Bratislava mayor Matúš Vallo. (source: TASR)
The City of Bratislava has called for a 35 percent hike in property tax and a 30 percent rise in waste disposal fees as of next year.
Bratislava Mayor Matúš Vallo announced the hikes on Tuesday, arguing they were necessary step to ensure Bratislava maintains basic standards of maintenance and services. Bratislava city councillors will rule on the increases in December.
“We decided to embrace this unpopular and difficult move because there's no other way for us to preserve the services and quality of life,” Vallo said as cited by the TASR newswire.
Vallo said three factors were driving the property tax increase: “chaotic” restrictions to municipalities' income imposed by previous governments, soaring inflation and economic forecasts of lower revenues for municipalities from central income tax revenues. With regard to the latter, Bratislava's income is expected to drop year-on-year in 2024 by €11-16 million.
Proposed increase
The property tax rate was last increased in the capital in 2020. The municipality proposes raising property tax for flats and family houses depending on the location from the current €0.90 - €1 per square metre to €1.20 - €1.35 per square metre. In practice, this would mean that, for example, the owner of an apartment in Dúbravka with an area of 50 square metres would pay a tax of €60 per year instead of the current €45.
The increase should not affect senior citizens. Currently, people over 65 and holders of disability cards have a property tax relief of 60 percent, but the proposal envisages an increase to 70 percent. This means that, for example, a senior citizen who pays €40 for a 100 square metre flat in the Old Town, the most expensive tax zone, would now pay €40.50. In addition, a 50 percent relief is being introduced for buildings and non-residential premises or parts thereof used for sport.
The increased property tax would bring approximately €19 million per year to the capital and the same amount to individual boroughs. Bratislava city council has indicated that although this will not cover the entire revenue shortfall, it will allow the standard of services provided in the city to be maintained.
People will pay more for waste
The fee for waste disposal, which has not been increased for nine years, will rise 30 percent. This will mean that the fee for the disposal of a 120-litre waste container at two-weekly intervals will increase from the current €86 to €112 per year. The municipality is also proposing people be allowed to switch to a four-weekly waste collection interval if they want to. They fee for this would be €56 per year.
Elsewhere they ask even more
Other Slovak cities are also increasing their property tax. In Partizánske and Banská Bystrica it is set to rise by 100 percent, and in Prešov, Dolný Kubín or Spišská Nová Ves by 50 percent, the Sme daily points out.
Compared to other countries, property tax in Slovakia is still relatively low. Data from the Organisation for Economic Co-operation and Development (OECD) shows it accounts for 0.48 percent of GDP in Slovakia - well below the OECD average of 1.7 per cent.
