According to the Law, the subject of taxation is the sale of real estate, ie any acquisition of ownership of real estate in the Republic of Croatia, and by buying, exchanging, inheriting, donating, and otherwise, the acquisition of real estate for which value added tax is payable is not considered as an exception. Real estate tax is one of the many taxes within the Republic of Croatia, and has changed greatly over the years. From tax exemption conditions, to changing the tax rate itself from the initial 5%, to 4%, to the current 3%. The most popular statutory measure was the exemption from real estate sales tax for the purchase of the first real estate used by a citizen to resolve his or her own housing problem, which was abolished on 01.01.2017. Through this final paper, I will approximate the very process of applying the Real Estate Tax Act. The first part elaborates the scope of the tax administration and continues with the specific Law on Real Estate Tax. It is determined who the taxpayer is, which is the procedure for filing real estate sales tax, the conditions for exemption from payment of real estate sales tax, the method of collection or debt relief through the statute of limitations. At the very end of the paper, I compared the relationship between the Tax Administration and Land Registry Courts, and Croatia and the real estate sales tax with respect to other European countries and the application of this tax. The comparative method, the deduction method, the causal inference method, the analysis method, the abstraction method and the classification method were used in the research process. The aim of this paper was to explain the problem of determining the real estate sales tax and the procedure for exempting it. The elaboration or change of the real estate sales tax through the years was enacted by passing amendments to the Act. The real estate tax law in force offers a much simpler approach to taxation than before and requires significantly less documentation in the decision-making process itself. It is certain that the structure of real estate taxation will change in the future, because according to the indicators so far, Croatia is a country whose citizens are in most cases the owners of their real estate, in which case new taxation opportunities are opened.