Real estate agents believe that, at a time when access to housing is already becoming increasingly difficult, these changes could place additional pressure on citizens and further stifle the real estate market.
Among the most contentious proposals are:
— the elimination of the 50% capital gains tax exemption;
— the introduction of a 15% tax on the difference between the sale price and the purchase price;
— limiting the tax exemption for primary residences (currently, no income tax is levied on the sale of such housing—Ed.);
— abolition of the VAT exemption for the rental of housing (currently, a 7% turnover tax is paid — Ed.);
— the risk of rising housing prices and blocked transactions.
“We cannot accept that, in an already strained real estate market, measures are being promoted that could raise housing prices, block transactions, and directly harm citizens wishing to sell, buy, or rent housing,” professional market participants state.
Any tax reform must take into account the actual state of the market and the consequences for people, not just budgetary calculations.
“We urge the authorities to hold meaningful consultations with representatives of the real estate market before adopting these changes. We need measures that support people, stimulate transactions, and promote the development of the real estate market, not decisions that could exacerbate the existing deadlock,” urge members of the Union of Real Estate Agencies.
The draft of the proposed legislative amendments can be viewed HERE.
