Proposed tax amendments will seek to help complete construction of unfinished buildings

Proposed amendments to the tax code are looking to resolve the issue of numerous incomplete construction sites by offering incentives to companies who will dismantle unfinished buildings across the country and build new ones on the same site. 

According to the current Tax Code, unfinished buildings on which construction began before August 8, 2008 have been exempted from paying value added tax since 2015.

However, under the construction law, when an existing unfinished building is dismantled and replaced with a new building, it is already considered as a new construction and requires a new construction permit. 

In this case, as the new construction permit is issued after August 8, 2008, the Tax Code cannot provide any benefit to the developers. 

Amendments to the Tax Code have already been prepared and are planned to be submitted to the next sitting of the Parliamentary Bureau.