Wafi says excluding off-plan sales from real estate tax stimulates investment

Logo of Off-Plan Sale or Rent Committee (Wafi)

Saudi Arabia’s Off-Plan Sale or Rent Committee (Wafi) stated that the recent amendments to the executive regulations of real estate transaction tax, which excludes off-plan sales from tax, will greatly stimulate investment in the real estate sector.
 

This will also boost the supply of housing units and reduction of home ownership costs for Saudi families.
 

Naif Al Sharif, Secretary General of Wafi, said the amendments will motivate land owners and developers to successfully develop projects under the off-plan sale system and benefit from its advantages, which will enhance the supply of housing units and multiplicity of options in the real estate market. The move will also reduce home ownership for Saudi families.
 

Zakat, Tax, and Customs Authority (ZATCA) made earlier this month amendments to the executive regulations of real estate transaction tax, which excludes off-plan sales from the tax, according to data available with Argaam.