NON-PROFIT welfare groups, cemeteries and non-Islamic houses of worship in Penang now only need to pay a nominal RM50 in land tax following a policy revision.
Penang Chief Minister Chow Kon Yeow said the main criteria for this rate was that the entity must be a non-profit body.
“This does not mean that they cannot generate income.
“They are non-profit as long as the funds go towards the organisation and its upkeep rather than to individuals,” he told a press conference at Penang Harmony Centre in George Town.
Chow highlighted that several premises previously slapped with land tax bills reaching hundreds of thousands of ringgit would see immediate relief.
“For example, Lot 57 at United Hokkien Cemetery in the northeast district was previously charged RM735,682 but following the adjustment, it is now only RM50.
“Similarly, Lot 58, previously rated at RM111,709, will also be eligible for the RM50 rate.
“The revision is meant to ease the financial burden on the people, particularly landowners affected by the new land tax rates,” he elaborated.
He said landowners under these categories, who have already made payments based on earlier rates, could apply to their respective district and land offices for refunds or have the excess amount credited towards future payments.
Chow noted that the Penang Wadda Gurdwara Sahib Association had paid RM1,676 prior to the revision and could now opt for a refund.
He urged all eligible organisations to submit applications or appeals to ensure their status was updated in the system.
“So far, 58 organisations have applied at the Northeast District and Land Office, comprising 54 places of worship and four charitable organisations.
“Most non-profits will qualify, but applications must be submitted for verification.
“Those who may have to pay more than the RM50 charge are those using the land for secondary purposes as well,” he said.
Chow said while there were 1,204 non-profit organisations currently registered with Penang Harmony Corporation (Harmonico), the actual figure could be higher.
“The state is assisting organisations facing complex cases, to ensure fair and comprehensive resolutions.
“Every case will be reviewed to help them obtain the rate,” he added.
