Fee on owners with multiple plots?

By Fahad Al Ghadani — MUSCAT: Feb 26 - Land owners with vacant plots might have to pay up a “fee” in future, according to Tawfiq al Lawati, a Majlis Ash’shura member. The issue was discussed by the Majlis Ash’shura in a recent meeting. Speaking to Observer, Al Lawati said: “Most of the committee members at the meeting felt it (fee) might mount additional burden on citizens. I personally feel a fee should be imposed on those who own several vacant plots with no intention to build in the near future.” He said the committee can “suggest the maximum number of vacant plots that can be owned without paying the fee”.

“We can suggest that those owning more than three vacant plots have to pay the fee. The government is finding it difficult to find space for citizens, especially in Muscat,” said Al Lawati. He said most of those owning multiple plots are running business out of their lands. “They make a lot of money while others get land in remote areas,” he said. He said maybe the issue can be raised again in future, but for now, it seems most of the committee members feel “it’s better not to touch such issues”. Recently, the social development committee at Majlis Ash’shura urged the Ministry of Housing to review its increase in transaction fees.

The transaction fee was hiked from 3 per cent to 5 per cent of the land value. The increase was widely discussed on social media, with some feeling it could dampen local and foreign investment in the sector.

The ministry issued a price schedule to specify the actual value of real estate as per the market prices last year.

The schedule, it said, is a reference point for real estate transactions that aims to control individual assessments made by real estate employees at the Ministry of Housing.

The ministry issued a ministerial decision regarding the regulation of possession of government, commercial & residential, and commercial & industrial plots allocated for petrol stations through public auctions.

The regulations will apply on the possession of government commercial & residential, and commercial & industrial plots allocated for petrol stations through public auctions.