More than 300,000 appeals against property tax assessments

Dresden (dpa/sn) - Saxony's tax offices have so far received 327,163 appeals against the new property tax assessments. In 18,092 cases, appeals were granted in full or in part, in 3,015 cases they were rejected in full or in part, as the Ministry of Finance announced in its response to a minor question from the AfD parliamentary group in the state parliament. "If the objection is upheld, a new decision is issued with a correspondingly adjusted calculation. The decision will explain that the objection is thereby settled," the ministry stated.

"The high number of appeals shows: The property tax reform is a bureaucratic monster with many injustices," explained AfD MP Norbert Mayer. For example, value-reducing features such as unbuildable parts of the property or noise pollution are not taken into account. "We consider the standard land value to be unsuitable as a basis for valuation." The AfD parliamentary group has therefore called for property owners to be able to submit their own valuation report.

Property tax revenue in Saxony at around 530 million euros

According to Mayer, it is already foreseeable that the new property tax will not be "revenue-neutral". "Instead, it will drive up housing costs for many people, including tenants. But housing needs to become more affordable instead of more expensive."

With an annual revenue of around 15 billion euros in Germany, property tax is one of the most important sources of income for local authorities. It is levied on real estate and is paid exclusively by the owners. In the case of rentals, it can be passed on to tenants via the operating costs. In Saxony, the most recent revenue amounted to around 530 million euros.

The property tax was reformed following a ruling by the Federal Constitutional Court. This means that around two million properties in the Free State have to be reassessed. City and municipal councils decide on the level of the so-called assessment rates. They are a factor used to determine the amount of property tax.