Tax rate on residential dwelling reduced from 15% to 3% |08 February 2020

• Landlords urged to pass on benefits to their tenants

Effective January 1, 2020, the business tax rate on residential dwelling has been reduced from 15% to 3%.

This is in line with the 2020 budget address pronouncement. S.I 12 of 2020, Business Tax (Amendment of Seventh Schedule Regulations, 2020) provides the legal amendments.

Government has requested that this benefit is passed on by landlords to their tenants.

Government is also working to make the necessary provision in the Business Tax Act for landlords to be required by law to pass on the benefits to their tenants.

Press release from the department of finance