The property tax reform in Saxony represents a significant change for all property owners in the Free State. This reform aims to make property tax fairer and more transparent. Here are the most important points that you as a property owner should know about the property tax reform in Saxony.
1. background to the reform
The property tax reform was necessary in order to meet the requirements of the Federal Constitutional Court. This court had ruled that the previous calculation of property tax was unconstitutional. A new valuation system was therefore introduced in Saxony, which will come into force from 2025 and is intended to ensure that property tax is levied more fairly.
2. new rating system
As part of the reform, the valuation of land and properties will be based on new criteria. Property tax will no longer be calculated solely on the basis of the assessed value, but will in future also take into account the market value of the property. This is intended to create a more realistic basis for tax collection.
3. allowances and reductions
The property tax reform in Saxony also provides for allowances and reductions. For example, owner-occupied residential properties will benefit from tax concessions. These regulations are intended to ensure that families and low-income households in particular benefit from tax relief.
4. deadlines for the submission of declarations
The new property tax declarations must be submitted by a specified deadline. Property owners are obliged to report their properties and their use. If you miss this deadline, you may suffer disadvantages in your tax calculation. It is therefore advisable to find out about the necessary steps in good time.
5. effects on the tax burden
The reform is expected to have an impact on the property tax burden of property owners. While some owners will have to expect higher taxes, others will benefit from relief. A detailed analysis of the individual situation is therefore recommended.
6. advice and support
In order to best understand the effects of the property tax reform and to clarify your own rights and obligations, it can be helpful to consult a tax advisor or specialist tax lawyer. These experts can help you navigate the reform in the best possible way and take advantage of potential tax benefits.
Conclusion
The property tax reform in Saxony brings with it numerous changes that are of great importance to property owners. The new valuation system, allowances and reductions are intended to make property tax fairer. Find out about the new regulations in good time and, if necessary, seek professional support in order to optimally manage the effects of the reform on your tax burden.