Despite nationwide debates about rising property tax burdens, the reform in Saxony has not resulted in a hidden tax increase on average. This is the result of an analysis by the Ifo Institute in Dresden. According to the analysis, most municipalities kept their political promise of revenue-neutral implementation at the turn of the year.
The cash revenue from property tax for developed and undeveloped land (property tax B) remained largely stable in most municipalities in the first half of 2025. "Despite some deviations, the overall picture for Saxony is largely revenue-neutral," said Ifo researcher Selina Schulze Spüntrup. Most municipalities have adjusted their collection rates so that the total revenue remains constant. Although there are some municipalities with significantly higher revenues, in other municipalities revenues have actually fallen.
