Land in the System of Real Estate Objects and Features of Tax Application in Latvia

Abstract

Since the economic recession in Latvia, the national debt in September 2010 amounted to LVL 4.717 billion. The study confirms significant impact of downward trends of the economy of Latvia on the national budget performance indicators in 2009. One of the most commonly mentioned and controversial indicator is the real estate tax that has to be imposed also on the land. The aim of this study is to analyse and assess the system of the Land Fund of Latvia and features of tax application. The following three key objectives will be addressed in this research to achieve the determined aim: clarifying the concept of the land, types of property rights and ownership status; assessment and evaluation of allocation of national land-use according to targeted groups and the types of land use; and gathering information on taxes imposed on land and assessing property tax revenues from the land to provide the development assessment of the land fund system in Latvia