TAX ON PROPERTY

Property Tax Refund on Vacant Residential Buildings Undergoing Building Works

Government's objective has always been to promote home ownership in Singapore. It is in support of this, that property tax on owner-occupied residential properties is levied at the concessionary rate of 4% of annual value as against the full rate of 16%. This year, I intend to give a further concession by allowing a refund of property tax on vacant residential buildings undergoing building works provided the building will be owner-occupied following completion of the works. The tax refund will be limited to a maximum period of two years. This concession will take effect from 1st April, 1991. The revenue loss arising from this concession is estimated to be about $5 million a year.