Overview
- The Administrative Court in Gelsenkirchen ruled that charging higher property‑tax multipliers on non‑residential land than on housing is unlawful and violates tax‑equity principles.
- Judges annulled four tax assessments and voided the affected parts of the statutes in Essen, Bochum, Dortmund and Gelsenkirchen, which may not be used in other pending cases.
- The decisions are not final, with both a standard appeal and a rare fast‑track Sprungrevision to the Federal Administrative Court permitted.
- Cities had raised commercial rates to offset lower housing multipliers intended to shield tenants from higher costs under the reformed system.
- Rate gaps were stark, including Essen at 1,290% for commercial versus 655% for housing and Gelsenkirchen at 1,397% versus 696%, drawing strong criticism from business chambers in a state where property‑tax revenue totaled about €4.3 billion in 2024.