Saudi Gazette report
RIYADH — Minister of Finance and Chairman of the State Properties Basic Authority (SPGA) Mohammed Al-Jadaan mentioned that the Regulation of Expropriation of Actual Property for Public Profit and Momentary Taking of Property, authorized by the Council of Ministers on Tuesday, will contribute to making sure truthful compensation, safeguarding public funds, and supporting sustainable improvement. He mentioned the up to date Expropriation Regulation goals to reinforce the governance of property expropriation procedures or non permanent seizure of properties.
Al-Jadaan mentioned that the legislation is a part of the regulatory and legislative reforms underway within the Kingdom underneath Saudi Imaginative and prescient 2030. “The legislation goals to unify and streamline procedures for expropriation and non permanent seizure of actual property, improve transparency, serve the general public curiosity, and guarantee truthful compensation for property homeowners and mission stakeholders,” he mentioned.
Commenting on the legislation, SPGA Governor Dr. Abdulrehman Al-Harkan emphasised that the up to date legislation protects the rights of property homeowners and mission entities in all its provisions. “The legislation requires valuation of expropriated properties by licensed appraisers accredited by the Saudi Authority for Accredited Valuers (TAQEEM), primarily based on truthful market worth, with a further 20 % added as compensation for expropriation. For non permanent seizure, compensation will include a good rental worth plus a further 20 %,” he mentioned.
Al-Harkan mentioned the legislation additionally offers tax incentives. “House owners whose properties are expropriated might be exempt from the actual property transaction tax for 5 years, equal to, or lower than, the tax worth of the compensation quantity, when buying substitute properties. This exemption begins from the date the compensation is obtained,” he mentioned, including that homeowners might be exempt from white land charges if compensation is granted within the type of different land.
He mentioned the legislation centralizes oversight and governance of expropriation and non permanent seizure processes. “Requests for expropriation or non permanent seizure might be submitted to a committee inside SPGA, with participation from related authorities representatives,” he added