Romania stands out in the European fiscal landscape through a significantly lower level of property taxation compared with the European Union average, according to Cushman & Wakefield Echinox.
Tax rates applied to buildings, including residential properties and land, are among the lowest in the EU, with a standard rate of approximately 0.1% – 0.3% for residential buildings, while for commercial properties the rate varies between 0.5% and 1.5%.
Reduced taxation is also reflected in the macroeconomic indicators, with only 0.5% of Romania’s GDP being generated by real estate asset taxation, compared with the EU average of 1.9%. In Poland, the share of property taxes in GDP is 1.4%, while in Hungary it stands at 0.8%.
Romania’s share of GDP from property taxes decreased from 0.9% to 0.5% over the last decade, as the GDP growth rate has been significantly higher than the corresponding one from property taxes. Additionally, the taxable values have remained relatively constant since 2016.
Curierulnational.ro
Observatornews.ro
