- Professional News
- 03 July 2013
Berlin real estate tax increases
On 1 January 2014, the real estate tax rate in Berlin increases from five to six per cent.
From 1 January 2014, real estate investors in Germany’s federal state Berlin must dig a little deeper into their pockets. The liable real estate tax – which usually falls on the buyer – will increase from five to six per cent. That was decided by the Senate of Berlin last week.
The most recent increase of the so-called “Grunderwerbsteuer” took place in April 2012 resulting in a tax increase from 4.5 per cent to 5 per cent.
The tax raise is heavily criticized by the German Property Federation ZIA (Zentraler Immobilien Ausschuss) and the German Real Estate Association IVD (Immobilienverband Deutschland). Berlin anticipates an annual tax revenue increase of 100 million euro following the tax hike.
Visit Berlin’s official website for more information.