Saxony-Anhalt's municipalities are concerned about property tax income: Red alarm level!

Saxony-Anhalt's municipalities are concerned about property tax income: Red alarm level!

Sachsen-Anhalt, Deutschland - The property tax reform in Saxony-Anhalt ensures that there are vertebrae, because many municipalities expect falling income. A survey by the MDR, which ran by June 30, 2025, shows that of 218 municipalities surveyed, 142 answered. Over half of these communities fear a negative development of their financial means, while a quarter even expects drastic losses. Urban experts, including Bernward Küper from the City and Town Association, confirm the uncertainty: "Many municipalities are expected to no longer achieve the previous income from property tax," he explains and adds that it could be critical for many municipalities because they are already fighting with financial deficits.

The property tax has been charged on a new calculation basis since the beginning of the year, which results in significant changes in tax amounts. The goal of the reform was to achieve a fairer distribution of the tax burden on the owners, the old values ​​sometimes come from the time before the Third Reich. However, the reform is not without its pitfalls: Preliminary figures from the official cash statistics show that the income has dropped from January to March 2025 compared to the same period in the previous year at three quarters of the municipalities. Safe statements about additional or less income can only be made in the first quarter of 2026.

problematic implementation of the reform

essential for the municipalities is the timely adjustment of their lifting rates. So far, about a third of the municipalities have not tackled them because they are waiting for complete notices from the tax offices. These lifting rates are crucial to compensate for any calculated losses. The deadline for adapting the lifting rates was set June 30th. So many cities still have some time to adjust to the new circumstances and to implement the reform in a structured manner.

The property tax those affected must also be aware that if you have any questions about evaluating your property, the so -called property tax value, you should contact the responsible tax office directly. The contact details can be viewed on the property tax measurement notices or online. In the event of justified objections to the fixed property tax, contradictions can be lodged within one month of the announcement of the decision, which is an important way for many to make their hearing.

effects on society

The new property tax not only affects the owners directly, but can also be passed on to the tenants. The total income from property tax plays a central role in the financing of municipal services such as schools, daycare centers or swimming pools. Over 15 billion euros annually end up in the cities and municipalities' cities, and a decline in these income can have serious effects on the infrastructure and quality of life of the citizens.

The Federal Ministry of Finance has made it clear to reform the property tax that the survey on property, in particular land and buildings, is now based on new standards. These changes have become necessary by a judgment of the Federal Constitutional Court in 2018, which complained about an unconstitutional assessment. In the course of this, higher lifting rates for undeveloped land will also be possible from 2025 to counter speculations.

The next steps in this topic will be crucial for the municipalities of Saxony-Anhalt. In the coming months, a comprehensive discussion about the various lifting rates and their effects can be expected. The reform could therefore bring about both opportunities and challenges that need to be mastered.

For more information about the property tax reform and its effects on you, visit the page of the Ministry for Finance Saxony-Anhalt or the FAQ page of the Federal Ministry of Finance .

Now it remains to be seen how the situation will develop and whether the municipalities are able to master their financial challenges. In the meantime, the citizens and owners are faced with the uncertain effects of this fundamental reform.