TIRANA, July 3
Property taxes are a considerable source of revenue for local power, but the latter confirm that expectations for January – March 2019 were not met. According to the report on local finances Jan-March, all the 61 municipalities across the country collected a total of Lek 784.3 million from property taxes for the first quarter (Q1) of 2019. This was 2.4 percent less compared to the same period of the previous year.
The cause of this slight decline seems to be related to the tax on agricultural land and the tax on the transfer of immovable property rights.
Based on the report the decline in property tax revenues despite the growing supply in the property market can be a sign that the property market will slow.
At a municipality level, about 40.1 percent of revenues from property tax is collected in Tirana, while Durres ranks second with eight percent.
Read also: Residential Property Prices Rose 15% in Five Years, BoA Says
Source: Scan TV