The municipalities demand not to change property tax bills

Kosovo Communist Association Chairman Saban Ibrahimi, giving the community's view of the Kosovo Government decision, says the bills should not change at all. Until the debt's apology is discussed, he says that this decision should be consulted by municipalities.

The mayors of the municipalities have demanded that everything in terms of property taxes be converted to zero point, so that we do not have a raise of property tax bills because of the economic situation. The social economic situation is seen as not changing for the better, and for this reason we like Association insist that property tax bills not be changed, their value is the same as 2022... And in terms of paying property taxes with new bills that were sent this year based on information we have from municipal finance directors, citizens have not expressed maximum willingness to pay taxes on property, because they are waiting for what will happen in the days or months following”, Ibrahim says.

According to him, property tax bills in 2025 will even be higher.

We have analyzed this document as an association and, based on the consultations we've had, internal to financial directors, it turns out that property tax will not be reduced, value or receipts will not be reduced by this year. This draft document, which was adopted in the government, aims to start applying in 2025, and if we compare the bills that were sent in 2023 and what the government intends in 2025 on the basis of our analysis turns out that the bills will be almost similar, in some cases there is even a possible increase in the bills”, Ibrahim points out.

After the Government's initiative to deliver taxes on property, Ibrahim says the Communist Assembly decision should be taken into account.

“With current law, citizens are obliged to pay the first tranche of property tax by the end of April, unless they make the payment of the first tranche for 2023 by the end of April, with the current law providing fines and interest. For this reason it is good for citizens to be informed in time by the central level that when this change is processed, because even with this change in the municipalities are obliged to take steps to forgive 100 euros, then the Communist Assembly decision should be taken into account because the mayors cannot decide for forgiveness, and meetings from the Municipal Assembly should be invited to take these” decisions, Ibrahim says.

For the head of the municipality of Rahovec, Smajl Latifin, the increase in property tax prices is at the expense of citizens.

I'm not a follower of some ideas that would hurt him very badly if you could forgive me 100 euros. The countries and the municipalities are not forgiven on property, and the payment of taxes and others on property is mandatory because the law does not permit it. If an apology occurs, then 85 to 90 percent of citizens pay nothing because they have no reason to pay for not paying. So tell us, do we lock our municipalities that have no more, the main tax and I'm in charge of property tax? This decision is weakened or delayed for a while, or a change in completion is addressed in the Kosovo Convention on Property Taxation, or I am not for forgiveness. We are not willing to put locks on the municipality, we invite the government to reflect”, Latifi said.

In contrast, Besart Selimi from the cabinet of the mayor of the Gnjilan municipality says otherwise. According to him, citizens in this municipality are still paying their bills despite increased property taxes.

“Citizens have continued to make the same payments according to new property tax bills. We, as a municipality, expect the government of the Republic of Kosovo, that after adopting the decision in the government, it will proceed and vote by the Kosovo Assembly, so that it can then split and transfer the calculated budget as a result of the taxpayer's pardon to 100 euros. Citizens who have carried out this year's bills will be compensated, brought down on 2024” bills, says the Chairman of the municipality of Gjilan's Cabinet.

That increasing this municipal tax will cause damage in the Institute for Progress (INPO) as well.

INPO Monitor Valmir Ilazi until he says he does not support this decision, says the same will cause damage to the family economy.

According to him, the most injured among them are citizens.

“As far as property taxes are concerned, it's an exclusive content of municipalities, so municipalities collect them but it doesn't mean that even the forgiveness of property tax can hurt, primarily it can see a slight damage to municipalities, but it won't be seen a small damage to citizens... so, increasing this municipal property tax, exclusively will cause damage to the family economy. So, we do not support the idea of increasing property tax without even pre-announced citizens, since they have apparently been under a shadow of”, Ilazi said.

By the end of April, Kosovo citizens must pay the first tranche of annual property taxes, otherwise they will be fined. While the deadline for the second payment tranche is the end of September.

If the payment is not paid on time, an interest of 0.65 per month delayed payment and a 10 per cent fine of unpaid taxes will apply.