Real estate tax: another state-wide mistake?

If we talk about the state-imposed property tax, it can quite successfully be seen as a kind of delayed success.

The State Tax Service has repeatedly drawn attention to the fact that starting from mid-April, all owners of real estate objects will receive appropriate notifications regarding the amount of tax collection, which will need to be fully paid off over the next two months. And now, on April 19, new information was received regarding the abolition of a new real estate tax.

It should be noted that there is no talk of abolition as such now, we can confidently declare a tax deferral for a period of one year. As a result, we have a rather paradoxical situation. First of all, it can be stated that our country still requires a property tax, due to the fact that the domestic budget is actually bursting at all its seams. The IMF is also in no hurry to provide new loans. It’s all about promises. Ukraine is required to fulfill its debt obligations. Secondly, this practice of tax exemption is quite successfully practiced in a number of European countries. So a paradoxical situation has developed – domestic legislators have not been able to introduce a new property tax in a practical plane. After all, it is quite difficult in our country to maintain a certain line and balance between the filling of the budget and the safety of our own interests.

For the successful implementation of the new real estate tax, several key issues need to be resolved: to decide on the formation of a tax rate that would take into account not the estimated value of the property, but its total area.