No date set for approval of white land taxes in Madinah

Saudi Arabia’s housing ministry has not yet set a date for the approval of the white land taxes in Al Madinah, Okaz newspaper reported, citing Saif Al-Swailem, the ministry spokesperson.

The matter is still being discussed, he added.

Last week, the ministry closed the registration period granted to owners of white land in Makkah, Argaam reported.

The first phase of white land fees included undeveloped lands which are allocated for residential or commercial use in Makkah and spread over a minimum area of 10,000 square meters.

In November 2015, the Kingdom’s cabinet approved a proposal to impose a 2.5 percent tax on all undeveloped residential and commercial plots in urban areas, in a move to solve the housing shortage problem.

Under the system, land owners are required to pay a fee of 2.5 percent of the white land's value or develop it within 12 months.