Recommendations on Increasing Tax Revenues of the Consolidated Budget of Perm Region from Real Estate Taxation

Tax revenues of the consolidated budget of Perm Region in 2018 amounted to 149.5 billion of rubles and property tax revenues accounted for less than 10%. It is possible to increase budget tax revenues by increasing tax rate or tax base and by improving administrative factors - coefficients of assessment, collection and coverage. This work focuses on the last two. To increase tax revenues of Perm Region a pilot project was organized: using artificial intelligence technologies unregistered real estate objects are searched for future involvement in tax turnover. The pilot project was carried out on 4 quarters. Drop-out tax amounts upon extrapolation for Perm Region amount to 539-783 million rubles annually. The practical significance of the work is to formulate recommendations for increasing budget revenues using real data. The application of the developed recommendations can reduce the shortfall in tax revenues by 36% of the calculated.