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The construction and tourism tax "saves" the municipalities, in 5 months they collect 56 million euros more than in 2023

2024-06-19 11:42:33Biznes SHKRUAR NGA REDAKSIA VOX

The construction and tourism tax "saves" the municipalities, in 5

The 61 municipalities in the country have "jumped into the attack" by significantly increasing their income throughout this year. Official data from the Ministry of Finance show that for the 5-month period, January-May of this year, local government revenues are recorded at 18 billion ALL from 12.4 billion ALL that were in the 5th month of 2023, with an increase of 5.6 billion Lek or about 56 million euros.

Among the main items that have generated this income is a significant increase from local taxes, where they collected a total of 14.2 billion ALL or 4.6 billion ALL more than a year ago. In other words, the increase is recorded at 32.4 percent.

Given that the main tax that supplies the municipalities is the infrastructure impact tax from new constructions, with a weight of 63 percent in relation to other taxes and fees, the figures show that the construction boom, both in the capital and in the coastal areas mainly, it has made the local government have a bigger income. The increase in reference prices in the capital has also had an impact on this part, as Tirana is also the municipality that collects more revenue compared to the other 60 local self-government units.

The hotel tax, which is paid for overnight stays, also seems to have had an impact on this performance, where with the increase in the number of tourists throughout this year, a figure that has undergone an increase of 38% this year, and consequently more income in the municipal budget. On the other hand, the data from the real estate market show an increase in the number of transactions, making the revenues from the transfer of ownership to the municipal budgets to be higher in this regard as well.

As for the property tax, in 5 months, 3.8 billion ALL were collected, with an increase of 1.1 billion ALL compared to the previous year. This tax is collected mainly in large municipalities such as Tirana, Durres, Shkodra, etc.


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