In 2024, the maximum property tax rates will increase. The increase is significant – by 15 percent. Although the final amount of the levy is decided by local governments, many municipalities decide to apply the highest possible rates.
The maximum real estate tax rates are announced every year in the announcement of the Minister of Finance, but the final amount of the levy is decided by local governments. Municipal and city councils are currently adopting resolutions on this matter, and subsequent councils are deciding to apply the maximum possible rates.
The upper limits of real estate tax rates for land and buildings are subject to annual indexation based on data published by the President of the Central Statistical Office. In July, a communique from the President of the Central Statistical Office was published, in which it was reported that the price index of consumer goods and services in the first half of 2023 compared to the first half of 2022 amounted to 115.0. This means a price increase of 15%. Every year. This is how much the maximum local tax rates will increase. Specific amounts were published in Monitor Polski at the beginning of August.
Property tax 2024 – maximum rates
Real estate tax is paid by owners of, for example, land, apartments, buildings or their related parts running a business. The obligation to pay the levy must be fulfilled by perpetual usufructuaries, sole owners, and in some cases also dependent owners of real estate or parts thereof owned by the State Treasury or a local government unit.
Maximum real estate tax rates for 2024 for:
- land related to running a business – PLN 1.34 per 1 m2 of area (in 2023 it was PLN 1.16),
- buildings or their parts related to running a business – PLN 33.10 per 1 m2 of usable area (in 2023 it was PLN 28.78).
In the case of an apartment the current maximum real estate tax rate is PLN 1 per m2. Next year will increase to PLN 1.15.
Judgment of the Constitutional Tribunal
For now, we still have to wait for the effect of the Constitutional Tribunal’s judgment from a few days ago, thanks to which some apartment owners will pay lower real estate tax than before. – This is a revolution – said Piotr Juszczyk, chief tax advisor at inFakt, in an interview with TVN24 Biznes.
The Constitutional Tribunal ruled on Wednesdaythat taxing a garage space with a land and mortgage register in multi-family buildings at a higher rate than a garage space without separate ownership is unconstitutional. The Tribunal argued that having a parking space in a multi-car garage is an inherent element of the apartment.
The effects of this decision will be felt in several months. – Taxpayers will be able to benefit from the judgment of the Constitutional Tribunal from January 1, 2025, because the Tribunal postponed the loss of force of the applicable provisions until the end of 2024 – explained the chief tax advisor in inFakta.
Property tax. By when do we have to pay it?
We pay real estate tax in two ways. The first one is once – if its value does not exceed PLN 100, on the first date by March 15. If we receive information from the commune authorities calculating the tax rate after this date, we have a 14-day deadline to make the payment.
If the property tax is higher than PLN 100, we can pay it in 4 dates and 4 installments: – until March 15, – until May 15, – until September 15, – until November 15.
We can pay real estate tax in three ways: by transfer to the commune’s account, at the commune’s cash register or, if the commune appoints a collector, to him.
The tax amount depends on the area of land and buildings or their parts and the tax rate applicable in the commune.
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