Lower property taxes for 95% owner-occupied homes in 2014

SINGAPORE - Most owner-occupied homes will have to pay less in property tax next year, the Inland Revenue Authority of Singapore (IRAS) said on Tuesday.

Under the new Progressive Property Tax Rates regime announced during Budget 2013, all owner-occupied HDB flats and three quarters of owner-occupied private homes - or 95 per cent of owner-occupied homes - will see lower property tax bills.

Taking into account non-owner-occupied homes as well, 80 per cent of all homes will pay lower property tax in 2014.

With the new property tax structure, the Annual Value (AV) exemption threshold for which no tax applies will be $8,000, up from $6,000 previously. Owners who live in their own homes will not have to pay property tax on the first $8,000 of the Annual Value (AV) of their properties from Jan 1, 2014.

The new property tax structure also increases the progressivity of the property tax structure by taxing properties with higher AVs more.

A property's AV, which Iras reviews annually, is based on the estimated annual market rent of the property if it was to be let out. This is then used as a basis to compute the property tax payable.

The AV of three to five-room HDB flats will be revised next year, as market rents for these flats have increased by about 3 per cent since the last revision in January this year.

There will be no change to the AV of the other types of flats as rents on these flats have remained largely the same.

This means that all one and two-room HDB owner-occupiers will continue to pay no property tax.

Other HDB owner-occupiers will enjoy property tax savings ranging from $28 to $40 in 2014, IRAS added.

In total, 80 per cent of all homes will face lower property tax in 2014.

The property tax payable for HDB owner-occupied flats in 2014 are as follows:

AV and Property Tax for Owner-Occupied Private Residential Property

The market rents of 70 per cent of private residential properties over the past year have remained largely the same since the last AV revision. Only 30 per cent saw an increase in AV. Under the new property tax structure, 74 per cent of private owner-occupiers will pay less tax in 2014.

Property tax rates for non-owner-occupied residential properties with AVs above $30,000 will be increased gradually from January 1.

With this change, 74 per cent of non-owner-occupied private residential properties and HDB flats will have higher property taxes after applying the new tax rates on their 2014 AVs.

Property owners will receive their property tax notices and bills by the end of this year, and are reminded to pay their property tax by January 31.

ljessica@sph.com.sg

Tuesday, Nov 26, 2013

Source: AsiaOne

Can you use your CPF to repay housing loans after 55?

Whether your CPF can be used to repay housing loans after 55, depends on how much CPF savings you have at 55, and how much you have already used for housing. 

When you turn 55, a Retirement Account (RA) is created using savings from first your Special Account, then Ordinary Account (OA) to meet the Minimum Sum (MS) relevant to your cohort. While the MS provides monthly payouts from your draw down age, the balance in your OA can be used for housing loan repayments. 

Members who are able to set aside more than half of the MS, will be able to use the amount in excess of half of the MS for housing loan repayments. 

For example: 


If you continue working after 55, your CPF OA contributions can also be used for housing loan repayments. 

However, housing withdrawal limits may apply. This is to safeguard members from overspending on their housing loan repayments at the expense of their retirement savings.

Source: CPF

Draft Master Plan 2013

Our Future, Our Home. Draft Master Plan 2013 exhibition at URA

Published Date: 20 Nov 2013

The Urban Redevelopment Authority (URA) announced the opening of the Draft Master Plan 2013 exhibition today. The key focus of the Draft Master Plan 2013 is to build townships for all ages that are green, healthy, connected, strong in community interaction and spirit, and to bring quality jobs closer to home.

The Draft Master Plan 2013 aims to make Singapore a better home for our people through: 

• Providing a quality living environment with a variety of housing options 
• Bringing quality jobs closer to home and growing the financial and business hub in the city 
• Expanding green and recreational spaces for all 
• Building an endearing home 
• Enhancing our transport connectivity and accessibility 
• Enlivening our public spaces

A quality living environment 

Singaporeans will continue to enjoy a good quality living environment in new housing areas at Bidadari, Tampines North and Punggol. Established towns such as Sembawang, Yishun, Hougang, and Choa Chu Kang will be rejuvenated with new homes, providing more options for those who prefer to live near their families for mutual care. 

A range of housing types will be provided in new and existing estates. Every new and existing town will boast a quality living environment, with green and community spaces for residents to relax and interact. Walkability and cycling routes will be key features, alongside a good distribution of amenities.

The housing concepts at Marina South and Kampong Bugis will be fenceless, green housing developments to encourage community interaction. These features will provide a conducive environment for pedestrians and cyclists. 

Refer to Annex 1 for more details on plans to create a quality living environment.

Some points from Annex 1 relating to Punggol:

- There will be more housing choices in diverse locations with the development of new 

housing areas at Bidadari, Tampines North and Punggol Matilda. These new housing areas will 

provide a quality living environment through abundant greenery and vibrant community spaces 

to encourage interaction and community bonding. Good distribution of amenities throughout the 

estate and well-connected pedestrian and cycling networks will make it more convenient for 

residents to walk or cycle to the different facilities and meet their daily needs. For more 

information, refer to the Housing & Development Board’s (HDB) press release. 

- HDB’s Remaking Our Heartland initiatives will rejuvenate existing towns and housing 

estates such as Punggol, Bedok, Yishun, Jurong, Hougang and Dawson, improving the living 

environment and adding community spaces to encourage social interaction among residents.

More jobs near home 

Providing good and diverse jobs for Singaporeans will strengthen Singapore’s status as a global financial and business hub. The Draft Master Plan 2013 will set aside sufficient land to grow our diversified economy and bring jobs closer to home. 

To enable Singaporeans to work closer to home, reduce commuting time and ease congestion during peak hours, we will continue to grow regional employment centres such as Jurong Lake District, Tampines Regional Centre, and Paya Lebar Central. New growth areas across the entire stretch of the North Coast Innovation Corridor will begin to take shape with the Woodlands Regional Centre and the Punggol Learning Corridor and Creative Cluster. New industrial sites at CleanTech Park, Wenya, Jurong West and Tuas in the west, and Seletar West and Lorong Halus in the north-east, will offer new job opportunities. 

We will also continue to grow the Central Business District and Marina Bay, the heart of our business and financial sector. Within the city centre, a new retail and entertainment spine at Bayfront Avenue will be created, bringing additional job opportunities and more buzz to the Bay.

Refer to Annex 2 for more details on new growth centres, including the Woodlands Regional Centre.

Some points from Annex 2 relating to Punggol:

- One of the major new initiatives is the North Coast Innovation Corridor that will begin to 

take shape with exciting new developments at the Woodlands Regional Centre and the Punggol 

Learning Corridor and Creative Cluster. This will become an attractive major employment node for 

residents in the north and north-eastern part of Singapore.

- The Punggol Creative Cluster will house innovative industries with green areas, community 

spaces and waterfront views that will provide an attractive work and play environment. The 

Learning Corridor will be anchored by a tertiary institution and have strong ties to the Creative 

Cluster. 

For more info: URA News , URA Draft Master Plan 2013 , URA Draft Master Plan 2013 North-East Map

Source: URA