Real Property Tax in the Countries of Visegrad Group – Comparative View

Anna Vartašová, Karolína Červená

Abstract


Real property tax belongs to traditional taxes, often imposed as a local tax. The same applies to V4 countries (Slovakia, Czech Republic, Hungary, Poland), however, the budgetary significance of its revenues differs across these states and so does their approach to its regulation. In this research article, the authors deeper analyse the budgetary significance of the tax in particular V4 states in terms of selected criteria (ratio to GDP, other local taxes, tax and total revenues of local government), and then the legal regulation of the tax applied in these states in the context of its current and potential impact on acquired tax revenues. The data shows that the overall revenues of the tax in comparison with the total revenues of local government do not represent a significant value, however, from the viewpoint of municipal budgets, research on the tax potential is justified as it is the most important local tax in three of the states. We found that the budgetary significance of real property tax differs among the V4 countries with the highest importance in Poland. Based on the legislation analysis, we identified differences among V4 members, with the greatest potential for legislative improvements in the countries with lower tax revenues. The results of the research may create the basis for further research of the tax potential in V4 countries as well as for application practice (besides pro futuro legislative changes, more efficient tax collection and more objective real estate taxation).


Keywords


real property tax; tax revenue; Slovakia; Czech Republic; Hungary; Poland

Full Text:

PDF

References


LITERATURE

Babčák V., Slovenské daňové právo, Ružomberok 2012.

Bakeš M., Karfíková M., Kotáb P., Marková H., Finanční právo, Prague 2006.

Balážová E., Papcunová V., Tej J., The impact of the fiscal decentralization on the tax revenue of real estate tax on the local self-government of the Slovak Republic, [in:] 19th International Colloquium on Regional Sciences, eds. V. Klímová, V. Žítek, Brno 2016.

Bencsik A., A helyi önkormányzatok (pénzügyi) autonómiájáról, “Pro Publico Bono – Magyar Kozigazgatas” 2017, vol. 5(1).

Bird R.M., Slack E., Local Taxes and Local Expenditures in Developing Countries: Strengthening the Wicksellian Connection, “Public Administration and Development” 2014, vol. 34(5), DOI: https://doi.org/10.1002/pad.1695.

Blöchliger H., Kim J., Fiscal Federalism 2016: Making Decentralisation Work, Paris 2016, DOI: https://doi.org/10.1787/9789264254053-en.

Bryson P.J., Cornia G.C., Fiscal Decentralisation in Economic Transformation: The Czech and Slovak Cases, “Europe Asia Studies” 2000, vol. 52(3), DOI: https://doi.org/10.1080/713663064.

Brzeski J., Románová A., Franzsen R., The evolution of property taxes in post-Socialist countries in Central and Eastern Europe, “ATI Working Papers” WP/19/01, Pretoria 2019.

Bujňáková M. [et al.], Dane a ich právna úprava v Slovenskej republike v kontexte daňovej politiky EÚ, Košice 2015.

Darabos E., A helyi adók szerepe az önkormányzatok gazdálkodásában, “Köztes-Európa” 2016, vol. 8(1–2).

Dowgier R., Etel L., Liszewski G., Pahl B., Podatki i opłaty lokalne. Komentarz, Warszawa 2020.

Etel L., Systemy opodatkowania nieruchomości w państwach Grupy Wyszehradzkiej, “Analysis and Studies CASP” 2019, vol. 2(8), DOI: https://doi.org/10.33119/ASCASP.2019.2.1.

Feret E., Legal Security and Financial Security of Local Communities. Selected Issues, “Studia Iuridica Lublinensia” 2020, vol. 29(1), DOI: https://doi.org/10.17951/sil.2020.29.1.85-98.

Furman L., Preferences in Local Taxes in Poland, “Hradec Economic Days 2020” 2020, vol. 10(1), DOI: https://doi.org/10.36689/uhk/hed/2020-01-019.

Gróf K., The local tax system models and the main features of local taxes applied in Europe, “Területi Statisztika” 2016, vol. 56(3), DOI: https://doi.org/10.15196/TS560304.

Hoffman I., Only a Theoretical Possibility of the ad valorem Property Tax System – the Regulation on Immovable Property Taxes in Hungary, “Analysis and Studies CASP” 2019, vol. 8(2), DOI: https://doi.org/10.33119/ASCASP.2019.2.5.

Hulkó G., Fehér J., Hungary, [in:] Real Property Taxes and Property Markets in CEE Countries and Central Asia, eds. M. Radvan, R. Franzsen, W.J. McCluskey, F. Plimmer, Maribor 2021.

Inštitút finančnej politiky, Lepšia daň z nehnuteľnosti v hrsti, než daň z príjmu na streche, Bratislava 2018.

Katkovčin M., Sadzba dane z nehnuteľností vo svetle judikatúry ústavného súdu slovenskej republiky, [in:] Bratislava Legal Forum 2018, Bratislava 2018.

Kostrubiec J., The Role of Public Order Regulations as Acts of Local Law in the Performance of Tasks in the Field of Public Security by Local Self-government in Poland, “Lex localis – Journal of Local Self-Government” 2021, vol. 19(1), DOI: https://doi.org/10.4335/19.1.111-129(2021).

Liptáková K., Rigová Z., Financial assumptions of Slovak municipalities for their active participation in regional development, “Entrepreneurship and Sustainability Issues” 2021, vol. 8(4), DOI: http://doi.org/10.9770/jesi.2021.8.4(18).

Marková H., Finanční zdroje místních společenství a Evropská charta místní samosprávy v podmínkach ČR, [in:] Financování územní samosprávy ve zjednocujíci sa Evropě, eds. M. Radvan, P. Mrkývka, Brno 2005.

McCluskey W.J., Plimer F., The Creation of Fiscal Space for the Property Tax: The Case of Central and Eastern Europe, “International Journal of Strategic Property Management” 2011, vol. 15(2), DOI: https://doi.org/10.3846/1648715X.2011.582748.

Ociesa M., Zarządzanie podatkami lokalnymi w gminie na przykładzie podatku od nieruchomości, „Zeszyty Naukowe Politechniki Częstochowskiej” 2016, vol. 24(1), DOI: https://doi.org/10.17512/znpcz.2016.4.1.19.

OECD iLibrary, Revenue statistics, 2020, DOI: https://doi.org/10.1787/2522770x.

Olejniczak J., Bednarska-Olejniczak D., Maci J., Svobodova L., Real Property Tax in Polish Communes of the Polish-Czech Border Region, “Hradec Economic Days 2020” 2020, vol. 10(1), DOI: https://doi.org/10.36689/uhk/hed/2020-01-032.

Olexová C., Sudzina F., Does Personality Influence Willingness to Pay Taxes?, “Journal of Economics” 2019, vol. 67(10).

Paetzold J., Tiefenbacher M., Distributional and revenue effects of a tax shift from labor to property, “Tax Public Finance” 2018, vol. 25(5), DOI: https://doi.org/10.1007/s10797-018-9484-5.

Papcunová V., Hudáková J., Štubňová M., Urbaníková M., Revenues of Municipalities as a Tool of Local Self-Government Development (Comparative Study), “Administrative Sciences” 2020, vol. 10(4), DOI: https://doi.org/10.3390/admsci10040101.

Papcunová V., Nováková B., Real Estate Tax as Part of Municipal Tax Incomes (Case Study), [in:] Proceedings of the 13th International Scientific Conference Public Economics and Administration 2019, ed. I. Vaňková, Ostrava 2019.

Piketty T., Kapitál v 21. storočí, Bratislava 2015.

Pîrvu D., Duţu A., Mogoiu C.M., Clustering Tax Administrations in European Union Member States, “Transylvanian Review of Administrative Sciences” 2021, vol. 63(E), DOI: https://doi.org/10.24193/tras.63E.6.

Plaček M., Ochrana F., Půček M.J., Nemec J., Fiscal Decentralization Reforms: The Impact on the Efficiency of Local Governments in Central and Eastern Europe, Cham 2020, DOI: https://doi.org/10.1007/978-3-030-46758-6.

Prammer D., Immovable property: Where, why and how should it be taxed? A review of the literature and its implementation in Europe, “Public Sector Economics” 2020, vol. 44(4), DOI: https://doi.org/10.3326/pse.44.4.3.

Radvan M., Czech Tax Law, Brno 2020.

Radvan M., Major Problematic Issues in the Property Taxation in the Czech Republic, “Analysis and Studies CASP” 2019, vol. 8(2), DOI: https://doi.org/10.33119/ASCASP.2019.2.2.

Radvan M., Municipal charges on communal waste: Do they compete with the immovable property tax?, “Journal of Financial Management of Property and Construction” 2019, vol. 24(2), DOI: https://doi.org/10.1108/JFMPC-02-2018-0007.

Radvan M., The Draft Reform of Land Taxation in the Czech Republic, “Lex localis – Journal of Local Self-Government” 2012, vol. 10(3), DOI: https://doi.org/10.4335/10.3.229-245(2012).

Radvan M., Kranecová J., Is ad valorem Property Taxation a Solution for the Czech Republic?, [in:] Real Property Taxes and Property Markets in CEE Countries and Central Asia, eds. M. Radvan, R. Franzsen, W.J. McCluskey, F. Plimmer, Maribor 2021.

Real Property Taxes and Property Markets in CEE Countries and Central Asia, eds. M. Radvan, R. Franzsen, W.J. McCluskey, F. Plimmer, Maribor 2021.

Románová A., Adequacy of Current System of Property Taxation in the Slovak Republic, [in:] Real Property Taxes and Property Markets in CEE Countries and Central Asia, eds. M. Radvan, R. Franzsen, W.J. McCluskey, F. Plimmer, Maribor 2021.

Románová A., Červená K., Current System of Funding of Local Self-Government in Slovakia and its Challenges, “Financial Law Review” 2017, vol. 2(4), DOI https://doi.org/10.4467/22996834FLR.17.015.10333.

Románová A., Radvan M., Schweigl J., Constitutional Aspects of Local Taxes in the Slovak Republic and in the Czech Republic, “Lex localis – Journal of Local Self-Government” 2019, vol. 17(3), DOI: https://doi.org/10.4335/17.3.591-616(2019).

Sedmihradská L., Bakoš E., Municipal Tax Autonomy and Tax Mimicking in Czech Municipalities, “Lex localis – Journal of Local Self-Government” 2016, vol. 14(1), DOI: https://doi.org/10.4335/14.1.75-92(2016).

Sobotovičová Š., Janoušková J., Specifics of Real Estate Taxation in the Czech and Slovak Republics, “International Advances in Economic Research” 2020, vol. 26(3), DOI: https://doi.org/10.1007/s11294-020-09800-5.

Šafránek L., Daně, aneb, Cesta do otroctví? Podstata, systém, efektivnost a možnosti racionalizace, Praha 2016.

Świstak M., Smoleń P., Property Tax Exemptions for Polish Higher Education Institutions. Problems and Dilemmas, “Lex localis – Journal of Local Self-Government” 2021, vol. 19(2), DOI: https://doi.org/10.4335/19.2.377-395(2021).

Vartašová A., Komparácia systémov miestnych daní v krajinách Vyšehradskej štvorky, [in:] Miestne dane v krajinách Vyšehradskej štvorky, Praha 2021.

Vartašová A., Uplatňovanie inštitútu miestnych daní v krajinách V4, [in:] INTERPOLIS 2020, Banská Bystrica 2020.

Vartašová A., Červená K., Views on Quality of Tax Regulation in the Slovak Republic (Focused on Real Property Taxation), Praha 2019.

Youngman J., A Good Tax. Legal and Policy Issues for the Property Tax in the United States, Cambridge 2016.

ONLINE SOURCES

European Central Bank, Euro foreign exchange reference rates, https://www.ecb.europa.eu/stats/policy_and_exchange_rates/euro_reference_exchange_rates/html/index.en.html (access: 25.1.2022).

European Commission, Data on Taxation, https://ec.europa.eu/taxation_customs/taxation-1/economic-analysis-taxation/data-taxation_en (access: 3.1.2022).

Eurostat, Wages and labor costs, https://ec.europa.eu/eurostat/statistics-explained/index.php?title=Wages_and_labour_costs#Gross_wages.2Fearnings (access: 5.6.2021).

Iptipedia, http://wiki.ipti.org/index.php/Main_Page (access: 11.11.2020).

Ministerstvo financí ČR, Územní samospráva. Plnení rozpočtu, https://monitor.statnipokladna.cz/uzemni-samosprava/rozpocet/vydaje-druhovy?rad=t&obdobi=2111 (access: 21.1.2022).

Ministerstvo financií Slovenskej republiky, Vyhodnotenie výsledkov rozpočtového hospodárenia obcí a vyšších územných celkov, https://www.mfsr.sk/sk/financie/verejne-financie/uzemna-samosprava (access: 1.2.2022).

Ministerstwo Finansów, Co robimy. Budżet państwa. Budżety jednostek samorządu terytorialnego. Sprawozdania budżetowe, https://www.gov.pl/web/finanse/sprawozdania-budzetowe (access: 21.1.2022).

OECD, Economic Surveys: Slovak Republic 2019, http://www.oecd.org/economy/surveys/Slovak-Republic-2019-OECD-economic-survey-overview.pdf (access: 16.5.2021).

LEGAL ACTS

Council Recommendation of 8 July 2014 on Slovakia’s 2014 national reform programme and delivering a Council opinion on the Stability Programme of Slovakia, 2014 (OJ C 247/122, 29.7.2014).

Council Recommendation of 9 July 2013 on the National Reform Programme 2013 of the Czech Republic and delivering a Council opinion on the Convergence Programme of the Czech Republic, 2012–2016 (OJ C 217/14, 30.7.2013).

CZ: Act No. 338/1992 Coll. on real property tax, as amended.

HU: Act No. XCIII of 1990 on fees, as amended.

HU: Act No. C of 1990 on local taxes, as amended.

HU: Act No. CLXVIII of 2012 on utility tax, as amended.

PL: Act of 15 November 1984 on agricultural tax.

PL: Act of 12 January 1991 on local taxes and fees.

PL: Act of 30 October 2002 on forest tax.

SK: Act No. 582/2004 Coll. on local taxes and local fee for municipal waste and small-scale construction waste, as amended.




DOI: http://dx.doi.org/10.17951/sil.2022.31.1.191-211
Date of publication: 2022-03-29 11:56:30
Date of submission: 2022-02-03 10:21:58


Statistics


Total abstract view - 1795
Downloads (from 2020-06-17) - PDF - 0

Indicators



Refbacks

  • There are currently no refbacks.


Copyright (c) 2022 Anna Vartašová, Karolína Červená

Creative Commons License
This work is licensed under a Creative Commons Attribution 4.0 International License.