|
Tax object |
Rate |
|
|---|---|---|
|
Land, engineering structures, buildings (non-residential buildings, used for the performance of economic activity, residential buildings owned by merchants, if they are not rented for living)
|
1,5% |
|
|
Residential buildings, groups of premises the type of use of which is related to living (if they are not used for the performance of economic activity)
|
of the cadastral value not exceeding 56 915 euro, |
0,2% |
|
of the cadastral value exceeding 56 915 euro, but not exceeding 106 715 euro, |
0,4% |
|
|
of the cadastral value exceeding 106 715 euro. |
0,6% |
|
|
Structures degrading, destroyed or endangering human safety, structures the construction of which exceeds the total duration of performance of construction work laid down in laws and regulations (if it has been specified by the local government in binding regulations), from the highest cadastral value referred to: 1) the cadastral values of the land under the jurisdiction of the structure; 2) the cadastral values of the structure. |
3% |
|
|
Additional rate for non-cultivated agricultural land* |
1,5% |
|
|
Minimum tax** |
7 euro |
|
*Together with the increased rate applied by the local government in the amount of 3% may constitute the total applicable rate of 4.5%
**introduced to ensure covering of administrative expenses for tax administrations (local governments)
Local governments have been delegated the right to determine the tax rate from 0.2% to 3.0% of the cadastral value of the immovable property by binding regulations.
The tax rate specified by local governments may exceed the limit of 1.5% only if the immovable property is not managed in accordance with the procedures laid down in laws and regulations.
The principles according to which local governments draw up binding regulations for the determination of tax rates are as follows:
- four mandatory principles to be observed by all local governments when drawing up binding regulations regarding the determination of tax rates (principle of objective grouping, principle of efficiency, principle of responsible budget planning, principle of predictability and stability);
- two optional principles (principle of business support, principle of spatial development and arrangement of the territory).
In order to limit the opportunities of the subjects of sanctions to use the benefits obtained from real estate and continue to threaten society's right to peace, security and justice, as well as to partially compensate the unplanned expenses incurred by society in order to prevent the threat to security and justice caused by the full-scale military invasion of the Russian Federation in Ukraine, the special conditions for the application of real estate tax. The real estate tax rate of 10 percent of the cadastral value of real estate are applied to real estate in respect of which a pledge notation is recorded in the Land Register in accordance with Article 13 the fifth part of the Law on International Sanctions and National Sanctions of the Republic of Latvia (Section 3.2 of the Law "On Immovable Property Tax").