die  Grundsteuer

B2

Estimated CEFR level.

/ˈɡʁʊntˌʃtɔɪ̯ɐ/

🏛️ What exactly is die Grundsteuer?

Die Grundsteuer is a tax levied in Germany on the ownership of land (Grundstücke) and the buildings on it. It's a so-called Realsteuer or Objektsteuer (property tax or object tax), as it relates to the value of the property, regardless of the owner's personal income situation.

There are two main types:

• Grundsteuer A: for agricultural and forestry operations.
• Grundsteuer B: for developed or undeveloped land not used for agriculture or forestry (i.e., most residential houses, commercial properties, etc.).

The revenue from die Grundsteuer goes to the municipalities (Gemeinden) and is one of their most important sources of income. 💰 It is paid annually.

🚨 Important: Germany is currently undergoing a Grundsteuerreform (property tax reform), which changes the calculation basis from 2025 onwards.

🧐 Grammar of Grundsteuer

The word "Grundsteuer" is a feminine noun. The article is die.

📝 Example Sentences

1. Die Gemeinde hat den Hebesatz für die Grundsteuer erhöht.
   (The municipality has increased the assessment rate for the property tax.)
2. Die Fälligkeit der Grundsteuer ist vierteljährlich.
   (The due date for the property tax is quarterly.)
3. Alle Eigentümer müssen eine Erklärung zur neuen Grundsteuer abgeben.
   (All owners must submit a declaration for the new property tax.)
4. Die Höhe der Grundsteuer hängt vom Einheitswert und dem Hebesatz ab.
   (The amount of the property tax depends on the standard assessed value and the assessment rate.)

💡 Usage in Context

The term Grundsteuer is mainly used in the following contexts:

• Real estate ownership: Every owner (Eigentümer) of land or property encounters die Grundsteuer. It's part of the running costs.
• Municipal politics & finance: Municipalities (Gemeinden) discuss and decide on the Hebesätze (assessment rates) for die Grundsteuer, as it represents a significant source of income for them.
• Tax declarations: Especially due to the Grundsteuerreform, owners have to submit specific declarations (Erklärungen).
• Rental agreements: Die Grundsteuer can be passed on to tenants (Mieter) as part of the ancillary costs (Nebenkosten) if agreed upon in the rental contract (Mietvertrag).

It's a specific technical term from tax law and administration. In everyday language, it's rarely used outside these contexts.

🧠 Mnemonic Devices

Article Mnemonic: Many types of taxes (Steuer) in German are feminine (e.g., die Einkommensteuer, die Umsatzsteuer). Think of words ending in -steuer often being feminine -> DIE Grundsteuer.

Meaning Mnemonic: The word is composed of "Grund" (like ground or land) and "Steuer" (tax). So, it's logically the tax on the ground (and property).

🔄 Synonyms and Antonyms

😄 A Little Joke

Fragt der Finanzbeamte den Hausbesitzer: "Haben Sie Hobbys?"
Antwortet der Hausbesitzer: "Ja, ich sammle Bescheide für die Grundsteuer!"

(The tax officer asks the homeowner: "Do you have any hobbies?"
The homeowner replies: "Yes, I collect property tax assessment notices!")

📜 A Tax Poem

Auf Grund und Boden, alt und neu,
erhebt der Staat die Steuer treu.
Ob Haus, ob Acker, Wiese, Feld,
die Grundsteuer kostet Bürgergeld.
Mal steigt sie an, mal bleibt sie gleich,
macht keinen Unterschied ob arm, ob reich.
Sie füllt der Stadt Gemeindesäckel,
ein jährlicher, bekannter Schreck(el).

(On ground and soil, old and new,
The state collects its tax so true.
Be it house, or field, or meadow plain,
The property tax costs citizens' gain.
Sometimes it rises, sometimes stays put,
Making no difference for rich or poor foot.
It fills the town's community purse,
An annual, well-known curse (or little fright). )

🧩 Riddle

Ich bin eine Abgabe, kein Geschenk,
wer Land besitzt, an mich er denk'.
Die Gemeinde freut sich sehr über mich,
jährlich zahlbar, sicherlich.
Nicht beim Kauf, doch stets im Besitz,
mein Name ist ein steuerlicher Witz?
Nein, ganz real, für Haus und Land.
Wie werd' ich wohl genannt?

(I am a levy, not a gift,
Whoever owns land, thinks of me swift.
The municipality is very happy about me,
Payable annually, certainly.
Not at purchase, but always in possession,
Is my name a tax-related jesting session?
No, quite real, for house and land.
What am I called throughout the sand?)

Solution: die Grundsteuer (the property tax)

💡 Other Information

Word Composition

The word "Grundsteuer" is a compound noun, composed of:

• Grund: Refers to ground and soil, the plot of land.
• Steuer: A financial levy imposed by the state or a local authority (here, the Gemeinde or municipality), i.e., a tax.

Current Topic: The Grundsteuerreform

An important current topic in Germany is the Grundsteuerreform (property tax reform). The Federal Constitutional Court (Bundesverfassungsgericht) had declared the previous calculation basis (based on outdated standard values - Einheitswerte) unconstitutional. Therefore, new regulations had to be created, which will apply from 2025. This leads to new assessments of all properties and potentially to changes in the amount of property tax payable by individual owners.