Abstract
In early 2004 the finance ministers of Bavaria and Rhineland‐Palatinate put forward a new model for assessing land tax. The model envisages the abolition of the current Land Tax A (tax on agricultural and forestry enterprises); Land Tax B (developed/developable real estate) is in future to comprise a flat‐rate tax on the buildings and a more up‐to‐date and realistic taxation of the land value based on the standard land value. Nevertheless, the question still remains: Why not go one step further and replace this ‘combined tax on land and buildings’ with a simple ‘land value tax'?
Highlights
In 2000 the finance ministers of the federal administration and the Lander launched an initiative which, failed
In early 2004 the finance ministers of Bavaria and Rhineland-Palatinate put forward a new model for assessing land tax
The model envisages the abolition of the current Land Tax A; Land Tax is in future to comprise a flat-rate tax on the buildings and a more up-to-date and realistic taxation of the land value based on the standard land value
Summary
In 2000 the finance ministers of the federal administration and the Lander launched an initiative which, failed. In early 2004 the finance ministers of Bavaria and RhinelandPalatinate reached agreement on a new land tax model which the finance ministers of the other Lander agreed "served as a very good basis to work with". In this model, taxes levied on undeveloped and developed real estate property are no longer to be based on the assessed values of proper-. In the case of undeveloped building plots the land tax assessment is to be directly based on these standard land values. This land tax model, which aims to retain the unity of land and any buildings constructed on it, in principle constitutes a 'combined tax on land and buildings', albeit in simplified form, and naturally invites critical analysis
Sign-in/Register to view highlights & summary Sign-in/Register to access full text options 
Talk to us
Join us for a 30 min session where you can share your feedback and ask us any queries you have
Schedule a callMore From: International Journal of Strategic Property Management
Disclaimer: All third-party content on this website/platform is and will remain the property of their respective owners and is provided on "as is" basis without any warranties, express or implied. Use of third-party content does not indicate any affiliation, sponsorship with or endorsement by them. Any references to third-party content is to identify the corresponding services and shall be considered fair use under The CopyrightLaw.
