How is the property tax justified

Property tax
This is how it is determined

How is the amount of property tax determined?

The determination procedure is divided into three stages:

  1. Determine the unit value The responsible tax office determines the unit value on the basis of the Valuation Act and, as a rule, using the discounted earnings method. A notification will be issued about the set standard value.
  2. Determining the property tax base On the basis of the unit value, the tax office then determines the property tax base by multiplying the unit value and the tax base number. The tax index depends on the tax object.
  3. The municipality calculates the property tax The municipality or city calculates the amount of the property tax to be paid. Therefor it multiplies the base tax base amount by the base tax rate, which applies in the respective municipality or city.

For agricultural and forestry operations, the tax index is 6 per thousand, i.e. six thousandths. For single-family houses (depending on how high the standard value is) multiplied by either 2.6 or 3.5 per thousand as the tax index. And for two-family houses, 3.1 per thousand are used as the tax index. For all other properties, the tax index is 3.5 per thousand.

The tax office issues a decision on the determined property tax base, on the basis of which the property tax is calculated. A duplicate of the property tax assessment notice is given to the municipality or city.