ECONOMIC EFFECTS REAL ESTATE TAX

Abstract

The real estate tax is usually a fiscal instrument
which performs the property tax.
When it comes to real property or immovable
this term include: apartments, houses, land,
cottages, excess housing landscape and more.
The real estate tax as a form of the fiscal charges
ownership or use of certain forms of real
estate, and the revenue from this tax is levied
on the area where the property is located regardless
of the place of residence of its owner.
The tax base for the calculation of this tax
usually consists of the market, estimated or
annuity value of certain real estate. This form
of taxation in the Republic of Serbian applies
from 1.1.2012. , and its introduction has been
replaced by former property taxes. The differences
between the two concepts mentioned
taxes are numerous and significant. Among
the more important are: subject to taxation
under the new concept of the real estate rather
than law, a taxpayer is any property owner
rather than the holder of rights to immovable
property tax base is the market value of
real estate which is replaced by the payment
of taxes per square meter of usable area, the
rate of property tax is determined local government,
which can not be lower than 0.05%
of the estimated value of the real estate nor
higher than 0.5% of the appraised value of
real estate. The last change, ie. The new law
on Property Tax from 5.11.2015. was determined
by the tax rate to 20%. The fact that local
governments each of them determines the tax
rate on real estate which range from high to
low rates of multiple, makes this tax is progressive.
Progression is particularly expressed zakonin
the distinction applied tax rates of developed
and undeveloped municipalities, where
we have a case that less developed tolerate
a higher tax burden, which leads to negative
economic effects. However, real estate tax has
its own economic and social characteristics
which must be aligned with the objectives of
tax policy. This means that the real estate tax
should be considered from the standpoint of
the entire tax system and not from the standpoint
of individual income tax forms.