real estate and property tagged posts

Canada Foreign-Buyer Tax Proves Effective

January 9, 2017 Taxation in Canada

Vancouver 2015VANCOUVER – Canada’s attempt to use taxes to stop sky-rocketing housing prices appears to have worked, although more data is needed before authorities can confirm the full effect of the tax measure.

The latest data made available by the Ministry of Finance of Canada has shown that the number of property transactions involving foreign buyers in the province of British Columbia has fallen significantly since the introduction of a tax on foreign purchases.

Approximately 5 months ago the province of British Columbia introduced a 15 percent tax on the purchase of property by foreign buyers.

The tax was intended to rein in widespread speculative purchases by foreign investors.

Purchases by foreign buyers who do not live in Canada has been a factor widely attributed to significant rises in resi...

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Israel’s Hunt For Ghost Apartments Not Succeeding

November 17, 2016 Taxation in Israel

Empty ApartmentTEL AVIV – Israel’s tax on empty property is not seeing the expected results, as authorities are unable to locate the empty apartment.

On November 15th the Knesset of Israel revealed that the new tax on “ghost apartments” has not had the intended effect, with only a small portion of taxpayers who should be required to pay the tax being made aware of their obligations.

Earlier this year the government of Israel enacted a new regulation which required that a taxpayer pays double the standard rate of property tax on vacant residential property.

The rate for these so-called “ghost apartments” is ILS 223.56 per square meter of the apartment.

It is estimated that there may as many as 48 000 empty residential apartments in Israel, with a significant portion belonging to overseas owners ...

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Tanzania To Levy Tax on Empty Land

October 17, 2016 Taxation in Tanzania

Tanzania Levys Empty land TaxDODOMA – Tanzania hopes to discourage land hoarding by charging high taxes on ownership of empty residential land and under-utilised farms.

Over the weekend the Minister of Lands, Housing and Human Settlement Development of Tanzania William Lukuvi launched the government appointed National Land Use Planning Commission, and announced that the government intends to enact a new tax on land hoarding.

The Minister stated that from July next year landowners who do not develop their land will be hit with punitive levels of taxation.

It is hoped that the taxes will encourage landowners to either begin development of residential housing or to sell their tracts of land to other developers who will make use of the space.

Similar taxes will be applied to unused agricultural land, with the taxes to be...

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New Zealand Wont See Property Investment Tax

October 11, 2016 Taxation in New Zealand

House TaxAUCKLAND – New Zealand will not have a tax on property investment by foreigners, despite renewed calls from the Mayor of Auckland.

On October 11th the Prime Minister of New Zealand reiterated the government’s stance that no new taxes will be implemented on the purchase or sale of properties held by foreign investors.

The Prime Minister’s statement came after a renewed call for a tax on investment by foreigners by the newly elected Mayor of Auckland, Phil Goff.

The Prime Minister explained that if the intention of a tax on investment by non-residents was to dampen the demand for housing, then the tax would not have a significant effect, as the tax would not target the right demographic.

John Key added that if the Mayor wanted to see an improvement in the affordability of housing in Ne...

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Wales Eyes Its First Devolved Tax Power

September 13, 2016 Taxation in UK

CARDIFF – Welsh parliamentarians are now debating the first new piece of tax legislation introduced in the country in the last 800 years.

On September 13th the Bill for a Land Transaction Tax was introduced in Wales, which is set to replace the current Stamp Land Duty Tax.

The new tax is the first new tax to be introduced in Wales in the last 800 years.

The introduction of the Land Transaction Tax comes as part of the devolution powers granted to the government of Wales by the government of the UK.

The new tax is intended to raise approximately GBP 250 million in taxes per year.

The rates for the new tax have not yet been set, and are scheduled to be finalised in autumn 2017.

The Land Transaction tax will be levied at the time of purchase or lease of land, property or buildings in Wales,...

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