Question of the week

What are the tax–exempted real-estates?

The law is keen to offering a lot of facilitation and tax exemptions for some of the buildings due to nature of utilization as well as for all taxed buildings, so the legislator stipulates the following exemptions according to Article (18) of the law:
- Buildings owned by societies registered according to law, and labor organizations, specified for the management offices or for the purposes they were established for.
- Non profit educational buildings, hospitals, dispensaries, orphanages, charities
- Headquarters owned by political parties and syndicates provided that they are used for the purpose they were established for.
- Units, whose net annual rent is less than L.E. 24.000; and taxed if the rent exceeds this limit, taken by the taxpayer as a prime residence for his/her family. The word family to apply this law article includes the taxpayer, his/her spouse and the minor children.
- Each unit in a building used for commercial, industrial, administrative or professional purposes whose net annual rent is less than L.E. 1200, and taxed if the net annual rent exceeds this limit.
- Youths' and sports' centers established according to the organizing laws.
- Real-estates owned by foreign governmental authorities on condition of reciprocity
- Clubs and hotels affiliated to the Armed Forces, military houses of forces, complexes, medical centers, and hospitals and the buildings established within their domain, in addition to the units which the Armed Forces Operations Authority suggest on a decision ratified by the Minister of Defense in accordance with the concerned minister.
In all cases these quarters do not subject to the works of the survey and estimation committees as per considerations of defense affairs and national security requirements.