Property tax reform 2025: constitutionality of the valuation rules in question?

Property tax reform 2025: constitutionality of the valuation rules in question?

According to a report by www.rhein-zeitung.de, the constitutionality of the new property tax calculation is questionable. Both constitutional lawyer Gregor Kirchhof and the Rhineland-Palatinate Finance Court express fundamental doubts about the valuation rules for the new property tax. These doubts concern the federal model, which comes from Olaf Scholz.

These developments can have a significant impact on the real estate market. If the constitutionality of the property tax calculation is questioned, this could lead to uncertainty among property owners. This could reduce the attractiveness of real estate as an investment property, particularly for potential buyers and investors. Property prices could also be influenced by the uncertainty, as potential buyers may be hesitant to enter the market given the unclear legal situation.

In addition, the decision of the Rhineland-Palatinate Finance Court could have an impact on the political discussion about property tax. If the federal model is found to be unconstitutional, this could lead to a debate about alternative models or reforms, which in turn could impact property owners and the market in general. It is therefore important to closely monitor developments in property tax calculations and keep an eye on their potential impact.