Saudi Arabia

Saudi Arabia has approved a major overhaul of its real estate taxation policy, raising the White Land Tax from 2.5 percent to 10 percent annually on undeveloped land and introducing, for the first time, a separate levy on vacant properties that remain unused without justification.

The changes, approved during a Cabinet meeting, aim to stimulate land development and increase the availability of housing as the Kingdom grapples with a surge in real estate prices, particularly in urban centres like Riyadh.