Owners of taxable personal farms can become self-employed

Farmers who are required to pay taxes on income from personal subsidiary plots can pass to the new tax regime and register as self-employed in those regions where it is already applied.

Currently, most of personal subsidiary plots are not subject to taxation: their owners are engaged in production and processing of agricultural products exclusively for their own needs, and sell only their surpluses. The tax applies only to farms located on land plots with a total area of ​​more than 2.5 hectares. At the same time, farmers who grow products for sale on their own and with the participation of family members, but without involving outside workers for payment, can take advantage of the special tax regime for the self-employed. The income received from the sale of livestock and crop products grown on personal subsidiary plots with the help of hired employees is still subject to personal income tax, 13%, with the Unified Social Tax of 6%, or rates provided for under other taxation regimes. In addition, the owner in this case is obliged to register an individual entrepreneur or legal entity and pay fixed insurance premiums, for himself and for hired employees.

Let us recall that today the self-employed pay professional income tax at a rate of 4% if they sell services or products to individuals, 6% - when delivering products or providing services to legal entities. Switching to the preferential tax regime is voluntary; registration as a self-employed can be done in the My Tax mobile application.

Since January 1, 2020, the list of regions, where a tax regime for the self-employed has been introduced, has expanded. In addition to Tatarstan, the Moscow and Kaluga regions, now you can register as self-employed in St. Petersburg, Voronezh, Volgograd, Leningrad, Nizhny Novgorod, Novosibirsk, Omsk, Rostov, Samara, Sakhalin, Sverdlovsk, Tyumen , Chelyabinsk regions, Krasnoyarsk and Perm territories, Nenets Autonomous District, Khanty-Mansi Autonomous District - Ugra, Yamalo-Nenets Autonomous District and Bashkortostan.

The features of the new tax regime can be found in the legal case “Professional income tax”, specially developed by the SME Corporation.