The property tax is a municipal tax that is levied on the property located in the municipality.
If you are the owner or, in the new federal states, the user of an agricultural or forestry property, you have to pay property tax - the so-called property tax A. You will receive a property tax assessment notice from the municipality.
The land tax is assessed in a three-stage procedure. The basis of the land tax assessment notice in the old federal states is the standard value determined by the tax office in accordance with the Valuation Act based on the 1964 value ratios and in the new federal states the substitute economic value determined in accordance with the Valuation Act based on the 1964 value ratios. These values in turn form the basis for the land tax assessment amount.
The tax assessment amount multiplied by the assessment rate forms the tax to be paid. The assessment rate is set by the municipality by statute. The assessment rate for agricultural and forestry assets can be different from that for real estate.
Under certain conditions, you can apply to the municipality for a partial waiver of the tax if the normal gross income is reduced by more than fifty percent and other conditions are met.
Changes in the legal or factual circumstances of the property only have an effect on the property tax in the following year. If, for example, you sell your property, the new owner will only be liable for property tax from the following year.