IRAS reduces Annual Values of over 115,000 private properties in Q1

Source : Channel NewsAsia - 8 Apr 2009

The Inland Revenue Authority of Singapore (IRAS) has reduced the Annual Values of over 115,000 private properties in the first quarter of this year.

That is almost 100 per cent of the total number of properties reviewed.

With the reduction and the 40 per cent property tax rebate announced in this year’s Budget, owners of these properties will pay between 45 per cent and 60 per cent less in terms of property taxes.

In a news release, IRAS said most - 84,900 - of the properties which have Annual Values reduced are private residential ones.

IRAS has also reviewed more properties in the first quarter of this year, compared to the same period last year.

It reviewed 116,200 properties this first quarter, up from just 31,300 in the first three months of last year.

IRAS reviews the Annual Values of properties every year to ensure that they reflect prevailing rental market values for property tax computation.

It said that all private properties, including retail ones, will be reviewed by the third quarter of this year.

As for HDB flats, IRAS pointed out that Annual Values should be higher than the existing ones this year, based on current market rentals.

But it has kept the Annual Values of such flats unchanged this year in view of the poor economic conditions.