LEGAL ANALYSIS OF THE USE OF THE BUILDING AND THE TAX OBLIGATION UNDER THE REAL ESTATE TAX

Abstract

In practice, doubts may arise both about the issue of the tax obligation under real estate tax, as well as its expiry, especially in the situation of demolition of buildings (or sale of real estate after construction). Taxpayers point out that an object deprived of one of the constitutive elements, such as walls or roof, is not a building and should not be taxed regardless of the duration of its demolition. The majority of administrative courts take the side of taxpayers, stating, among other things, that demolition works in a building are most often stretched in time, therefore the tax obligation may be extinguished before the end of demolition due to the demolition of the building's constitutive features under the Act . Thus, the expiry of the tax obligation may be related to depriving the building of one of the external building partitions (a load-bearing wall) or the roof. It is important, therefore, that the taxpayers carrying out the demolition (in the event of a dispute with the tax authorities) can document the demolition of the roof or wall of the building, entries in the construction log, as well as evidence in the form of photographic documentation.