1. No category

2/23/2015
Session 22
Subject: Land Law
For English Language Based Bachelor of Law Program (ELBBL)
Lecturer: Dr. Phalthy Hap
2015
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Outline
• Stamp duty
• Tax on unused land
• Land taxation
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2/23/2015
Stamp Duty (1)
• Stamp duty started via the Sub-decree on
Granting House Ownership to the Cambodian
Citizens on April 22, 1998. (SD25, Art. 7)
• Stamp duty in 1998 = 10% of the proceeds of
y or donee has the obligation
g
to
the sale ((buyer
pay stamp duty)
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Stamp Duty (2)
• In 1991: Law on Stamp Duty became available.
(Art. 2)
• Stamp duty was charged for the transfer of
ownership = 6% of the proceeds of the sale
((beneficiaryy or owner of the house,, land
residential land has the duty to pay stamp duty
(SD20, Art. 8))
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2/23/2015
Stamp Duty (3)
• In 1995: Law on Financial Management for
1995 was firstly available for the stamp duty.
(Art. 2)
• Stamp duty was charged for the transfer of
p y or transfer
ownershipp over immovable pproperty
of the possession over the land which is has no
buildings = 4% of the proceeds of the sale
(FinL 1995, Art. 40))
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Stamp Duty (4)
• In 2013: Law on Financial Management for
2013 was amended the status of the stamp duty.
(Art. 12)
• Stamp duty was amended as below:
 Transfer of ownership or possession over
immovable property such as building or/and
land or share of immovable property in
company (FinL 2013, Art. 12))
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2/23/2015
Stamp Duty (5)
• Summary of stamp duty:
10%
6%
4%
1989
1991
1995-Now
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Summary of Stamp Duty after Fin.L 2013
Type of stamp duty
Calculation
Sale
l
Proceeds
d x 4%
Succession
(Proceeds - 200,000,000 riel) x 4%
Donation
(Proceeds - 100,000,000 riel ) x 4%
10%
6%
4%
1989
1991
1995-Now
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2/23/2015
Statistics of Formal Land Transactions (1)
• Formal land transactions from 1995-June 2001:
2500
2010
2000
1500
1871
1642
1483
1456
1413
1320
1156
1062
1000
759
777
500
327
310
210
0
1995
1996
1997
Residential Land
1998
1999
2000
2001*
Agricultural Land
(* Data collected as of June 30, 2001)
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Statistics of Formal Land Transactions (2)
• Subsequent land registration
No.
1
2
3
4
5
6
7
8
Certificates transferred
Sale transactions
Land parcel mergers
Complementary land registration
Donation
Succession
Land parcel division
Pledged certificates
Income from stamp duty (riel)
As of May 2012
21,671
171
275
31
0
2,122
5,029
227,921,889,060
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2/23/2015
Tax on Unused Land (1)
• Dec. 31, 1994: Law on Financial Management for
1995 stipulated
ti l t d tax
t on un-used
d land.
l d (Art.
(A t 26-36)
26 36)
• Tax rate of un-used land = 2% of land price. (Art. 31)
• Tax on un-used land is paid by owner. (Art. 29)
• Feb. 25, 1995: Notification on the Provisions on Taxes
and Imposts Collected by Taxation Unit, tax on unused land = (land size – 1,200 m2) x land price per
square meter x 2% (following FinL 1995, Art. 30)
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Tax on Unused Land (2)
• July 25, 1995: Sub-decree on the Establishment of
U
Unused
d Land
L d Evaluation
E l ti Committee.
C
itt
(Following FinL 1995,
Art. 28)
• June 6, 2007: Notification on the Management of the
Collection of Tax on Unused Land, tax on unused land
price p
per square
q
meter x 2%
= land size x land p
(following FinL 2007, Art. 3)
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2/23/2015
Tax on Unused Land (3)
• Outputs
Year
Tax on unused land (million riel)
2007
11,978.54
2008
11,377.26
(General Dept. of Taxation, “Tax Income Situation for 2008” (Jan. 6 2009))
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Tax on Immovable Property (1)
• Following Law on Financial Management for 2010, the
ttax on immovable
i
bl property
t has
h been
b
i
imposed
d from
f
2011. (FinL 2010, Art. 13)
• Tax on immovable property is applied over land,
houses, buildings and other construction in the
geography of capital/provinces determined.
determined (FinL
2010, Art. 13)
• The tax on agricultural land is exempted. (FinL 2010,
Art. 14)
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2/23/2015
Tax on Immovable Property (2)
• July 19, 2010: Proclamation on the Collection of Tax
on Immovable
I
bl Property
P
t stating
t ti
th the
the
th detailed
d t il d off
immovable property.
• Tax rate on immovable property = 0.1% of the total
land price. (FinL 2010, Art. 13)
• Tax calculation = [(land price x 80%)-$25,000] x 0.1%
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Thank you!!!
Questions and Answers
Contact:
hphalthy@yahoo com
[email protected]
www.phalthy.wordpress.com
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