New tax relief measures reduced state revenue from inheritance and property gifts in 2025.
First, authorities expanded tax exemptions. As a result, revenue dropped sharply.
Data from the General Directorate of Taxes show collections at 16.2 million lekë in 2025. This marks a fall from 35.8 million lekë in 2024. Therefore, revenue declined by 54.6%, or 19.6 million lekë less.
Compared to 2023, the drop is even steeper. At that time, revenue reached 84.4 million lekë.
The government introduced legal changes in January 2024. In addition, the Ministry of Finance issued new guidelines. Together, they reshaped how authorities tax inherited and gifted property.
Under the new rules, authorities exempt close family transfers from the 15% tax. Specifically, this includes spouses, children, and siblings. However, the exemption does not apply to first cousins.
Moreover, authorities apply partial exemptions to more distant heirs. They exempt property values up to 5 million lekë.
They also remove tax in cases where the asset was previously declared or taxed by the donor or the deceased.
As a result, the new framework reduces the tax burden on families. At the same time, it lowers budget revenue.
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