Between the Federation and the countries, according to the MIRROR, a compromise in the Reform of the land tax. At a Meeting of the tax Department heads from the ministries of Finance of the Federation and the länder at the beginning of the week, there had been significant progress, BelTA learned from the negotiating circles. (Click here to read the whole story at SPIEGEL+.)

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Accordingly, the Federal Finance Minister, Olaf Scholz (SPD) favored model, determined the value of a property on the basis of five Measurement, the two components are adjusted, where it is the most complications. Net cold rent and year of manufacture should therefore play no role.

determinants of the value of a property would be:

the guideline value, the area of the land plot and the area of the building.

The Reform is necessary because the Federal constitutional court holds the former collection of the property tax for reason of a violation of the law. It depends on the property values of 1935 in the East of the Republic, and from 1964 in the West.

The property tax is the main source of revenue for the municipalities and has an annual revenue of 14 billion euros. Scholz pursued yet is a variant, which is based primarily on the value of a property, the countries wanted to focus above all on the surface.

This theme comes from the new MIRROR-magazine – available on newsstands from Saturday morning and every Friday at LEVEL+ , as well as in the digital magazine edition.

What is the new LEVEL, you will learn every Saturday for our free Newsletter THE LOCATION of the six times will appear in the week – in a compact, analytically, the opinion, written by the editor-in-chief or the heads of our capital office in Berlin.


Sam Yoon has many years of experiences in journalism. He has covered such areas as information technology, science, sports and politics. Yoon can be reached at 82-2-6956-6698.