New property tax in Croatia from 2025: Overview, rates and exemptions
Croatia is introducing a new property tax from 1 January 2025. Find out who is affected, what the rates will be (€0.6 – €8 per m²) and how to get an exemption. A practical guide for apartment owners and investors.
New property tax in Croatia from January 1, 2025: What you need to know
1. Introduction of a new property tax
A new property tax will come into effect in Croatia on 1 January 2025, replacing the current holiday home tax. The change aims to redistribute the tax burden and stabilise the housing market.
2. Tax rates
The tax rate will range from €0.6 to €8 per m² of usable area per year. The specific tax amount will be determined by local governments, based on factors such as location, age of the property and its characteristics.
3. Exemptions and tax exemptions
Certain types of real estate will be exempt from tax:
Principal residence – if the property is used as the owner's permanent residence.
Long-term rental – if the property is rented for at least 10 months a year.
Agricultural and manufacturing facilities – used for business or production.
4. How the new tax will affect you
To find out how the tax will affect your property, we recommend:
Determine the purpose of using your property - permanent residence or long-term rental may mean tax exemption.
Find out your local tax rate - contact your local authorities.
Prepare your documents – if you want to use the exception, have the necessary documents ready (e.g. rental agreement, proof of permanent residence).
5. Recommendations
Consult your local tax office for the most accurate information.
Consider legal assistance – a tax advisor in Croatia will help you with the correct interpretation of the law and with the preparation of documentation.