Germany's New Property Tax Reform Triggers Nationwide Concern

The upcoming 2025 property tax changes bring steep increases for many homeowners, with municipalities adjusting tax rates to meet revenue neutrality mandates.

The 2025 property tax reform, prompted by a 2018 constitutional court ruling, introduces new valuation methods for 36 million properties across Germany.
Homeowners in cities like Berlin report drastic tax increases, with some facing payments triple their previous amounts, despite promises of revenue neutrality.
Municipalities are adjusting local tax rates (Hebesätze) to balance increased property valuations, but disparities remain, with some areas seeing rate hikes and others reductions.
Protests and legal challenges intensify, as groups like the 'Moritzburg Property Tax Rebels' demand state-funded reassessments for perceived unfair valuations.
Local governments warn of potential delays in resolving appeals, with many homeowners required to pay the new tax amounts before disputes are settled.