Oman- Tenancy fee raised to 5 of lease value from February 1

2/1/2016 4:10:57 AM

(MENAFN- Muscat Daily) Muscat-

The municipal fee on all tenancy agreements has been increased from three per cent to five per cent with effect from February 1.

After receiving the consent of the Ministry of Finance on January 7 in this regard Muscat Municipality issued a decision on January 28 asking landlords of residential commercial and industrial buildings to pay five per cent of the lease value as fee.

The move was in the offing as part of measures announced by the Ministry of Finance in the 2016 State Budget to shore up non-oil revenues.

The fee had been fixed at three per cent on all lease contracts since 1998. This rate now stands amended.

Decision 20/2016 also states 'The tenant can pay the fee on behalf of the landlord upon mutual consent.'

The Ministry of Regional Municipalities and Water Resources has also announced revision for the rest of the country.

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