Real Property Tax (Amendment) Act, 2015 (No. 22 of 2015)

        REAL PROPERTY TAX (AMENDMENT) ACT, 2015 Arrangement of Sections Section 1. Short title and commencement .... .. .. .. ... ... .. .... .... .. .. ....... .. ..... 2 2. Amendment of section 2 of the principnlAct ... ....... ...... ... . ... ... ... ....... ....... 2 3. Amendment of section 3 of the pn llcipalAcl. ... .. ... .... .... ... ..... " .... " ....... ..... . ,2 4. Insertion of new section 20A into the princlpal Act . . ............ , '" ". ..... . ...... 3 5. Insertion of new sedion 2Ie into the principal Ac t. .... .. ........... . . .4 6. Amendment of section 25Aoftht: principal Acl. .. .. .......................................... .. .4 7. Am~ndment of section 42 of the principal Act. ........... .............. .... .. ... .. ... ... .. .. ... S No. 22 of2015 REAL PROPERTY TAX (AMENDMEl\"T) ACT, 2015 AN ACT TO AMEND TilE REAL PROPERTY TAX ACT [Date of Assent - 30~ June, 20 IS] E nacted by the Parliament of The Ba hamas 1. Short title and commencement. ( \) This Act, which amends the Real Property Tax Act (Ch.375), may be c ited a:-.lhc R"'lIi Property Tax (Aml."T1 dmen l) Act, 2015 , (2) This Act ~hall come into operation on the I- day of July, 20 15. 2. Amendment of section 2 of the principal Act. Section 2 of the principal Act is amended by inserting in the appropriate alphabetical order the following new defini tion '''' residenti al properly" means any property, that is not owner·occupied, compristng not more than four units, exclusive of outbuildings. beneficially owned by a citizen of The Hahamas, used solely 3S a d\1,Ielling place and from \ .... hich no commercial enterprise is conducted;". 3. Amendment of section 3 of the principal Act. Section 3 Oflhc principal Act is arnended Page. 2 (a) in subsection (2), by deleting the word "20 13" ilnd substituting thereafter the \ .... ord "2016"; (b) ill subsection (2)(3)(i), by deletmg the words "three quarters" and !>ub!>lituting the words "fi\le .t: i ~h thR"; (e) by inserting therefor immcdialdy alli:r subsect ion (2)(b) the follOWIng new paragraph "ebb) in rcspccl o l" residen lial property 0) wheee the assessed value does not exceed seventy (i VI: thnu~antl Jollars, a tax of three hundred dollars; (ii) where the assessed value ex ceeds seventy- li ve thousand dollars, a tax payable at the rate of ti ve eighths of olle per centum pcr annum on the assessed wilue oflhe propeny"; (d) in subsection (2)(c)(i), by deleting the word "one" and substituting the words "Ihree quart ers of onl:". 4. Insertion of new section 20A into the principal Act. The pnncipal Act is amended by inserting immediatel y after section 20 the following new sections "20A. 'fax reduclion for pensioners. (1) Subject to subsection 3, every person who satisfies the Chief Val uation Officer that he is (a) a citi zen of The Bahamas; (b) entitled to a retirement benefit under the National insurance AcL (Chapler 350) or has attained the age of sixty-five years; and (c) the beneficial owner of property which is occupied by him ~xclusive ly il S hi s dwell ing house and that he l./ualifles fur owncr occupier exemption under this Act, is entitled to receive a reduction of fifty percent 011 the balanu: of the annual Lax payable on such owner occupied property arkr the deduction or the O\'I'ner occupier exemption. (2) The reduction provided for in subsection (1) is limited to the lax payable In respect of th" first une million dollars of the assessed value of such owner-occupied propelty and the person described in subsection (1) shall be liable lor the t:n Lin: amounL 0 1" the Lax paYllblt: on Lhat part or the assessed value of the property which exceeds one million dollars. (3) Every person seeking a tax reduction under subsection (I) shull furnish proof of his entitlement to the Chief Valuation Oll ieer and shall return to the Chief" Valuation Officer in the prescribed form a declaration that he is the beneficial owner in occupation of the property. Page - 3 20B. Tax reduction for current accounts. NOlwithstanding any provision of tfllS Act prescribing the rates at whieh taxes shall be charged, levied, collected and paid, if any tax and any surcharge rdatmg thereto is paid in full on or before Mareh 31 il in any ye ar, then: shall be deducted therefrom a swn equal to ten per centum of the tax due and payahle.". 5. Insertion of new section 21 C into the principal Act. The principal Aet is amended hy inserting immediate ly after section 21B the follow i ll~ new scetion "2] C. WaiY~r of surcharge for standing orders. (1 ) At any time during the period beginning 1" July 2015 and ending 31" December 20 15, a person registered as the owner of residential property or owner-occupied propelty may enter imo an agreement for not more than ~e'\"en year~ wI Lh tht: Chief Valuation Officer for the paymenl oft:;x and lax arrears, by salary deduction 01' standing order to the Chief Valuation Officer and upon en tering into such agreemen L, the Chit:!" Valuation Officer shall waive any surcharge payable on the tax. (2) Notwithstanding subsection (1) if the property being the subject of the agreement is sold during the period or tht: waiver, tht: entire tax. including the surcharge shall become due and payable.". 6. Amendment of section 25A of the principal Act. Section 25A of the principal Act is amended by Page - 4 (a) deleting the words "unimproved property" (i) 111 subsection (1), where they first occur, and substituting the words "property not beneficially u·wncd by a Bahamian" therefor lind where they occur next suhsLiluting tht: words "said property,"; (ii) in subsection «i) , and substituting the words "property referred to in subsection (1)"; and (i ii) in subsection (7), where they first occur, and substituting the words "property not beneficially uwned hy a Rahamian" and \ ... ·herc they uccur next substituting the words "said property"; and (b) inserting inunediately after subsection (14), the following new subsection "(15) Subsection (1) sh:lll not apply whcre the Chief Valuation Officer is satisfied that the property (aOl) is ov.mer-ocwpied; (bb) is occupied by lhe owner for not less than eleven consecutive months in a calendOlr year; and (cc) does not comprise a multi-purpose building.". 7. Amendment of section 42 of the principal Act. Sect ion 42( 1) of the principal Act is amended by inserting immediately after paragraph (n) a new paragraph as following "(aa) property owned by a non-profit company incorporated for the purpose of promoting religious objects which is excillsi.'ely for, or the profits (i f any) and o1her income of ",,·hieh is applied to promoting Of racihLaling religious objccts." . Page - 5