Analysis of the Adequacy of Cadastral Value of Real Estate Market Conditions (on the Example of the Volgograd Region)

The authors analyze the problem of the relationship of local authorities with owners and tenants of real estate taxation and rents. The conclusion is made about the negative impact of exclusion of independent appraisers from the process of cadastral valuation of real estate. The proposed amendment to the draft law “On state cadastral evaluation” changes in the structure of the Commission on dispute resolution, which in addition to representatives of administrations of municipalities should include representatives of the business community and independent evaluators in equal proportions. It is recommended to develop less longlasting mechanism for dealing with disputes about the size of the cadastral value of real estate in the commissions and courts, returning powers from the courts of common use in arbitration courts, as well as to make decision which would make the processes more transparent and objective. For the calculation of the taxable base of real estate it is proposed to use two different systems of determining the cadastral value of real estate: for objects of taxation on which there is a civil turnover on the real estate market (residential, trading and business centers, offices, commercial facilities and catering facilities) based on the market value of real estate; for objects of taxation on which there is no civil, there is no market data about similar transactions (industrial buildings and structures, objects of incomplete construction, agricultural, and other buildings), through the establishment of cadastral value of the normative legal acts of bodies of state and municipal authorities