Rising property taxes? Rosbach's repayment shocks citizens!

The city of Rosbach is facing an enormous financial burden because it has been obliged to repay over 1.5 million euros in trade taxes for the years 1998 to 2003. This sum could rise to an estimated 3 million euros with interest FNP reported. The tax court ruled that a large company, presumably the city's largest taxpayer, had been arguing with the tax authority for years over this repayment.

This repayment obligation has a direct impact on the city's budget. Mayor Steffen Maar (independent) stated that he sees no need for an early increase in property tax B. The budget for 2025 was approved with the votes of the CDU, Greens and Free Voters and remains at 429 percent property tax B. The SPD, “stimme” and FDP rejected the budget and demanded immediate consideration of the repayment in the budget.

Potential property tax increases and austerity measures

In the worst case, the property tax could have to be increased by 540 percentage points. In order to finance the repayment, a so-called “piggy bank method” was decided, in which municipal utilities would repay a loan and transfer profits to the core budget. The magistrate should also clarify whether it is possible to extend the tax refund with the company.

To ease the burden on the budget, the sale of real estate, including the Old Town Hall, is also being discussed. The SPD requested that the renovation of the Old Town Hall be removed from the investment program and that the sale be prioritized, but did not receive a majority. The administration plans to concentrate on the sale of the Old Town Hall and postpone the search for a tenant for the time being.

Further information on property taxes and current judgments can be found at grundsteuer-digital.de.