Warning before quick profit: New property tax must be revenue neutral
Property tax assessments in the past three years may be unconstitutional. This has the Bundesfinanzhof (BFH) in just his on 11 August 2010 published opinion again underlined. The current evaluation unit of land and buildings is not consistent with constitutional requirements. Now, countries are required to establish the identification of new property tax. Experts advise owners already to appeal against decisions.
History has really long beard. After all the doubts about the conformity with the Constitution, since the decision of the Constitutional Court on the inheritance and property tax in 1995 - and since then the experts discussed various proposals for a fairer tax, for example, on the basis of land value or market value.
The Bundesfinanzhof alleges especially now that land is taxed based on obsolete unit values from the last century - in the western countries are the values from the year 1964, in the new countries they go back to 1935. The assessed value is multiplied by the base tax rate and the rate of assessment set by the municipality. The determination of the rate of assessment made by the decision of the City Council, which in the determination of the amount of Assessment rate is relatively free.
The current situation means that some citizens are better and others worse off. One can assume that the facts have changed since the sixties and thirties clearly years. The current law included but not even an impairment due to age. This was a breach of the principle of equality, says the BFH. "This Supreme Court decision is welcome," said Jens-Ulrich Kiessling, BSI-chairman and president of the real estate association IVD on publication of the BFH ruling. "It is a clear signal to be considered in the legislature to promote the property tax reform. "in January 2010, appointed by the Finance Working Group Meeting would have to represent now the discussion on the future of the property tax base. The finance ministers meeting will deal in the fall with the reform of property tax.
Owners Protection Association Home Basic Germany points out, that has increased compared to the year 2009, especially in the larger cities, the property tax on real estate, sometimes drastically. "The economic crisis has led many communities to declining business tax revenue. Apparently this is an occasion for many eunuchs, homeowners and tenants to engage more deeply in the pockets, "said Home Basic President Rolf Kornemann the numbers. In particular, the cities in Baden-Wuerttemberg and North Rhine-Westphalia increased property tax significantly. Probably the biggest increase in property tax assessment rate must accept the people in Stuttgart - where was the property tax assessment rate be increased to 400 B 520th This is an increase of 30 percent compared to 2009.
This development is cause for concern. This is indicated also GdW the Federal Association of German Housing and Real Estate Company and the German Tenants' Association (DMB) even exist harmoniously. A modern efficient system must be found for the Owners, tenants and landlords are equally acceptable to say the association's leaders Friday, and Lutz Luke Siebenkotten. A new property tax should not lead to far greater stresses than, as this would be the home buying power of the tenant to be significant. With the increase in fees would increase the overall burden of the tenants, and possible scope for the refinancing of investment - especially for energy conservation and climate protection - would be reduced. 
owner, it has Thorsten Hausmann, manager and shareholder out of the home property management GmbH, Norderstedt / Hamburg, dealing with the changed property tax a lower tax burden should hope, now pause with regard to the current object to the verdict fixing the assessed value the tax office and ask for a reassessment. 
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