The aim of the reform was to replace the standard values, which had been outdated for decades, with current, realistic property tax values, as the Federal Constitutional Court had declared the old regulation unconstitutional.
As municipalities adjust their levy rates as part of the reform in order to remain revenue-neutral overall, the individual tax burden shifts: some owners will pay more in the future, others less than before.
Owners in sought-after locations with sharply increased standard land values are particularly likely to face additional burdens, while properties in structurally weaker locations tend to be relieved.
Municipalities are required to adjust their levy rates transparently and, as far as possible, in a revenue-neutral manner as part of the reform; corresponding levy rate calculators provided by the federal states offer owners an initial point of orientation.
Since the actual tax burden ultimately depends on the interplay of the property tax value, the tax assessment rate, and the municipal levy rate, the individual impact of the reform can only be reliably assessed once the final notice is issued.
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