HOW MODERN TECHNOLOGIES USED IN THE MASS VALUATION MAY SERVE THE STRENGTHENING OF SELF-GOVERNANCE Presented by Aidas Petrošius Advisor to Director General

MASS VALUATION: MAIN FEATURES Mass valuation of land and structures (buildings) are separate, accordingly with the separate land and buildings taxes. Property assessment is computerized and performed automatically, daily assessment of new properties is conducted. Valuation program procedures make an integral part of the real property management application. Mass valuation is centralized and performed by the Centre of Registers (certified valuers and specialists of computer technologies, GIS, cadastre are involved in mass valuation). Values (value maps and reports (61 X 2)) are approved by the Ministry of Finance (structures), the National Land Service under the Ministry of Agriculture (land). Three level appeal system is developed. Values, assessed by mass valuation are used for different purposes – public needs. Given the fact of multipurpose use of mass appraisal outcome, all real property (land and buildings) is revaluated annually, regardless of whether the property is subject to tax, Lithuanian mass valuation system was presented in different international events, articles, international projects (China, Russia, Azerbaijan, Egypt, EU countries, etc.)

1998 Start of sales data base and mass valuation methodology development 2002 First land mass valuation, subsequently annual revaluation, use of values for public needs, started formation of legal basis of property taxes and mass valuation 2005 First buildings mass valuation, subsequently annual revaluation, use of values for public needs 2006 Introduction of market value based buildings tax, development of taxable values appeals system 2013 Introduction of market value based land tax, completed formation of legal basis of property taxes and mass valuation DEVELOPMENT OF MASS VALUATION SYSTEM

STRENTHENING OF SELF-GOVERNANCE Social welfare Tax income planning Promoting efficient property use Benefiting from data integration

SOCIAL WELFARE Started as a pilot for use of mass property valuation data for purposes other than taxation Mass valuation data is used to assess applicant’s property to determine eligibility for social financial support or state guaranteed legal aid Municipal social welfare offices provided with web-based instant-answer application No costs / extra paperwork for applicants Application in active use since 2004

APPLICATION FOR SOCIAL WELFARE SERVICES

TAX INCOME PLANNING Pool of taxable property Average market value Value zones Reviewing tax tariffs Estimates on taxable value of “future” property

VALUATION OF UNREGISTERED OBJECTS

EFFICIENT USE OF MUNICIPAL PROPERTY Assessment of municipal property (incl. unregistered property) Determining initial price for property lease / auctions Projecting cots of new infrastructure

EFFICIENT USE OF PRIVATE PROPERTY Tax penalties on abandoned land results in applying of maximum (4%) tax tariff

CHANGES OF ABANDONED LAND

Taxation values, average market values, value zones, market activity, abandoned land Public infrastructure, points of attraction, licenses Zoning, construction permits, other official municipal information and data Utilities, waste management, pollution DATA INTEGRATION: REGIA