How is the Grundsteuer calculated?

As of January 1, 2025, the property tax value of the property, agricultural and forestry business or piece of land, which is determined by the tax office in accordance with the provisions of the
Landesgrundsteuergesetz (LGrStG) and multiplied in a second step by the tax assessment figures stipulated in the Property Tax Act, will serve as the basis for calculating Grundsteuer.

The tax assessment figures are

• for agricultural and forestry businesses: 0.55 per thousand
• for land: 1.3 per thousand
  • This tax rate is reduced by 30 percent if the property is primarily used for residential purposes. A further 25 percent reduction in the tax rate for the property is possible under certain conditions if the property is eligible for a state housing subsidy or is allocated to a housing association. If there is a listed building on the property, an additional 10 percent reduction in the tax base may be granted.

In the final step, the municipality multiplies the property tax assessment amount calculated from the property tax value and the tax assessment figure by a so-called assessment rate. The assessment rates can be set by the municipality itself.
The property tax value, property tax assessment amount and Grundsteuer are each determined or set in a separate assessment notice

Further information on the new Grundsteuer from January 1, 2025 can be found on the state's own website.