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Towns keep real estate taxes on leash

THE STEEP increase in municipal real estate tax rates seen across Slovakia last year was not repeated this year. According to the findings of the PAS Slovak business alliance, about 80 percent of municipalities left their real estate tax rates unchanged in 2006.

Only around 15 percent of towns and cities increased taxes, while four percent dropped their rates, the Pravda daily wrote.

A cap on real estate taxes was imposed by parliament following last year's massive increase in local real estate tax. More than half of Slovakia's largest towns hiked taxes by more than 100 percent in 2005, arguing that the increases were both necessary and appropriate in the wake of the cut in the national tax rate to a flat 19 percent.

The PAS mapped tax rates in 75 towns and cities, and found that the lowest real estate tax rates are in Ilava, Sobrance, Svidnik, Nové Zámky, Lučenec, Gelnica, and Galanta. The highest tax rates are in Bratislava, Nitra, and Košice.

Compiled by Martina Jurinová from press reports
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