Real Estate Tax for Legal Entities
Real estate tax (FAP) for Legal entities
The state real estate tax (FAP) was introduced with effect from 1 January 2010. The tax is imposed annually on the value of immovable property including land and buildings. The rate is 0.6% (0.3% for non-profit organizations) or 0.1% for buildings used for production or carrying out business activities (including immovable property included in the assets of real estate portfolio companies and real estate mutual funds). For 2010, the 0.1% rate is adjusted to 0.033% for hotel businesses.
A return must be filed by 15 May. The tax is payable in three bimonthly instalments, the first of which is due on the day of the filing of the return. For buildings, with the exception of semi-finished buildings, the tax is subject to a minimum amount calculated at EUR 1 per m2.
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