Property tax 2023: The 5 golden rules
After the tax return is before the appeal? After the appeal is before the lawsuit? The answer is a clear YES!
The new property tax affects all property owners in Germany. 33 million citizens will have to submit the new property tax return. But that’s not all. The tax return triggers a process at the tax office that poses new challenges for many property owners. What to do with the mail from the tax office? Here are 5 golden rules to help:
Golden rule number 1: The tax return
The fact is that property tax returns are mandatory. Anyone who fails to submit it risks an estimate from the tax office and a penalty. The tax office will then estimate the tax bases and impose a late payment surcharge. Property owners are therefore advised to submit their tax return. And, if they have missed the deadline: To apply to the tax office for an extension of the deadline. The application must be well-founded, preferably using the PepperPapers legal document below ⬇️
Golden rule number 2: The tax assessment notice
After the tax return, the tax assessment notice is issued by the tax office. The tax office uses this to set the property tax value and property tax assessment amount. The tax assessment notice applies retroactively from January 1, 2022.
Golden rule number 3: The model objection
Owners can lodge an appeal against this tax assessment. They have one month to do so. The effect of the appeal is that the proceedings at the tax office remain open. The tax assessment does not become final. Affected property owners are advised to lodge an appeal against the tax office’s property tax assessment. The appeal should clearly show the legal deficits of the new property tax. The best way to do this is to use the PepperPapers sample objection form below ⬇️
Golden rule number 4: The model lawsuit
If the tax office rejects the sample objection, it will send a so-called objection decision. Owners can appeal against this in court. They have one month to do so. The property tax will then not become final and the proceedings remain open. Affected owners are advised to submit the model action to the court. The best way to do this is to use the PepperPapers model claim here below ⬇️ The model claim contains everything that owners need in court proceedings. This allows you to go through the proceedings without a lawyer or tax advisor.
Golden rule number 5: Deadline expired?
What to do if the deadline for the objection has already expired? One month has passed and the tax assessment notice is legally binding? Even then, owners can take action against the property tax. The prerequisite for this is a special application in accordance with the Valuation Act, which regulates the new property tax. The best way to do this is to use the PepperPapers sample application below.
⬇️ Get your legal document here ⬇️
