Property tax; payment to the municipality
The municipalities levy property tax on property owners to finance their tasks. The responsible municipality sets the real estate tax after the determination of the assessed value and the real estate tax assessment amount by the responsible tax office.
The following are subject to real estate tax
- farms and forestry (real estate tax A) and on the other hand the remaining
- other properties including those used for business purposes (property tax B).
The basis for the tax calculation is solely the value of the farm or the land (standard value). However, the value ratios as of January 1, 1964 are decisive. The standard values will only be used as the basis for real estate tax up to and including 2024. Special notes" contain information on the law applicable from 2025 onwards.
The personal circumstances of the property owner are not taken into account when determining the basis of assessment.
The tax is determined in a three-stage procedure. The procedure is described in detail under "Related Topics" - "Real Estate Tax; Determination of the Standard Value and the Real Estate Tax Assessment Amount by the Tax Office".
The relevant municipality assesses the real estate tax after the standard value has been determined and the real estate tax assessment amount has been set by the relevant tax office. In this process, the property tax assessment amount communicated by the tax office is multiplied by the assessment rate that the municipality has determined in advance in its bylaws. The municipality has a broad discretion in determining the assessment rate.
The property tax can be waived, among other things, if the normal yield of the business or the property is significantly reduced and the owner is not responsible for this. The application for remission must be submitted to the municipality.
If the property is rented out, the property tax can be apportioned to the tenant as part of the operating costs.
Real estate tax reform
In its ruling of April 10, 2018, the Federal Constitutional Court declared the standard values to be incompatible with the German Basic Law. The Bundestag and Bundesrat therefore passed a reform of valuation law in the fall of 2019. The new values will be used as the basis for property tax assessments from January 1, 2025. Until then, property tax will continue to be calculated on the basis of the standard values. With effect from January 1, 2025, the federal states will be able to enact independent state legislation that deviates from federal law. The Bavarian Property Tax Act was enacted on December 10, 2021.
Information on the property tax reform in Bavaria is available on the website of the Bavarian State Tax Office and the Bavarian Property Tax Information Hotline at 089 / 30 70 00 77.
You can lodge an objection or take legal action.
A separate assessment notice is issued for the assessed value, the land tax assessment amount and the land tax, which can be appealed separately. However, an appeal against the land tax assessment notice cannot be based on the fact that the land tax assessment notice or the standard value assessment notice is incorrect. Both notices are basic notices for the property tax assessment and are binding for the municipality. If the notice of assessment of the assessed value and/or the notice of assessment of the real property tax is amended, the municipality adjusts the real property tax ex officio. An appeal against the notice of assessment of the real property tax cannot be based on the incorrectness of the standard value.
Links to more information
Responsible for editing: Bayerisches Staatsministerium der Finanzen und für Heimat
- Online transactions, Bavaria-wide
- Online transactions, locally limited
- Prefillable Form, Bavaria-wide
- Legal bases, Bavaria-wide
- Legal bases, locally limited
- Fees, Bavaria-wide
- Fees, locally limited