Christian Democrat: ‘ditch the property tax system’

Christian Democratic member of parliament and chair of the Finance Committee Stefan Attefall has urged the government to stop charging interest for delayed tax payments on real estate sale profits.

Christian Democrat: 'ditch the property tax system'

Attefall has however not outline any economic consequences of the proposal.

He also wants to have real estate completely excepted from taxes on income earned from capital, which amounts to getting rid of the entire property tax system.

“If the taxable value no longer serves as grounds for taxation there is no longer a need to carry out tax valuation from the perspective of tax law,” writes Attefall in a debate article in Friday’s edition of the Dagens Nyheter newspaper.

Attefall, who has been critical of a number of changes to the real estate tax, feels that it is especially important to ditch the interest reprieve which was granted before the current government replaced the residential property taxes with a municipal council fee.

He also wants the level of council fees to correspond to the costs for real estate related services. Enacting such changes, according to Attefall, will result in lower fees.

At the same time he wants to extend the fees to commercial and industrial real estate which he believes will strengthen municipalities’ tax base and motivate them to create jobs and attract companies.

Attefall doesn’t show, however, any estimates of the economic consequences of the proposal for individuals, municipalities, or the state were it to be carried out.