REAL ESTATE TAX (PART II)
Real estate tax is really talked about a lot these days, the most talked about is the tax on empty properties, as well as the regulation of tourist rental and daily rent, as well as the taxation of daily rent. All this of course in order to make housing affordable for young families and single people. I have already written about this topic in one of my previous blogs. But there is much less talk about abolishing the real estate tax on young people who buy their first real estate.
CANCELLATION/REFUND OF REAL ESTATE SALES TAX FOR THE FIRST REAL ESTATE
Since the real estate agency Euro-interiors has been operating since 1998, in its “duration” we encountered a real estate tax of 5%, so then there was a period when this tax was abolished for buyers who buy their first property, in the last few years the tax was paid by everyone and in the amount of 3%. The state then boasted that it had gone out to meet real estate buyers and reduced the real estate tax by 2%, but what they did not comment at the time was that the state revenues did not suffer at all, because most buyers nevertheless bought the first property, and they too were forced to pay real estate tax of 3%.
These days, our Minister of Construction Branko Bacic noted that the new law on real estate tax would again cover buyers who buy their first property. He stated that the exemption from the payment of real estate tax will again be available to buyers who buy the first real estate that will serve them for housing, and that buyers who buy real estate under the VAT system (new construction) will be able to claim a refund of 12.5% VAT from the state. When we know that new apartments are taxed at 25% VAT (which is 1/4 square meter of the apartment), the amount of deduction-refund is really large. He stated that there will also be some restrictions, and that the possibility of a refund will depend on the amount of the purchase price, but the size of the apartment being purchased.
We at the real estate agency Euro-interiors certainly welcome this decision, because in our country also most buyers buy their first property, and any reduction or return will certainly come in handy.
published on 13.09.2024 year