From January 1st, 2025, commercial property tax in Kosovo increases 200 %

On January 1st 2025, by law the value of the tax obligation for property of up to a hundred thousand could range from 0.10% to 1%, from 0.20% to 1%, for property value of over a hundred thousand euros.

The value of property over five hundred thousand applies to tax rates that may range from 0.30% to 1%.

0.40 to 1% to 1m, while for the value of property over fivem euros, tax rates could range from 0.5% to 1%.

Property assessment has made it the finance ministry, but the tax rate will be decided by municipal municipalities.

Even if the tax rate gets lower, there will still be huge tax increases.

In such an estimate according to the Kosovo Communist Association, for example, if the property value is 7m euros, out of 11,900 euros the same will pay 26.100 euros.

This increase brings other problems which the AKK chairman points to.

If these bills go to Kosovo businesses then it's going to be a chain of damage, because if we have a commercial property that has, a small, medium-sized number of stores, they're going to be forced to freeze the dogs, the moment they raise the dogs, there's another consequence where food things can be raised, clothes or the number of workers”, said Saman Ibrahimi, head of the Kosovo Commission Association.

The opposition also came from the Kosovo Alliance of Business.

In Kosovo commercial and private property taxes from 2025 will be the highest in the Western Balkans, the new property tax law adopted last year will have an effect on higher property tax and Commercial Property from next year. The GDP opposes this law because there will be raising tax bills to commercial property 200-300%, this is a high burden for businesses and investors to the most negative impact on Kosovo economic development.. - The Kosovo Business Alliance.

However, commission member for Board and Finance Ferat Shala says the law is already in force, and cannot be undone.

And the law is now in effect, and now this issue cannot be solved differently only legally, and in this legislature it's completely impossible for us to turn it into a point that really needs to be returned”, Ferat Shala, commission member for budgets and Finance, said.

The law goes into effect on January 1st, 2025. / RTVDukagini