Stuttgart Advocates for Cent Adoption
In the heart of Baden-Württemberg, the city of Stuttgart is facing a debate over the proportionality of its property tax. The issue has been brought to light by the Taxpayers' Association, who argue that in some cases, the administrative costs associated with the property tax exceed the yield.
Daniel Bilaniuk, spokesman for the Taxpayers' Association, believes that such a situation is a waste of public money. He advocates for municipalities, including Stuttgart, to exercise their discretion and waive small property tax amounts that are disproportionate to the effort required.
The city of Stuttgart, however, has not yet made a specific public decision regarding the deduction of small amounts of income tax on real estate. General taxation of rental income and depreciation rules apply, but no targeted municipal decision date has been reported.
Interestingly, approximately 1900 property tax notices were sent out where the tax amounts to less than ten euros per year. If Stuttgart were to waive these, it would lose a maximum of 19,000 euros per year.
The city administration does not have an exact cost of issuing a property tax notice, as no calculation of the costs exists. This lack of clarity has added to the debate, with the Taxpayers' Association urging for transparency and a reconsideration of the current practices.
A meeting of experts in Stuttgart did not result in a final decision, but the conversation is far from over. The Ministry of Finance has made clear that there will be no state regulation, as intervention in municipal self-government could lead to compensation claims from municipalities.
As the debate continues, it is clear that the issue of proportionality in property tax is a complex one, with both financial and administrative considerations at play. The Taxpayers' Association's call for action is a reminder that the efficient use of public resources is a matter of ongoing concern for citizens and taxpayers alike.
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