Financial dealings - The state plans to deliver property tax information to local authorities in the upcoming days.
The Finance Ministry in Saxony-Anhalt plans to share data for a revamped property tax model with local municipalities by mid-August. This update was shared by Finance Minister Michael Richter (CDU) to the German Press Agency. He mentioned that there are no roadblocks from their side for the implementation of the reformed property tax law in line with federal law, starting from January 2025.
More than a year after the deadline, about 106,000 property-related declarations have not been submitted in the region, making it approximately 10.5% of the overall count, as per the Finance Ministry. The earlier estimate was of around 50,000 incomplete declarations - however, the number of properties requiring appraisal has risen, leading to this increase. Presently, over 905,000 applications have been logged. From these, approximately 845,000 statements have been processed.
The new property tax is set to come into effect from 1 January 2025. This reform entails revaluing around 36 million properties across the country, relying on the cooperation of owners. For municipalities, the property tax acts as a major source of income. The specific amount each owner will have to pay in the future is heavily influenced by the hikes in municipal rates.
The configurations for the new property tax have been met with disagreement in certain regions. So far, there have been 160,000 complaints lodged in Saxony-Anhalt specifically. Almost 16,700 of these cases have been resolved, the Finance Ministry disclosed.
