Suchergebnisse

The research aim is to analyse the peculiarities for application of immovable property tax in Latvia and to assess the main factorsaffecting the amount of immovable property tax and contradicting the basic principles for imposing taxes. It is essential to review themethods how the State Land Service determines cadastral values for real estate, since the cadastral value is the base for calculation ofimmovable property tax. The revision is required as the establishment of a fair tax system is impossible without adequate and comparablecadastral values. In the future, land shall be valued pursuant to lease and not to expropriation transactions in Latvia, whilethe cadastral valuation of buildings might be done consistent with the method of expenses by determining construction expenses ofbuildings. The issue on mass inspection of physical condition of buildings and data updating shall be solved in Latvia. In addition, anissue on possibilities to apply the most fair procedure for tax calculation shall be solved on the governmental level, i.e. to calculatetaxes consistent with procedure for the use of immovable property registered in the Land Register as well as to cancel the limitationfor increase of immovable property tax stated by the municipality and to regulate the tax burden through tax rates.KEY WORDS: immovable property tax, limitation for the tax increase, property structure, cadastral value.