Berlin (dpa) – Federal Finance Minister Olaf Scholz (SPD) wants to pay the property tax according to a newspaper report for each apartment individually. This model should take the current calculation of the tax for the property, reporting the "Picture" line.
The basis should therefore be area and age as well as the amount of rent. As the property tax is relocated to the rents, then it can also change the amount of rents – and in certain areas rent rises noticeably. This week's long-awaited reform model will be submitted to the federal states.
The Federal Constitutional Court had judged in April that the unitary values (value of land) underlying the calculation were unconstitutional. For these are outdated: In the West German federal states these were established in 1964, and even in the eastern German states they resigned until 1935.
However, according to the German Press Agency's information, a second lever is to be prevented by the fact that there are even more rising rents in demand areas with high net rent rents, since the calculation of the property tax is a second step in addition to the basis of the calculation of tax rates Wear – this could be massively reduced.
For apartments, for example, the tax number is 3.5 thousand. For example, if the unit value is up to 100,000 euros, a total tax amount of 350 Euro (100,000 divided by 1000 is multiplied by 3.5). These 350 Euro are multiplied by the individual rate set by each municipality – the levy is the third component of the calculation of land tax – so there are regional differences.
In Germany, there are about 35 million lands and many more apartments – so experts expect a gigantic bureaucratic expense for cities and municipalities – for a tax totaling about 14 billion Euros revenue per year.
The real estate tax is one of the most important sources of communal income – the Federal Constitutional Court has requested a new regulation by the end of 2019. In order to adjust the proposals with the countries and to pour in the form of laws, time is therefore urgent. The property tax is levied to involve citizens at the cost of roads that lead to the houses and to participate in other expenses.
Land A is for land and forestry ownership, such as fields, and land tax B for buildings or buildings that are built or cultivated. Experts spoke for a calculation only after the living space and land area. An Ifo Institute was set up in September. The study was created on behalf of the House & Grund Association and the Central Real Estate Committee. A calculation only after the area would have significant advantages over individual value-based models, said Ifo President Clemens Fuest at that time. "Above all, tax simplification: we would avoid high valuation costs." A combination of land, residential and commercial space was suggested, a one-time evaluation was proposed.
That would be different in the Scholz model. As with increasing value and rents, the tax burden could change year by year. Alternatively in the conversation, the soil value model was also used – here, primarily, the value of a land tax is based on the tax height. Scholz stressed that tax revenues should remain the same after the reform.