Singapore government board Ministry of National Development (MND) has dropped its development charge for the following sites with this current revision:-
- Reduction of 15% of DC for non-landed residential use
- Reduction of 10% of DC for hotel and hospital use
- Reduction of 4% of DC for commercial use
- No changes to landed residential and industrial use.
The actual revision and press release can be found in URA’s Press Release on 27th February 2009.
MND reviews its DC rates after consulting with the Chief Valuer, taking into account of the current market values.
What is Development Charge? The Actual Principle of DC
Land value can be enhanced with the Government approve its change of rezoning or adjustment of its plot ratio to a higher value. Development charge actually allows the government to tax on the profit gained from the enhancement of the land upon approval of the proposed plan.