Property tax B: reduction to 153% from 2025 – what that means for you!
Ladenburg will reduce the assessment rate for property tax B to 153% from 2025. The local council follows the proposal to reform tax calculation.
Property tax B: reduction to 153% from 2025 – what that means for you!
In a groundbreaking decision, the local council of Ladenburg decided unanimously at its October meeting: From 2025, the assessment rate for property tax B will fall dramatically from 340 to 153 percent! This is a huge step as part of the property tax reform introduced by Baden-Württemberg, which has been based on outdated standard values from 1964 for decades. The new regulation will not only change the financial burden on many property owners, but also the way property taxes will be calculated in the future. The tax will now essentially be levied based on the size and location of the properties, which could increase fairness.
New assessment rate for more transparency
A central part of this reform is the determination of the new assessment rate, which was determined by the city administration taking into account a representative number of property tax assessment notices. This must now be adjusted in order to continue to ensure “revenue neutrality” for municipal finances. But what does “revenue-neutral” mean? It doesn't mean taxpayers won't pay anything anymore; Rather, the Baden-Württemberg Ministry of Finance expects that the tax burden will be redistributed in some individual cases.
The property tax notice that citizens will receive at the beginning of 2025 is based on the new calculation method, which allows everyone to calculate the property tax themselves: property tax measurement amount multiplied by the new assessment rate of 153 percent results in the property tax due (Weinheim tax office). The local council's decision is within the framework of the Finance Ministry's updated transparency register, which provides for assessment rates between 140 and 154 percent. This shows that the city is on the right track to overcome the financial challenges of the coming years.
A new wind is blowing through Ladenburg - and property tax may no longer be so heavy on the stomach for many citizens.