Real Estate Tax Tragicomedy Still Not Over

27. 03. 2014

Real Estate Tax Tragicomedy Still Not Over

The National Assembly is expected to pass on Thursday amendments to the real estate tax that will address one of the main complaints by the people and the cause of much bad blood in recent months - different tax rates for residential property depending on its occupancy status.


Under the original act, which entered into effect on 1 January, residential properties were taxed at 0.15% if there were owners or tenants registered at the address, or at 0.50% if they were formally unoccupied.


The tweak will abolish the higher rate in favour of a single, 0.15% rate. Additionally, the date of final tax assessment has been shifted to 1 May from 1 April to allow people to correct wrong data on the registers maintained by the Surveying and Mapping Authority (GURS).


While the changes will placate individuals, all tax rates for commercial and industrial real estate remain unchanged despite vocal protests by business associations.


The amendments will be passed just a day before the Constitutional Court hands down a ruling on half a dozen challenges against the law. The court has already said the amendments would have no bearing on its decision, which will tackle a much broader range of issues than just the tax rate.


Source: TheSloveniaTimes

Real Estate Tax Tragicomedy Still Not Over