The reductions provided for fully paying the property tax by June 30 last year came to 28 million lei or 8.7% of the value of the calculated tax, IPN reports. In a program on Radio Moldova, state main tax inspector Vladimir Tudose said that the number of taxpayers who pay the realty tax beforehand and benefit from the 15% reduction increases annually, especially among private individuals.

The tax rates are set by the local councils within the legal limits of 0.05 – 0.3% of the taxable base of the property. In the municipality of Chisinau, the tax for residential real estate is 0.1% of the taxable base, as against 0.05% last year, which is twice higher.

The persons of retirement age are exempted from paying the tax on residential real estate (dwellings). “This category includes men who turned 62 and women who turned 57. For families who gave birth to and educated five and more children up to the age of eight, the retirement age is 54. This age for persons who worked in harmful conditions is 54 for men and 49 for women,” said Vladimir Tudose.

A sum of 323 million lei was transferred to the local budgets as property tax in 2013. The property tax arrears are 73.5 million lei. The property tax is paid in two equal installments, by August 15 and by October 15. Penalties are calculated for every day of overdue payment.