Croats will pay higher taxes for holiday homes

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In the new tax package, the Government has satisfied the cities and municipalities that have been demanding an increase in the tax ceiling for holiday homes for a long time. The new range will be from 0,60 to 5 euros per square meter of usable area, and now it was from 0,66 to 1,99 euros. It can be expected that most local units will raise the tax to the maximum amount, which will be a strong blow to the pocket of the owners of holiday homes and apartments, analyzes H1 Info. According to the Local Taxes Act, any building, part of a building or apartment used occasionally or seasonally is considered a holiday home. So, the main criterion for determining the status of a holiday home is the fact that the property is used occasionally or seasonally or has another purpose. Accordingly, a property that is used all year round is not considered a holiday home, regardless of whether the owner uses it for his own residence or is permanently rented, as well as a property suitable for housing that is not used at all, writes Tportal. At the beginning of the 90s, the tax range for holiday homes and apartments was established from five to 15 kuna, that is, from 0,66 to 1,99 euros, and it has not changed until now. That came to an end as part of the current tax reform. The government abolished the excess tax on the local self-government units, and in order to avoid large financial losses, it allowed them to determine the amount of the income tax themselves. In addition, it allowed them to increase the income from taxes on holiday homes and apartments by increasing the upper limit of taxation to five euros. Under the current tax range of €0,66 to €1,99 for a 50 square meter holiday home or apartment, which most people have, the owner paid a minimum of €33 and a maximum of €100, depending on how generous the city or municipal fathers are were. Next year, the more fortunate will pay 30 euros, and where the tax is five euros, which can be expected in most local units, the owner will have to pay 250 euros a year. For a summer house or apartment of 30 square meters, the maximum tax is 60 euros per year, and next year it will be 150 or even 110 euros more. For a holiday home or apartment of 70 square meters, the maximum tax is now 140 euros per year, and next year it will be 350 or even 210 euros more.

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