Planning fee – what is it and how much is it?

When a city's or municipality's spatial development plan changes, our land may increase in value. If we sell such a property within 5 years of the change to the municipal plan, a planning fee (the so-called "planning rent") will be imposed on us. Its amount is regulated by Polish law. Find out more!

• Who pays the planning fee?
• The amount of the planning fee
• When is no fee charged on the increase in a property's value?
• The planning fee – what else do you need to know?

Who pays the planning fee?

If you own an agricultural plot which, as a result of a new resolution adopting the municipality's spatial development plan, is reclassified as a building plot – its value will rise. Consequently, if you wish to sell it within the following 5 years, the mayor (burmistrz) or head of the municipality (wójt) may impose on you an obligation to pay a "planning fee".

The act sets out this process as follows: Journal of Laws of 2016, item 778 (as amended), Art. 36(4): if, in connection with the adoption of a local plan or its amendment, the value of a property has increased and the owner or perpetual usufructuary (użytkownik wieczysty) sells that property, the head of the municipality (wójt), mayor (burmistrz) or city president (prezydent miasta) collects a one-off fee set in that plan, determined as a percentage of the increase in the property's value.

The planning fee results from the increase in the value of our property as a consequence of changes made to the local spatial development plan, and it applies to every property covered by the plan.

The amount of the planning fee

The obligation to pay is imposed by the mayor or the head of the municipality. The planning fee is a percentage of the increase in the property's value and cannot exceed 30%. The amount of the fee itself is always stated in the given spatial development plan.
But what happens if, as a result of the changes, the value of our property has fallen? If, as a result of changes to the municipal plan, our property can no longer serve its former purpose, or that possibility has been significantly restricted, we can demand the following forms of redress from the municipality:

• compensation for the actual loss suffered
• purchase of the property or part of it by the municipality
• obtaining a replacement property

When is no fee charged on the increase in a property's value?

An exception to the rule (for farmers) is when there is a transfer of a farmer's ownership rights to a successor free of charge (a son, a grandson). However, if the successor to the land rights decides to sell it – the fee will then be charged.

READ ALSO: CONVERTING AN AGRICULTURAL PLOT INTO A BUILDING PLOT

The planning fee – what else do you need to know?

Remember that you have the right to know the amount of the planning fee (also called the planning rent). If a new spatial development plan is being adopted in your municipality, you can apply to the mayor or the head of the municipality to have the amount of this fee determined. It should be noted that the planning rent is not obligatory. If there are grounds for imposing it, the municipality is obliged to do so.

The value of the property is determined each time on the basis of a valuer's report, not on the basis of the value stated in the notarial deed (akt notarialny). If you are not sure of your rights or are looking for a way to sell your property, contact the estate agency REMAX Gold. Our specialists will help you prepare an excellent sales listing for your land that will attract potential buyers.