Tax agency has a new system to evaluate real estate in country

Cool photos
of country
They have been out for awhile, but Correos de Costa Rica still has a series of postcards showing various scenes of the country. The face value is 500 colons, about $1.

The tax agency is using software and air photos to set up a system of evaluation of the properties in the country.

The agency, the Dirección General de Tributación says it no longer will go door to door to determine values. instead the agency is using a new system that already has established values for some 90 percent of the properties in the country.

The project is an effort to overcome the tax cheating that has been rampant in the country. For years, lawyers would declare a small value on properties when they were transferred. This was the so-called fiscal value. More correctly it was the value
on which land owners wanted to be taxed.

The agency said that a pilot project identified 180 properties that were listed at about 8 percent of their estimated value. Instead of being worth 538 million colons or a bit more than $1 million, the properties were evaluated at 7.3 billion colons or about $14.6 million, said the agency.

The system also will be used to identify homes whose owners should pay the luxury tax that is due in January, said the agency.

The new system also will be of use to municipalities that depend on property tax for income.

This entry was posted in Costa Rica News. Bookmark the permalink.