Grundsteuerreform und Stadtentwicklung

This study analyses the potential impact of location-based property taxes on urban development, using an economic cross-sectional comparison of Germany’s property tax assessment models developed following the Federal Constitutional Court's 2018 ruling. Structural differences are demonstrated systematically through calculation examples and the application of network theory. Combining property management concepts with tax law issues, the author demonstrates how a land value tax could incentivise improvements to public spaces and urban development. Against the backdrop of the next main assessment date in 2029, the author presents optimisation approaches that should be incorporated into a uniform national property tax.