Post by account_disabled on Jan 24, 2024 7:54:56 GMT 1
The draft law "On real estate tax" issued for consultation by the government provides for differentiated taxation for those who own only one residence and those who have more than one. Dev Inf real Estate Company brings you all the details of this new tax, which is expected to come into effect on January 1, 2026. In a separate article, it is provided that discounts are applied for the first apartment, which means that it is the apartment where the resident lives This discount is provided up to 50% of the value of the apartment but not more than the maximum discount threshold. This threshold for Tirana is no more than 4.5 million ALL, for a second category of municipalities no more than 3 million ALL, for the third category of municipalities that are even smaller 1.5 million ALL. The threshold for category four is 750,000 ALL. "The discount for the first residence applies to the individual's first residence.
The discount is equal to 50% (fifty percent) of the estimated value of Job Function Email Database the first apartment, but in any case, not more than the maximum discount threshold defined in appendix 1 of this law or the maximum threshold established by the Municipal Council in accordance with point 4 of this article. The co-owner or co-owner of a building unit that serves as a first residence is entitled to a deduction for the first residence, in proportion to his assigned share. The individual who owns or possesses 2 (two) or more residential units, has the right to the deduction for the first apartment, for only one of these building units, regardless of the fact that the building units may be located in Various municipalities The Municipal Council can increase up to 20% (twenty percent), through a reasoned decision, the maximum threshold of the deduction specified in appendix 1 of this law. The decision is approved no later than November 30 of the year before the tax year and is sent to the General Directorate of Wealth Tax within 10 (ten) calendar days from the day of its approval.
The rules and procedures necessary for the implementation of this article are defined in the regulation approved by the Council of Ministers, pursuant to Article 15 of this law," the draft law says. Basically, the percentage of taxation for housing for residential purposes, as in the current formula in force and in the draft, is at the level of 0.05 percent of the value of the taxable base. The change brought by the draft law in fact and which foresees the collection of more income in the coffers of the locals is related to several elements. Firstly updating the real market value which for some assets is lower or unavailable. Secondly, the expansion of the taxable base of assets, which means that more categories of assets are included to be taxed, thirdly, establishing a fair ratio of properties that are located in completely different regions but with the same characteristics and pay the same obligation and fourth, more regular tax collection by eliminating evasions. The start of the implementation for the buildings is foreseen in 2026 , while for the land in 2028.
The discount is equal to 50% (fifty percent) of the estimated value of Job Function Email Database the first apartment, but in any case, not more than the maximum discount threshold defined in appendix 1 of this law or the maximum threshold established by the Municipal Council in accordance with point 4 of this article. The co-owner or co-owner of a building unit that serves as a first residence is entitled to a deduction for the first residence, in proportion to his assigned share. The individual who owns or possesses 2 (two) or more residential units, has the right to the deduction for the first apartment, for only one of these building units, regardless of the fact that the building units may be located in Various municipalities The Municipal Council can increase up to 20% (twenty percent), through a reasoned decision, the maximum threshold of the deduction specified in appendix 1 of this law. The decision is approved no later than November 30 of the year before the tax year and is sent to the General Directorate of Wealth Tax within 10 (ten) calendar days from the day of its approval.
The rules and procedures necessary for the implementation of this article are defined in the regulation approved by the Council of Ministers, pursuant to Article 15 of this law," the draft law says. Basically, the percentage of taxation for housing for residential purposes, as in the current formula in force and in the draft, is at the level of 0.05 percent of the value of the taxable base. The change brought by the draft law in fact and which foresees the collection of more income in the coffers of the locals is related to several elements. Firstly updating the real market value which for some assets is lower or unavailable. Secondly, the expansion of the taxable base of assets, which means that more categories of assets are included to be taxed, thirdly, establishing a fair ratio of properties that are located in completely different regions but with the same characteristics and pay the same obligation and fourth, more regular tax collection by eliminating evasions. The start of the implementation for the buildings is foreseen in 2026 , while for the land in 2028.