June 24 (Citizen News) - The Inland Revenue Department (IRD) has clarified that the sale of residential properties and personal vehicles may be exempt from taxation under specific conditions.
An IRD official said residential property sales will be fully exempt from tax if the owner has held legal ownership for at least three years and has lived in the property for more than two of those years during that period. If these conditions are met, the full proceeds from the sale will not be taxed.
He added that transfers of property to immediate family members, including children, are also exempt from taxation. Tax will apply only when properties are sold to third parties outside the exemption criteria.
Regarding motor vehicles, the IRD confirmed that the previous taxation system has been removed. From April 1, 2024, the sale of personal vehicles is fully tax-free, regardless of age, condition, or model.
The exemption applies only to personal-use vehicles, meaning any gains from their sale will not be taxed, the official said.