Hi Guys need your advice / help please
My fiancee has some property in Nairobi she needs to sell she has been told by a lawyer that she has to pay a levi or tax or something to the government to allow her to sell , Is this correct as it seems a little far fetched to me surely all levis taxes are taken after the sale not before ?/ your knowledge and comments will be gratefully received
thanks
petesp
following…kiasi gani na mnauza pesa ngapi?
First go to @introvert and pay a LEVI for the use of the osungu.dll forklift…
Look for a second or even third legal opinion then compare notes
Are all land rates of the said property cleared? Those need to be paid before a transfer. Then there is stamp duty, which is also paid to the government. Which levy is the lawyer advising on?
kizungu kimekua kizungumkuti
Stamp duty is paid by the buyer. Land rates must be cleared before the sale and a certificate of this is given.
Our hot village lawyer @Nananimpa can confirm
Hehehe…
This one uses LPG kwanza…
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kuna kitu inaitwa capital gains tax. unanunua shamba, unajenga nyumba ama unaiongeza thamani kwa njia ingine yoyote; unaona ile difference between initial value na value at the time of sale? hiyo. sirikal inakata parasent-age sijui kama ni thate ama ni ngapi. kitu kama hiyo…nadhani hiyo ndio alikuwa anaongelelea.
There is no way you pay capital gains tax on selling land. Kwani you will tell gova exactly how much you sold the shamba for? Government will get their cut when paying stamp duty.
Hii KRA inasumbua wananchi sana. This here is double taxation. The only way around this is to under-declare the sale and initial purchase prices…at least ulipe kidogo
Thats the position. To get clearance to sell a property, two types of payments must be inorder if the property is a leasehold. You have to pay land rent payable to the government and land rates payable to the city council these days the county council. You must have clearance certificates showing that these payments are up to date. The seller is responsible for them. After the transaction, the buyer is responsible for stamp duty.
Nope. Capital gains tax is paid by the seller after the transaction and transfer is done and has recieved the purchase price. The levies the lawyer was talking about are land rent and land rates. The term the lawyer used is misleading.
Capital gain tax was introduced the other day. The same is levied on the seller. The stamp duty is paid by the buyer. That way KRA gets it cut from both parties to the transaction. You can argue that it is unfair but it is what it is. We are lucky because so far it has been imposed on proceeds from sale of immovable properties. In UK capital gain tax is imposed on proceeds from any sale with very few exempted transactions.
http://www.reactiongifs.com/r/vqGeMsr.gif @Nananimpa Si you have mad skills?!
@Nananimpa hiyo avatar yako,ni boots za yule naija broda?
Those are my casual boots.
Those are my boots.
Land Rent and Land Rates have to be paid by the seller before any transfer can be effected there after there the Capital Gain Tax which the tax collector is yet to figure out how to collect but at some point she will have to pay so she may do well to consult a tax consultant to figure out how much it should be.
It can be very easy if you know someone at Ardhi House otherwise there is a long way to go
