Filenews 10 July 2025 - by Vasos Vassiliou
The process of increasing the garbage collection tax and the real estate tax is underway in the Municipalities, if it is taken into account that while some Municipalities have already imposed increases of up to 85% in some apartments, the Parliament is pulling the handbrake on them by prohibiting the increase of more than 14% for garbage and 10% on real estate.
It is worth noting that the government had submitted to the Parliamentary Committee on the Interior a bill based on which the Municipalities could impose an increase of more than 14% (for garbage) and more than 10% on the real estate tax, with a ceiling of 35%.
This meant that a two-and-a-half-fold increase could be imposed on garbage in 2024 and a three-and-a-half increase in real estate taxes as they applied in 2024.
It is noted that some Municipalities demanded that they be given the option of imposing an unlimited increase, but they stumbled in Parliament.
The government's proposal led to an increase through the side road, since it did not refer to an increase of up to 35% (compared to the previous year) but provided for an increase compared to the previous year, "provided that these percentages do not exceed 35% of the amount imposed in the immediately preceding year.
The Parliament also took into account a letter from the Legal Service, according to which "the principles governing the imposition of fees and taxes are required to comply with the principle of proportionality, the obligation not to surprise the taxpayer and the non-retroactivity of any increases or other aggravating data".
However, the Citizens may have avoided the increase of the above fees up to 35%, but an increase of 14% and 10% respectively compared to the end of 2024 must be taken for granted.
In other words, there is no discussion about maintaining the fees for the two services at last year's levels.
However, citizens must prepare for the imposition of new taxes, since, if the relevant provision of a government bill is passed, the councils of the Provincial Local Government Organizations (EDAs) are given the opportunity to impose fees on Local Authorities for the following services:
-The service from the operation of the green points
-The centers for the reuse and repair of products
-The community composting units
-The green kiosks
-The recycling corners
-The collection points for certain waste.
The operating and management costs of the above will be divided according to the population of each local authority, until the issuance of the regulations provided for in the basic legislation being amended.
It is understood that the Local Authorities, in order to cover the cost of the above services, will burden their citizens.
The bill also contains a provision regarding the abolition of the obligation to pay to the relevant local authorities a sum of money amounting to 60% of the fees, fees or charges collected by the provincial self-government organizations, pursuant to the provisions of the Law on Town Planning and Spatial Planning and the Law on the Regulation of Roads and Buildings.
The cost, which ranges to €12 million, will be covered by the state, which will also collect this amount through the taxation of citizens.
