Statute Details
- Title: Property Tax (Non-Residential Buildings) (Remission) Order 2009
- Act Code: PTA1960-S386-2009
- Type: Subsidiary Legislation (SL)
- Authorising Act: Property Tax Act (Cap. 254), specifically section 6(8)
- Commencement: Deemed to have come into operation on 1 January 2009
- Enacting Minister/Authority: Minister for Finance (made by Permanent Secretary, Ministry of Finance)
- Key Provisions: Sections 1–4; Schedule (Statutory Boards)
- Primary Subject Matter: Remission of property tax / payments in lieu of tax for non-residential buildings
- Relevant Period Covered by Remission: 1 January 2009 to 31 December 2009 (both dates inclusive)
- Current Version Reference: Current version as at 27 March 2026 (per the legislation portal)
What Is This Legislation About?
The Property Tax (Non-Residential Buildings) (Remission) Order 2009 (“the Order”) is a targeted tax relief instrument issued under the Property Tax Act. In plain terms, it provides a 40% remission of property tax (or, where applicable, payments in lieu of tax) for certain non-residential buildings or parts of buildings during the year 2009.
The relief is conditional. It applies only where the building (or part) is permitted under the Planning Act for use other than residential or human habitation. This means the Order is not a general property tax exemption; it is linked to the land-use permissions under Singapore’s planning regime.
Practically, the Order is designed to reduce the tax burden for qualifying non-residential uses, including where the owner is a statutory board that makes payments in lieu of property tax. It also contains specific exclusions to prevent the remission from applying in situations where the tax base is treated differently (for example, where annual value is assessed as if vacant land, or where land is demarcated as “excess land”).
What Are the Key Provisions?
Section 1 (Citation and commencement) establishes the legal identity and timing of the Order. The Order may be cited as the Property Tax (Non-Residential Buildings) (Remission) Order 2009 and is deemed to have come into operation on 1 January 2009. This “deemed commencement” matters for practitioners because it affects whether remission can be claimed for the whole of the 2009 calendar year, even though the Order was made later.
Section 2 (Remission of tax and payments in lieu of tax) is the core operative provision. It provides that, subject to the Order, where any building or part thereof is permitted under the Planning Act for any purpose other than residential or human habitation, tax is remitted as follows for the period 1 January 2009 to 31 December 2009:
(a) Statutory boards specified in the Schedule: For buildings/parts owned and let by a statutory board listed in the Schedule, there is a 40% remission of any payment made in lieu of tax under section 6(11) of the Property Tax Act for the 2009 period.
(b) Other cases: In any other case, there is a 40% remission of the tax payable for the 2009 period in respect of the building/part.
Two points are worth emphasising for legal and compliance work. First, the remission is percentage-based (40%) and is limited to the 2009 calendar year. Second, the Order distinguishes between ordinary property tax and the special regime of payments in lieu of tax under section 6(11) of the Property Tax Act for certain statutory boards.
Section 3 (Refund of tax paid) addresses the scenario where tax has already been paid. It provides that any refund arising out of the remission allowed under paragraph 2 must be made to the person who is the owner of the building (or part) at the time of the refund. This is a practical ownership rule that can affect claims where ownership changes during the remission period or between assessment and refund.
For practitioners, this ownership-at-refund-time rule is significant. It may require careful review of title transfers, tenancy arrangements, and who bore the tax cost. While the remission relates to the 2009 period, the refund payee is determined by ownership status at the time the refund is processed.
Section 4 (Application of Order) sets out exclusions. The Order does not apply to certain buildings/parts, including:
(a) any building/part owned and occupied by any statutory board for which payment in lieu of tax is made under section 6(11) of the Act;
(b) any building/part owned and let by a statutory board not specified in the Schedule, again where payment in lieu of tax is made under section 6(11);
(c) any building/part situated or being erected on land where the annual value has been assessed as if it were vacant land under section 2(3)(b) of the Act; and
(d) any building/part situated or being erected on that part of any land demarcated as excess land under section 2(5) of the Act, where the annual value has been separately assessed.
These exclusions reflect the policy that remission should not undermine the tax treatment of properties whose annual value is computed under special valuation rules (vacant land or excess land). They also clarify that the statutory board remission regime is limited to those statutory boards expressly listed in the Schedule.
The Schedule (Statutory Boards) identifies the statutory boards that qualify for the remission under section 2(a). Although the extract provided does not list the names, the Schedule is essential: without it, a statutory board owner may fall outside the remission for payments in lieu of tax.
How Is This Legislation Structured?
The Order is structured in a straightforward, practitioner-friendly format:
Section 1 contains citation and commencement.
Section 2 sets out the remission mechanism and the 40% relief for the 2009 period, distinguishing between (i) specified statutory boards and (ii) other owners.
Section 3 provides the refund rule and identifies the refund recipient as the owner at the time of refund.
Section 4 lists exclusions where the remission does not apply, including special valuation scenarios and statutory board categories.
Finally, the Schedule lists the statutory boards that are eligible for the remission where payments in lieu of tax are involved.
Who Does This Legislation Apply To?
The Order applies to owners of non-residential buildings or parts of buildings where the use is permitted under the Planning Act for purposes other than residential or human habitation. The relief is therefore tied to both (i) the planning permission/use class and (ii) the property tax/payment in lieu of tax framework applicable to the owner.
There are two main owner categories. First, owners who are statutory boards that are specified in the Schedule and that own and let qualifying buildings/parts receive remission of 40% of payments in lieu of tax. Second, all other owners receive remission of 40% of tax payable for the 2009 period. However, section 4 excludes certain statutory board situations (including where the statutory board is not in the Schedule, or where it owns and occupies the property) and excludes properties whose annual value is assessed under special vacant land or excess land valuation rules.
Why Is This Legislation Important?
Although the Order is time-bound to the year 2009, it remains legally important for practitioners dealing with historical assessments, refunds, or disputes about eligibility for remission. The Order’s “deemed commencement” on 1 January 2009 can be critical in arguments about whether remission should apply for the full year.
From a compliance perspective, the Order illustrates how Singapore’s tax relief instruments can be conditional on planning permissions. Practitioners advising property owners or statutory boards must therefore consider not only tax law, but also the Planning Act basis for the permitted use of the building. In practice, disputes may arise where the actual use differs from the permitted use, or where the planning permission status is unclear.
Enforcement and administration also depend on the statutory board schedule and the valuation exclusions. Section 4’s carve-outs for vacant land and excess land assessments are particularly relevant for properties undergoing development, redevelopment, or land reclassification. Lawyers advising on property tax matters should ensure that the annual value basis under the Property Tax Act is properly understood before claiming remission.
Finally, the refund recipient rule in section 3—refund to the owner at the time of refund—can affect contractual arrangements between landlords and tenants, as well as the allocation of tax costs. Where property ownership changes, practitioners may need to address whether any refund is passed through under the parties’ agreements.
Related Legislation
- Property Tax Act (Cap. 254) — including section 6(8) (power to make orders), section 6(11) (payments in lieu of tax), and section 2 (annual value rules, including vacant land and excess land)
- Planning Act (Cap. 232) — provisions governing permitted uses and planning permissions that determine whether a building is used for non-residential purposes
- Legislation Timeline (portal reference) — used to confirm the correct version of the Order as at a given date
Source Documents
This article provides an overview of the Property Tax (Non-Residential Buildings) (Remission) Order 2009 for legal research and educational purposes. It does not constitute legal advice. Readers should consult the official text for authoritative provisions.