New Property Tax Incentives Now in Effect for 2025

Starting January 1, 2025, Cambodia has introduced new property tax incentives aimed at supporting home buyers and stimulating the real estate sector. These incentives include exemptions and preferential tax rates on stamp duties for first-time home buyers and those purchasing from registered housing development companies.

Key Details of the Tax Incentives

The Ministry of Economy and Finance (MEF) has outlined the implementation period from January 1, 2025, to December 31, 2025 , following a directive from Prime Minister Hun Manet. The initiative is designed to encourage homeownership and facilitate property transactions in the country.

Tax Exemptions

For Properties Purchased Before 2025

• Full Exemption: Properties purchased before 2025 and transferred in 2025, with a value of up to $210,000 , are eligible for a full stamp duty exemption.
• Partial Exemption: For properties exceeding $210,000, the first $210,000 of the property’s value is exempt.
• Subsequent Properties: A deduction of $70,000 is applied to the stamp duty base.

For Properties Purchased in 2025

• Buyers of a Borey or condominium in 2025 are entitled to similar tax benefits.
• The first $210,000 of the property’s value is exempt from stamp duty, with a $70,000 deduction applicable for subsequent properties.
• Purchases must be made through a registered housing development company.

Requirements for Developers

Housing developers must submit buy-sell contracts to the tax administration at the time of ownership transfer. Properties purchased from unlicensed developers facing legal or financial issues may still qualify for tax incentives under specific conditions.

Impact on the Real Estate Sector

Industry experts welcome these tax incentives, seeing them as a positive step toward encouraging investment and driving market growth. The policy is expected to make homeownership more accessible while supporting Cambodia’s broader real estate industry through foreign direct investment and tourism.

What This Means for Buyers

With these new incentives in place, buying a home has never been more accessible. Whether you’re a first-time buyer or considering a second property, these benefits can offer significant savings. If you’re looking to invest in a Borey or condominium , now is the perfect time to explore your options.

Interested in learning more? Reach out to us for expert guidance and find the right property that suits your needs and budget.