Original issue June 20th, 2018
Updated December 16th, 2018 (see changes in red)
1. All Property Taxes between 1st January 2010 and 31st December 2017 have been waived.
2. It has been announced that the ‘new’ Property tax for 2018 has also been waived. This tax will now commence in 2019.
3. A new Valuation Return Form has been designed which requests more information than the previous one. There has been no official word from the Ministry on when property owners would have to file this return.
4. There is a fine of $5,000 for failing to submit this form when requested.
5. Property owners will have 30 days to object to their assessment.
6. There will be a Valuation Tribunal appointed to hear objections.
7. The Valuation Tribunal will be headed by an Attorney and will comprise four other persons, two of whom will have qualifications and experience in Valuations.
8. There is a $50,000 penalty for leaking of owners’ information.
Nevertheless, a big drawback for homeowners is that unless the rental data supplied to the Commissioner of Valuations on the new Valuation Return Form is shared, it will be very difficult to prove an assessment is too high. This puts homeowners at a severe disadvantage as while property sales are registered and available to the general public, rental leases are hardly ever registered. Rental information is therefore extremely hard to come by and one often has to rely on verbal information from other property owners and real estate agents.
Further fact sheets will be issued as and when additional information becomes available and will be published on this website.
Your Property Tax on a residence will be calculated as follows:
- The monthly rental value (unfurnished) of your home will be determined by the Commissioner of Valuations.
- This monthly rental value will be multiplied by 12 to determine the annual rental value. subject to a minimum of $18,000.
- It is currently proposed to deduct 10% from your annual rental and the remainder will represent your taxable value. It should be mentioned that this deduction can be changed at the discretion of the Board of Inland Revenue.
- 3% will be calculated of your taxable value and this will represent your Property Tax.
- For commercial properties the method remains the same but 5% of your taxable value will be your Property Tax
To see samples of Property Tax values click the "Property Tax" button under this paragraph to go to our Property Tax Self Estimate calculator.