The Rating (Amendment) Bill 2019 was gazetted today, the Government announced.

The bill aims to implement the proposed Special Rates announced by the Chief Executive last June to encourage a more timely supply of first-hand private residential units.

The rates apply to first-hand private residential units with the occupation permit issued for 12 months or more and developers of these units have to submit annual returns to the Rating & Valuation Department on the units’ status during the past 12 months.

Developers are liable to pay the rates if their units remain unsold by the end of the 12-month reporting period. The rates are chargeable at 200% of the rateable value of the subject unit.

Units that have been rented out under a stamped tenancy agreement at market rent or above and for not less than 183 days in aggregate during the reporting period are exempt from the rates.

The bill will be introduced into the Legislative Council at the beginning of the 2019-20 legislative session.

It is proposed the bill, subsequent to its passage in the LegCo, should come into effect three months after its gazettal to allow enough time for the Rating & Valuation Department and the trade to prepare for the submission of the first return under the Special Rates regime.