ANNUAL VALUE OF PROPERTIES (Reassessment)

Mr Ng Kah Ting: To ask the Minister for Finance whether he is aware that when land prices were continually increasing prior to September 1973 the Comptroller of Property Tax continually increased the annual value of properties and whether, now that and prices have fallen, the Comptroller of Property Tax will correspondingly lower the annual value of properties.

Mr Speaker: Mr Ng Kah Ting.

Mr Yeo Toon Chia: Mr Speaker, Sir, Question No. 29.

Mr Hon Sui Sen: Sir, the annual value of a property is the gross amount at which the property can reasonably be expected to be let from year to year. In the case of vacant land, the annual value is based on 5% of the market value of the land. Thus, the annual values reflect market conditions.

The Property Tax Department does from time to time review the annual values of properties and where warranted, reassessments have been made. In addition, property owners can raise objections at the time of reassessment or when the valuation list for the ensuing year is open for public inspection annually in August.