Construction remains the main source of income for municipalities in the country. In just 3 months in 2022, they collected €73 million euros in taxes alone – 54% more than the previous year.

Construction taxes increased government revenue by 8.6 billion ALL in the first 3 months of 2022, becoming the main source of income for the country’s municipalities.

This positive performance from the collection of municipal taxes led to an increase in revenue from the infrastructure impact tax as a result of new construction projects. An increase in the real estate tax was also registered. Together, these two taxes represent about 93% of the total revenue from local taxes for the period in question.

Revenues from the infrastructure impact tax from new constructions reached a level of about 4.4 billion ALL or €37 million euros, an increase of about 96%.

In Tirana alone, this tax accounts for 80% of the total volume, while in the other 60 municipalities, the amount collected was €7 million euros.

INSTAT reported that in this same time frame, the number of building permits issued during the first quarter of 2022 increased by 60%.

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