What tax on transformers

Starting January 1, 2025, a revised law on local taxes and fees will introduce new definitions for buildings and construction works, aiming to create an independent tax regulation. This change is particularly significant for technical devices like transformers and electrical switchgear, which previously depended on construction law definitions for tax classification. Historically, the Supreme Administrative Court ruled that transformers were not considered buildings, leading tax authorities to exclude them from property tax assessments. Consequently, businesses typically did not include the value of transformers and switchgear in their taxable base.