However, it is difficult to say precisely which specific real estate tax proposal Lithuanian residents oppose, at least for now. During the survey, the ruling parties in the Seimas and the Government changed the concept of the future tax several times.
Nevertheless, only 5% of respondents stated that they had no opinion on whether it would be a good idea for the coalition of Social Democrats, Nemuno Aušra, and Vardan Lietuvos to implement a universal real estate tax. At the same time, one in ten (10%) of the country's residents expressed support for the idea, which has sparked considerable debate in government circles.
The fact that taxation of residential property is a particularly sensitive issue for Lithuanian residents is nothing new. According to the survey, eight out of ten respondents (79%) reported owning real estate. It is therefore not surprising that, in searching for arguments against taxing all property owners, politicians have resorted to talking about Lithuanian identity, which they claim is inseparable from home ownership. Although such generalisations are difficult to measure objectively, the survey shows that even those who do not own property are against real estate taxation.
As many as 73% of respondents who stated that they did not own real estate said they would oppose the universality of the tax in question. Similarly, 15% of respondents who did not own residential property said they saw a need for universal taxation of property owners.
In turn, 83% of respondents who own real estate expressed scepticism about such a tax. Another 9% of homeowners said that universal taxation was necessary.
Sociologist says that decisions on real estate will have political consequences: Nemuno Aušra may be the biggest loser
Rasa Ališauskienė, director of Baltijos Tyrimai, is not surprised by the sceptical attitude of residents towards a universal property tax.
'Lithuania is a society of owners, so such statistics are natural,' Ališauskienė told ELTA.
However, she says that it is not only the established tradition of owning one's own home that is the reason for such strong opposition to the real estate tax. According to her, the chaotic communication of the ruling party also has a significant influence.
'I've lost count of how many times the draft has been changed. It's not easy to understand how much we will have to pay and for what. Communication has been such that, to this day, it is not clear what the tax will be – many people do not understand it,' said the director of Baltijos Tyrimai.
'The less clear it is, the harder it is to evaluate, and the greater the mistrust. If, for example, you don't like something, but you understand what it is, you can at least see how you can live with it. However, with the real estate tax, it's unclear now. The only clear thing is that something will happen, but it is unclear what', said the sociologist, analysing the prevailing mood in society.
According to her, the unclear and unpopular initiative on the real estate tax may have consequences for those in power. For instance, Ališauskienė acknowledged that Remigijus Žemaitaitis' Nemuno Aušra party, which belongs to the ruling majority and supports the introduction of new taxes, may be burned. The party may be misunderstood by its voters. Žemaitaitis attempts to pretend that the Nemuno Aušra party is working as the opposition in the Seimas will not help, she continued.
'After all, before the elections and after being elected, he communicated that he would oppose it, but now he seems to have changed his position. His voters don't like that. Voters may think that Nemuno Aušra is not keeping its election promises. This could have consequences,' said the Head of Baltic Tyrimai.
'The only question is whether they will be disappointed and decide not to vote at all or whether they will try to find something else,' concluded Ališauskienė.
ELTA reminds that on Thursday, the Seimas will vote for the last time on whether to introduce a new format of real estate tax from next year and set three more progressive personal income tax (GPM) rates.
Initially, the Government proposed taxing the first home at a minimum of EUR 10,000, leaving the final decision to the municipalities, which would then set rates in the range of 0.1 to 1 per cent.
When these changes were being debated in parliament, public outrage erupted, and two rallies were organised. Signatures were currently being collected for an amendment to the law, which would exempt all residential housing and garden buildings from taxation.
Due to opposition to the coalition council's proposal to tax the first home of residents, the Seimas, after deliberation on Monday, approved a proposal to allow municipalities to tax it at a minimum of EUR 450,000 and within the range proposed by the Government.
The total value of non-primary residences would be added up and taxed at a rate ranging from 0.2% to 2%.