Housing in Southern Africa March 2015

Housing

duty taxes

struggling to raise revenues; GDP growth is slipping; the trade deficit continues to widen. The rand is crum- bling. It is, admittedly, a difficult bal- ancing act to adjust taxes before elec- tions. Is one partial solution to slash levies which are counter-productively

high such as transfer duty? Could wedareexpect awaveof Laffer-style tax cuts?” One thing is sure; doing away with transfer duty – or at least reducing it substantially -wouldcer- tainlyboost thehousingmarket and ease the burden on home buyers. ■

In summary, the following was announced in the Budget: A 0% transfer duty rate will be charged for a property acquired for less than R750 000; A 3% transfer duty rate will be charged for property worth between R750 001 to R1 250 000; A 6% transfer duty will be imposed on properties bought for R1 250 001 to R1 750 000; Properties bought for R1 750 001 to R3 million will see buyers paying 8% in transfer duty. A transfer duty of 11% will be charged for properties bought for R3 million and above.

Assuring Quality Homes Since 1998 The NHBRC is a statutory body whose role is to protect the interests of housing consumers and to regulate the home building industry – in line with the Housing Consumers Measures Protection Act.

Toll Free Number: 0800 200 824 / Fraud Hotline 0800 203 698 / Webpage: www.nhbrc.gov.za / Tel: +27 11 317 0000

Assuring Quality Homes.

@NHBRC NHBRCSA

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