Croatian tax authority admits mistake after residents wrongly billed for property tax

ZAGREB, 5 March 2026 – Croatia’s Tax Administration has acknowledged a mistake after a number of citizens received property tax decisions for 2025 despite owning homes that should be exempt from the tax.

In recent days, official notices have been arriving in letterboxes across the country outlining property tax obligations for the year. However, among those who received them were residents who live permanently in their properties and landlords who rent their homes long-term, both categories that are not subject to the tax.

The situation has caused confusion and frustration among homeowners and property owners.

Residents surprised by unexpected bills

One Zagreb resident told HRT he was shocked to receive a notice demanding payment of €200 for the flat in which he lives permanently.

He immediately lodged an appeal with the tax office, saying the situation placed the burden on citizens to prove their status even when the mistake was not theirs.

“I think it’s a lot, but the problem is they don’t see it or know it themselves. You have to prove everything,” he said after submitting his complaint.

Long-term landlords also affected

The issue has also affected landlords who rent out properties on a long-term basis.

According to Vedran Tomić, president of the Association Save Small Family Renters, dozens of members have reported receiving similar tax decisions.

Many of these owners rent their properties for more than ten months of the year under long-term contracts, which should exempt them from the property tax even if the property is occasionally rented short-term during the remaining months.

Tomić said the notices had come as an unpleasant surprise to many and added that the situation had further increased frustration among small private landlords already dealing with higher taxes and regulatory changes.

Government admits responsibility

Officials say the error occurred due to inconsistencies between several state databases used to determine property tax liability.

These include address records from residency registers, municipal fee databases and other administrative systems.

Sarajka Stanić, a department head at the central office of the Tax Administration, said that regardless of how the error occurred, the authority would correct all incorrect decisions.

The mistake was also publicly acknowledged by Croatia’s finance minister.

Tomislav Ćorić, Deputy Prime Minister and Minister of Finance, apologised for the situation, saying responsibility lies with the state.

“There is no shifting responsibility. Obviously we made a mistake and we apologise once again to everyone,” he said.

What affected citizens should do

Citizens who received incorrect property tax decisions are being advised not to pay the bill but instead to contact the Tax Administration.

Complaints can be submitted through the ePorezna system via the eGrađani platform, by email to local tax offices, by post or by visiting tax branches in person.

Authorities say citizens only need to provide their name, personal identification number (OIB) and the reference number of the tax decision they received.

The Tax Administration added that anyone who has already paid the tax despite being exempt will receive a full refund.

Data corrections underway

Officials say they are now working to reconcile databases and correct the affected decisions. The Tax Administration has emphasised that all incorrect rulings will be amended once appeals are processed.