Tax on inhabited housing under discussion
The debate surrounding proposals to levy a tax on inhabited housing is intensifying. The tax, levied on rental income, would be payable on capital gains from rental real estate. The tax has history and was previously in force between 1923 and 1944. Now, Berlin’s politicians are calling for it the tax to be reinstated as an alternative to the expropriation of housing companies owning more than 3,000 rental units in the city. A tax on inhabited housing would impact all owners and landlords, irrespective of the number of housing units they own, and would also have a significant impact on loan-to-value ratios and current mortgage financing practices.