The Netherlands Council for Real Estate Assessment monitors nationwide how municipal authorities and Tax Authorities implement the WOZ Act (Special Act for Real Estate Assessment). In the press release below, the Netherlands Council for Real Estate Assessment answers the question: How can the WOZ tax base increase by 17% while house prices are falling? Would you prefer to watch a short video on this topic? On our WOZ page please find an explanation video issued by the Netherlands Council for Real Estate Assessment.
Press Release Netherlands Council for Real Estate Assessment 19 January 2023, The Hague
The WOZ tax base to rise by an average of 17% in 2023
The WOZ tax base of homes that many people will receive from their municipality in the coming weeks is still rising sharply. The WOZ tax base of a home shows a 17% average increase this year. This is a national average. Recent reports on the housing market show that average home sales prices have been falling in recent months. This decrease is not reflected in the WOZ tax base this year. This is because the WOZ tax base in 2023 is based on the market developments in 2021 (the period between 1 January 2021 and 1 January 2022).
Regional differences
The 17% increase is a national average. The increase in value of each individual home may differ from this national average. The increase in value of a home depends on several key factors such as its location, the type of home and its maintenance status. There are also regional differences. Currently, municipalities are in the process of making the final check of the WOZ tax base values. The overview of current value developments per municipality is available from the website of the Netherlands Council for Real Estate Assessment.
Reference date
The WOZ tax base in 2023 will be based on the sales figures of homes around 1 January 2022. This is called the reference date. The reference date is always in the past. For 2023, the reference date for the WOZ tax base is 1 January 2022.
Abbreviation WOZ
The abbreviation Wet WOZ in Dutch means Wet waardering onroerende zaken (the WOZ Act (Special Act for Real Estate Assessment). Municipalities, water boards and the Tax Authorities use this WOZ tax base to levy property tax (OZB), water system charges on construction and the owner-occupied home tax, among other things. The WOZ tax base can also be important for residential tenants, for example, in determining the maximum rent based on the housing valuation system.