TIRANA, Aug 8 /ATA/ Minister of Finance and Economy, Delina Ibrahimaj, announced on Tuesday that the “Property Tax” bill has been put out for public consultation on the portal https://konsultimipublik.gov.al/Konsultime/Detaje/648.
Ibrahimaj invites the parties of interest to give their feedback on this draft law until August 31, 2023 on the public consultation portal https://konsultimipublik.gov.al/Konsultime/Detaje/648
“We are undertaking a reform, according to the best international practices for real estate taxation, based on the market value,” said Ibrahimaj.
According to her, the new legal framework will ensure the implementation of taxation as fair, effective and transparent as possible, as well as its return to the local government units as their main sources of income.
The minister announced that the draft law has provided support through exceptions for several different categories of social groups and typologies of properties.
MFE informs that the draft law on real estate taxation aims to tax real estate, based on market value, with the aim of increasing effectiveness, efficiency and transparency in tax collection.
This draft law comes as a necessity, since land and buildings are closely related to the services provided by the respective municipalities, especially in the construction and maintenance of local roads, urban transport, municipal police, fire protection, etc.
What is property tax and how is it calculated?
It is a local and annual tax. It is calculated as the multiplication of the taxable value of the real estate by the applicable tax rate.
The property tax for the second apartment or more will be up to double that of the first apartment.
The property tax on buildings comes into effect in 2026.
The property tax for agricultural land and site comes into force in 2028.
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