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Discussion Starter · #1 ·
Hi
I'm moving to Sharm in April when our apt should be ready. Can anyone explain this new property tax i've heard about please?

How much is it and where do we get the forms from?. Is it like council tax in the uk and is it paid monthly or yearly

Thanks x:confused:
 

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You just have to register before the End of March, then the tax department will contact you about the amount to be paid.
 

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Hi
I'm moving to Sharm in April when our apt should be ready. Can anyone explain this new property tax i've heard about please?

How much is it and where do we get the forms from?. Is it like council tax in the uk and is it paid monthly or yearly

Thanks x:confused:
It is a tax paid annually based on 10% of the estimated annual rental income (regardless of whether you rent of not). As others have said, the forms must be submitted by end of March 2010. There is an equation for calculating the tax based on the estimated value of the apartment, decided by the tax committee. All this information should be on their website.

If your apartment's estimated worth is less than 500,000 LE then you are exempted from the tax. Above this value and you will be liable, but the annual tax amounts seems to be very low (from what I've seen a good meal out would cost more!).

In some projects the resort's managers are submitting the forms on behalf of owners, others are looking to their lawyer for support (in most cases the lawyers do it complimentary for their clients as a good gesture for using their services).
 

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Discussion Starter · #6 ·
It is a tax paid annually based on 10% of the estimated annual rental income (regardless of whether you rent of not). As others have said, the forms must be submitted by end of March 2010. There is an equation for calculating the tax based on the estimated value of the apartment, decided by the tax committee. All this information should be on their website.

If your apartment's estimated worth is less than 500,000 LE then you are exempted from the tax. Above this value and you will be liable, but the annual tax amounts seems to be very low (from what I've seen a good meal out would cost more!).

In some projects the resort's managers are submitting the forms on behalf of owners, others are looking to their lawyer for support (in most cases the lawyers do it complimentary for their clients as a good gesture for using their services).

Hi Sam

Thanks very much for that information. I did e mail my lawyer last night but no reply so far but its early yet.
i am just worried as i will miss the deadline as im not coming out till mid april. but i asked the lawyer if i could download the form and send it to him.
my problem is that some of the stuff on the form i dont know about as the apt we are going to live in is off plan and i dont know the information about the elec/water etc.

i have another apt too which i am going to rent out which cost me £50000.
The off plan i bought was only 395000LE at the time of purchase so do you know if they go by that figure when assessing or by what it is worth when it is finished

i did go on to the ministry of finance website this morning but it doesn't tell you much and their FAQs are in arabic

thanks
 

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Hi Sam

Thanks very much for that information. I did e mail my lawyer last night but no reply so far but its early yet.
i am just worried as i will miss the deadline as im not coming out till mid april. but i asked the lawyer if i could download the form and send it to him.
my problem is that some of the stuff on the form i dont know about as the apt we are going to live in is off plan and i dont know the information about the elec/water etc.

i have another apt too which i am going to rent out which cost me £50000.
The off plan i bought was only 395000LE at the time of purchase so do you know if they go by that figure when assessing or by what it is worth when it is finished

i did go on to the ministry of finance website this morning but it doesn't tell you much and their FAQs are in arabic

thanks
Hi,

The law only applies to completed properties. So if your off plan property will not be completed by the end of March then it does not apply yet, but you will need to complete and submit the form once it is completed. It will then be assessed on the current market value of the property, and the market value gets reassessed every 5 years.

If you have direct contacts for the developers you could also contact them to see if they will be completing the forms on behalf of owners as and when the properties finish.

Sam
 

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Hi
I'm moving to Sharm in April when our apt should be ready. Can anyone explain this new property tax i've heard about please?

How much is it and where do we get the forms from?. Is it like council tax in the uk and is it paid monthly or yearly

Thanks x:confused:
Hi,
We have just emailed copies of our passport and sales contract to our lawyers who are taking care of our tax form. Our property is under the tax limit and we should be free from tax. I would imagine your contractors would be able to help you when need.
 

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Discussion Starter · #9 ·
Hi,
We have just emailed copies of our passport and sales contract to our lawyers who are taking care of our tax form. Our property is under the tax limit and we should be free from tax. I would imagine your contractors would be able to help you when need.

Thanks very much for that. I've just found out that my first apt is expempt from the tax as it's still off plan, but will have to fill in the forms for it once it is finished. At the moment it is under the price guideline so i hope they mean the price i paid of it and not the price it is worth when it is finished. my second apt will be liable but i will take your lead and e mail a copy of my passport to my lawyer and as the contract he has the contract with him so will have all the information at hand

cheers
 
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