Up to PLN 7,500 per year for one apartment. The project sparked heated discussion

Left MPs propose changes to the taxation of residential real estate. The draft amendment to the Act on local taxes and fees assumes the introduction of higher rates for people who own at least three apartments. The idea sparked extensive discussion during public consultations, with doubts raised by both property owners and local government representatives.

The authors of the project argue that the new solutions are intended to limit the accumulation of apartments for investment purposes and increase the availability of premises for people looking for their own place to live. Apartments related to social and municipal housing, as well as premises used for social assistance, would be excluded from the regulations.

Tax on the third apartment

The project provides for the introduction of two tax rates on single-family buildings and residential premises. For the first and second real estate owned by the taxpayer, the rate would be 0.02%. real estate values.

Much higher burdens would apply to the third and subsequent apartments. In the first year of application of the new regulations, the rate would be 0.5%. real estate values. It would then increase by 0.1 percentage point every year until it reaches a maximum of 1.5%. value of the premises.

Even several thousand zlotys a year

According to the presented calculations, for an apartment worth PLN 500,000. PLN tax on the third property would initially range from approximately PLN 1,911 to PLN 3,075, depending on the location. After reaching the target rate of 1.5%. the annual burden could increase to PLN 7,500.

According to the project’s authors, higher taxation would limit the purchase of apartments only as a capital investment or as a source of rental income. The justification also indicated the problem of vacant buildings and limited availability of apartments for people who do not have their own place.

Poles and local governments raise reservations

Extremely different opinions emerged during public consultations. Some participants believed that the proposed rates were too low and should be raised to even 3%. real estate values. Others assessed the project as unfair to people who legally invested in apartments and had already incurred the associated costs.

There were also concerns about the rental market. Some consultation participants indicated that apartment owners may try to pass on additional costs to tenants, which would translate into an increase in rents. Attention was also drawn to the risk of limiting the supply of apartments for rent and transferring investment capital outside Poland.

Doubts of local government officials

Representatives of local governments also raise reservations. In their opinion, the date of entry into force of the new regulations, planned for January 1, 2027, may turn out to be too short. They emphasize that other major reforms are being implemented at the same time, and the implementation of the new system requires organizational and information preparation.

Local government officials also point to the risk of errors, tax disputes and interpretation problems resulting from the introduction of new obligations in a short time. The demands submitted included postponing the date of entry into force of the reform and extending the preparation period for municipalities and property owners.