EXTRA TAXES EMPTY HOUSING

EXTRA TAXES EMPTY HOUSING

Extra taxes for empty housing in Esch-sur-Alzette (wort.lu)

Extra taxes for empty housing in Esch-sur-Alzette (wort.lu)

 

As the second largest city of Luxembourg, Esch-sur-Alzette, has been counting quite many homes left empty or building plots that are not being used for construction purposes, the local authorities are planning to overtax the owners of such properties. This provision may enter into force starting from January 1, 2013, and would be applied to all properties fulfilling the above criteria. This proposal was already endorsed by the local City Council a couple of weeks ago being rejected only by the representatives of the Democratic Party (DP).

According to Vera Spautz, some 800 apartments, plus 200 houses and 70 lots are abandoned or unused in the city that was known for being the real heart of Luxembourg heavy industry. This additional tax would amount to 150 € per meter calculated on the front side (façade) of the house, and would be elevated to 200 and 300 € should the housing remain abandoned or unused for another second or third year. As for building plots, the owners of these abandoned or unused properties would have to pay 15 € per sq. m.; this amount would move up to 30 and 50 € if this property remains abandoned for a second or third year.

The Mayor of Luxembourg City, Xavier Bettel, is currently discussing the possibility to implement similar measures. He also announced his intention to overtax any housing left empty or unused in Luxembourg City even though he did not reveal any amounts to be eventually paid. The Financial Commission shall work out a project in this sense by next September to be submitted to the City Council. 

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