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DC rates trimmed 0.2% on average for non-landed residential use

THE Singapore government has trimmed the development charge (DC) rates for non-landed residential use by 0.2 per cent  on average for the period March 1, 2020 to Aug 31, 2020.

This follows a 0.3 per cent cut for the last revision that took effect on Sept 1, 2019.

DC rates remain unchanged for all other use groups, including landed residential, commercial, hotels/hospital, and industrial.

Developers pay DC for the right to enhance the use of some sites or to build bigger projects on them.The Ministry of National Development (MND) revises the rates on March 1 and Sept 1 each year, in consultation with the taxman's chief valuer (CV). DC rates are based on the CV's assessment of land values and take into consideration recent land sales. They are stated according to use groups across 118 geographical sectors in Singapore.

For non-landed residential use, DC rates were trimmed in five out of the 118 geographical sectors by between 3 per cent and 7 per cent. Rates have been left untouched for the remaining 113 sectors.

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The biggest chop of 7 per cent applies to the following sectors:

 Sector 34 (Sophia Road/Upper Wilkie Road/Mackenzie Road/Niven Road/Kirk Terrace/Adis Road)

 Sector 35 (Cavenagh Road/Bukit Timah Road/Mackenzie Road/Upper Wilkie Road/Edinburgh Road/Buyong Road)

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