Features of the property maintenance in Austria for which you will have to pay monthly, how the payment is formed, taxation
Austria has a transparent taxation system and a clear payment scheme for building maintenance. After purchasing a home, the owner must pay tax and make deductions for maintenance without fail. Amounts depend on the nature of the property and the tariffs set by Austrian municipalities.
Tax collection is carried out based on the law of 1955 and is collected by the municipality where the property is located. For calculation, the estimated (cadastral) cost taken, which the local finance department determines. In contrast to the market price of real estate, it is much lower, as its formation does not take into account external factors and the current exchange rate. Tax liability imposed on owners of real estate, land, and agricultural lands. For owners of apartments, the tax payment is included in the monthly maintenance payments, and the amount of the tax may be shared equally between the owner and tenant when renting. The amount of the residential development tax calculated based on the following principle. So, for example, the area of the building and the area with landscape design are calculated differently.
Control measurements to determine the tax amount in ppm (1/10 percent):
For a single-family home with an estimated value of 40,000 EUR, the approximate land tax calculation is as follows: 3650 EUR * 0,5 % + 7300 EUR * 1 % + 29 050 EUR * 2 % = 67 EUR (4 616 RUB).
Only the local tax authority can calculate the final amount of land tax, as additional parameters can be taken into account.
Austria has a Federal Financial Compensation Act, according to which municipalities can increase the tax by applying a rate of 500%. Thus, the approximate tax amount for a single-family house of 67 EUR can be increased by 500% and will be about 335 EUR (23 079 RUB).
The procedure for paying land tax in Austria provides for the payment of amounts 4 times a year: by the 15th of February, May, August, and November. If the amount of land tax does not exceed 75 EUR, then the payment must be made by 15 May.
Some Austrian municipalities temporarily exempt from taxation owners who have bought housing in new buildings, in the construction of which the state participated.
The maintenance of real estate in Austria is made by paying monthly fees and utility bills. The amount is negotiated in the contract and includes the following items:
On average, the amount of maintenance fees is 100-200 EUR. If it is necessary to carry out a major overhaul, the general meeting shall decide on taking a loan, payment of which shall also be included in monthly payments.The collection of payments is handled by the management company, which is elected at a general meeting of residents. The collected funds are used to maintain the house in good condition, and to improve the adjacent area.
Utilities - water, heating, electricity are paid separately according to the meters by the tariffs established by local municipalities. On average, utility costs range from 150 to 250 EUR per month, moreover, payment made quarterly. Despite the presence of special metering devices, a fixed amount is set, which is subsequently adjusted depending on the consumption model.
Real estate in new buildings requires less utility and maintenance costs than secondary housing.
Insurance protects the real estate from financial loss in case of an emergency. There are 2 types of insurance.
According to the data of the Austrian Chamber of Labor, the most advantageous insurance is the insurance with annual payments, with discounts from 10% to 30% for long-term agreements.Austrian insurance companies offer 3 insurance packages, the main one is Basic, which includes the following services.
The other packages - Classic and Premium, include services from the Basic Package with additional services at the discretion of the policyholder. The average cost of insurance depends on the nature of the property and can range from 100 to 300 EUR per year.
Regular repairs are required to keep the house in good condition. In Austria, payment for the repair of general household needs is included in the monthly maintenance fee.