Sarawak offers up to 100 pct assessment tax reduction for low-value residential properties

MIRI (Aug 30): The Sarawak government has introduced assessment tax reductions of between 10 and 100 per cent for all residential holdings with annual assessments of RM700 and below.

State Deputy Minister of Public Health, Housing and Local Government, Datuk Dr Penguang Manggil said the move is part of the state’s effort to ease the people’s financial burden.

“In addition, a 50 per cent discount on late payment charges is being offered to all property owners.

“This incentive took effect on Feb 1 and will run until Dec 31 this year,” he told a press conference, held in conjunction with the Sarawak Local Authority Assessment and Taxation Workshop 2025, which concluded here on Friday.

Property owners unable to settle their dues in full may also apply for instalment payments through their respective local councils.

Penguang said assessment tax remains the main source of revenue for local councils, contributing between 60 and 70 per cent of total annual income.

“This revenue enables local councils to provide and maintain essential services such as waste collection, road maintenance, recreational parks, open spaces, and other municipal facilities,” he explained.

To strengthen local councils several initiatives have been lined up, including the Assessment and Taxation Workshop to enhance officers’ knowledge, updating the Valuation and Taxation Manual, enhancing the Key Focus Activity introduced in 2012, and adopting the eLA2 digital system for valuation work as part of the state’s Digital Government transformation.

“All these efforts reflect the state government’s commitment to ensuring efficient, people-friendly, and sustainable local governance,” he said, adding that his ministry will soon launch an Assessment Tax Awareness Campaign Video.

Penguang also thanked the public for their continued cooperation with local councils and urged communities to work together in making their areas cleaner, safer, and more liveable.