to the state treasury:

• Objects of religious worship: icons, statues, altars, Golgoths, etc., as well as elements that make up an indivisible whole with them: covers, icon frames, garments, etc.
• Interior decoration items, architectural elements: iconostases, tombs, crayfish, censers, candlesticks, gates, window grilles, thrones, altar cupboards, etc.
• Items of the attributes of the Orthodox religion: crosses, belts with prayers, staffs, medallions, standards, banners, wands, incense, artistic forms of Easter eggs, etc.
• Necessary elements and substances, without which it is impossible to conduct worship: incense, oil, censer, candle, miro, instruments for saboring, cherubs, seals for prosphora and artosa, etc.
• Clothes clergymen: mantles, belts, guards, clubs, legguards, felons, headscarves, aprons, etc., as well as holders, hangers, cases, chains, poles, etc. for them.
• Paper products: liturgical books (Holy Scripture, prayer books, saints, notes, chinopredstavleniya, religious calendars, etc.), religious and educational, educational books, official forms and printed goods of religious organizations (letters, diplomas, postcards, messages, prayers, canonical Images, photos, etc.)
• Video and audio products of the church: materials that visually teach, enlighten, illustrate the elements of teaching, religious practice, worship, etc.
• Repair and restoration work required for the temple - if they are carried out by an organization that has a license for such activities.

It is important to note that exemption from VAT on the listed items is available not only directly for the church, but also for a commercial company whose charter capital is the whole contribution of a religious association.

Property tax for church organizations

Art. 381 of the Tax Code exempts the church from paying taxes on property, but only with respect to the movable and immovable property that is directly used for religious activities. The church hostel, the corps for the brotherhood, etc., will already be taxed in the same amounts as for other Russian taxpayers. But here there is one thing: the property tax is a regional one, which means, in accordance with the Tax Code of the Russian Federation, Art. 12, item 3, subjects can independently establish its size for non-commercial payers. For religious organizations, it is made equal to zero.

Land tax for the church

Asking about whether the church has been released from taxes in Russia, we will also touch upon such an important income for the budget as a land tax. Sites belonging to the church are exempt from it in two cases - if it has:

• Lands owned by the right of perpetual use.
• Territories on which temples, churches, chapels are built, as well as constructions of both religious and charitable purposes. The latter include:
  • Buildings for the implementation of certain services, prayer, religious buildings, rooms for meetings, rituals, ceremonies;
  • Pilgrim centers and hotels for pilgrims, belonging directly to the church;
  • Religious church organizations - seminaries, religious schools, religious schools and hostels for students;
  • Charitable dining rooms, dormitories and hospitals, orthodox children's homes, educational institutions that have the status of charitable, etc.

According to the letter of the Ministry of Finance No. 03-06-02-02 / 41. From land taxation, the entire site belonging to the church is vacated, even if there are structures on its territory that are not related to the above. And the Tax Code of the Russian Federation (p. 395, p. 4) reports that the land that is the property of the Orthodox Church will be preferential, but on which the buildings and structures of other religious confessions are located.

In the continuation of the topic "Does the church pay taxes in Russia?" Ministry of Finance Letter No. 03-05-04-02 / 31 of May 7, 2008 warns that a site belonging to a religious organization, but only having buildings and facilities on its territory for the sale of paraphernalia, literature, etc., without the presence of religious buildings And charity, is fully taxed by land tax.

Religious organization and income tax

The tax on the church in Russia is also a tax on profits. According to the Tax Code, art. 246, item 1 the religious organization is its payer. However, a number of benefits are also provided for it here: when compiling the tax base, the following is not taken into account:

• Property (including money) and property rights, which came to the church budget in connection with the performance of religious rites and ceremonies, as well as the sale of its profile attributes and literature.
• Targeted income (except for those that apply to excisable). These include:
• Donations and contributions;
• Property, transferred by will, inheritance;
• Property received for the implementation of the statutory activities;
• Grants from individuals and organizations included in the List of Government Decree No. 485 (28.06.2008).

Target receipts are not taxed only if they were spent strictly for the purpose - a detailed report is necessarily submitted to the tax authority by the church.

Taxes paid by the church

Does the church pay taxes to the state in Russia? 91% of those who are interested in this issue can not find what is taxed on the activities and property of the church. The religious organization pays the following:

• Transport tax: from all transport that is administered by the church, a tax is paid in the amounts that are applicable to other taxpayers.
• Excisable fees (Tax Code of the Russian Federation, Article 181): cosmetics and perfumes, alcohol-containing substances, medicinal products, preventive agents, etc. We note that jewelry products, including those sold by the church, are not excisable.

So, does the church pay taxes in Russia? The answer will be positive, however, with a number of but - in fact in the Russian Federation religious organizations are endowed with a large number of tax benefits.