Some of these changes are aimed at adapting the tax system to the new cadastral valuations determined during the appraisal and revaluation of real estate properties, while others are aimed at simplifying tax administration.
One of the most significant changes is the revision of the range of property tax rates. The Ministry of Finance proposes to establish a specific range of rates in the Tax Code.
Starting January 1, 2027, the tax rate for real estate properties assessed at their cadastral value may range from a minimum of 0.05% to a maximum of 1%, depending on the decision of local authorities.
This change is related to a general revaluation of real estate, as a result of which the cadastral value has come significantly closer to market value. According to experts, it has increased approximately threefold.
Specific rates, as is currently the case, will be approved annually by local councils and must fall within the aforementioned range established by law.
Currently, the minimum rate for residential real estate, garages, and garden plots is 0.05%, while there is no maximum limit. For agricultural land with structures, the minimum rate is 0.1%, and for non-residential and non-agricultural real estate, the rate is fixed at 0.3%.
