Yangon’s standard land prices reduced 10pc
Land prices on a per square foot basis in Yangon’s townships for the 2019/2020 fiscal year has been reduced by 10pc compared to the last fiscal year in order to support more sales transactions as well as encourage landowners to pay their taxes.
The standard land prices were released by the Inland Revenue Department earlier this month and these prices would be used for tax assessments in real estate sales.
iMyanmarHouse.com managing director U Nay Min Thu said the reduction in prices was implemented after it was found that government standard prices were higher than actual market prices.
“Prices were reduced and this may boost sales as well as encourage more people to pay taxes from land sales,” he said, adding that this move would be good for government coffers due to higher revenue collection.
Meanwhile, Estate Myanmar Real Estate’s U Htoo Myat Naing said the government would need to do more than just a 10pc reduction in land price to reduce tax evasion.
“The 10pc reduction in price would not have a significant effect when the property market is sluggish. Reducing land prices without reducing the tax rate will not bring significant changes to the market,” he said. – Translated