The "Pensioners Together" bloc (BUZ), a political group representing Croatian pensioners, has come out strongly against the proposed property tax in Croatia.

BUZ claims that “there is no doubt that the government, under pressure from the European Commission, has decided to introduce a property tax despite knowing that the proportion of privately owned houses and flats in Croatia is much higher than in other EU countries”.

Heavy burden on an already low incomes

“Our citizens have saved for decades by investing in property, and now this burden will be hard to bear for many with their already low incomes. For example, a person with €100,000 in the bank will pay no tax, while a person with additional property will have to pay up to €1,000 in tax,” they explained, questioning the logic behind the policy.

They believe that the new tax will force many to sell surplus properties, probably to foreign buyers who will then use these properties commercially, especially on the Adriatic coast, without paying taxes.

The BUZ also criticises the government for increasing the pension tax threshold from €560 to €600. It is contradictory to help pensioners who earn up to €840 and at the same time tax all pensions above €600.

The government is demonstrating incredible arrogance and insensitivity

“What kind of help is it if someone with a pension of €840 receives a one-off ‘help’ of €60 in October, only to pay €80 in tax over the next three months?” they ask.

They believe that the threshold for the tax-free portion should have been raised to match the amount eligible for the aid, which is €840.

“In the previous two terms, the government has shown neither empathy nor understanding for those in need, and now, at the beginning of the third term, it is demonstrating incredible arrogance and insensitivity,” BUZ stated, adding that a state secretary at the Ministry of Labour, Pension System, Family and Social Policy was appointed from the ranks of the Croatian Party of Pensioners (HSU), “a person without knowledge or education, with a net salary of over €4,000″.