Acta Universitatis Danubius. Administratio, Vol 8, No 2 (2016)

Abstract

Albania as a country that is already in the market economy, feels the need to raise the level of income, to stabilize the economic problems of equilibrium and balance of payments, leading ultimately to the growth of the country's economic development. Tax on real estate assets, especially the one on residential buildings, is politically sensitive depending on the size and value with which they grow.

The transition from the tax base in the area of the Real Estate to the market value of immovable property requires time and proper preparation for this qualitative change to the law of taxation of real estate.

The purpose of this article is: Determining the efficiency of the method of taxation of the Immovable Property in improving the qualitative service of public services.

The composition of tax revenue according to the type of tax in the OECD countries, revenues from taxation of real estate averaged about 5% of tax revenues. Thus, there is room for governments to increase their support on the recurring taxes on real estate. The diversity of methods used for measuring the tax base of real estate is great.

What is important and should be understood by policy-makers is the fact that management of the system of taxation of real estate today and in the future should be better evaluated than to date by expanding further basis of taxation of real estate, including in them property which has been neglected so far.