Guidelines on Reduction of Building Tax Claims

The Minister of Home Affairs explained, the guidelines for reduction for current building tax for 2021 to building tax payers. According to Yang Berhormat, the Building Tax relief rate are given to Building Owners who rented their building space to other businesses with condition the building's owner reduces the rent for a period of at least five consecutive months beginning 1st of August 2021 in which the building's owner who reduce the monthly rental to tenants by 10 to 14 per cent will be given a Building Tax relief of 20 per cent. Yang Berhormat added, building owners who reduce the monthly rental by 15 to 19 percent will be given a Building Tax relief of 35 percent while building owners who reduce monthly rental by 20 percent will be given a Building Tax relief of 50 percent. Meanwhile, for building owners who do not provide a reduction in monthly rental or a reduction of only less than 10 percent of the monthly rent will not be given Building Tax relief.

By taking into account the latest Government's policy on movement restrictions from 8 in the evening to 4 in the morning from 4th October 2021, for Building Owners who use the building for their own business purposes, the tax relief rate is given after the Ministry of Home Affairs, The Municipal Departments with the Registration of Company and Business Names Division, ROCBN, Ministry of Finance and Economy will examine and ensure that the business is truly the business owned by the owner of the building:

The tax relief of 50 percent is given for five months from 1st August 2021 to 31st December 2021 to high-impact business categories that have been ordered to close and affected in terms of income following the outbreak of COVID-19 on 7th August 2021, namely:

Gyms and fitness centres; Indoor and outdoor sports facilities; Beauty salons and barbershops under the Beauty and Health Establishment; Internet cafes; Leisure Centres; Cinemas; Children Playground; Child Care Centers or Daycare; Driving schools; Gallery; Trade; Industrial; Special Properties; Grocery stores / super stores / supermarkets; Restaurants; and Tailor shops.

Source: Radio Television Brunei