LN 205 of 2016 - Duty on Documents and Transfers (Amendment) Rules, 2016

As from first (1st) June 2016, the value of the property subject to duty, transferred inter vivos or transmitted causa mortis, has been amended. Rule 3 which relates to this matter has been amended as follows:

3. (1) The value of any property subject to duty under the Act, transferred inter vivos or transmitted causa mortis, shall be the value of such property on the date of the said transfer inter vivos or on the date of death of the person from whom the transfer causa mortis originates, as the case may be, (hereinafter referred to as "the relevant date") and such value shall be established in accordance with the following provisions.

(2) The value of the full ownership of any property on the relevant date shall be the average price which such property would fetch if sold on the open market on that date, in the state it is in as on that date, including any improvements existing on that date, whether made or paid for by the transferor, the transferee or any other person:

Provided that in the case of a transfer by a gratuitous title by a person to his spouse, descendants and ascendants in the direct line and their relative spouses, or in the absence of descendants to his brothers or sisters and their descendants, who acquire such property for the purpose of establishing therein or constructing thereon their sole, ordinary residence, the value thereof shall be deemed to be eighty per centum of the market value of the property so transferred on the date of transfer

The rules relating to the value of the usufruct, nuda proprietas, dominium utile, dominium directum and where the consideration consists of a periodical payment in perpetuity remained the same.