It started in Riyadh and will be held in Jeddah and Al Sharqia.
"Eskan" holds workshops to introduce the mechanism of "VAT" for citizens of the first residence.
The Ministry of Housing has set up three workshops in Riyadh to introduce the governments mechanism for the value added tax of citizens to the first housing, its objectives and mechanisms, and to answer all inquiries aimed at overcoming the obstacles to the right of citizens to own suitable housing. 22 real estate developer has attended it, and these workshops are a continuation of the Ministry's' efforts to introduce its initiatives and programs.
The ministry explained in a press statement that the workshops will be transferred to Jeddah and Dammam soon to introduce the initiative and the mechanism for collecting the tax. Khalil Al-Sanjari, Director-General of the General Administration of Value Added Tax at the Ministry of Housing said that the importance of the workshops comes in line with the government's directives to provide appropriate residential products to the citizen and reduce the cost of the first home to the beneficiaries.
He pointed out that the Ministry of Housing will pay the value added tax on behalf of the citizens of the first housing, by allocating an annual budget approved by the Ministry of Finance to pay Tax on behalf of citizens who seek to own the first home.
In this regard, the Ministry has undertaken several initiatives to ensure that citizens benefit from the initiative, by achieving a number of deliverables, notably signing memorandums of understanding and agreements between the Ministry and a number of stakeholders to activate them, and developing a plan of action, operational plan and organizational structure, To implement the initiative, and prepare detailed reports of disbursement, payment and rating.
The procedures for obtaining the certificate of merit are summarized in a number of steps, all of which are done automatically through the VAT portal vat.housing.sa begins in registering citizen easily. The system automatically checks that there is no previous property under citizen name. the citizens must process a declaration indicted that he is not owning any house under his name. Then he can print the certificate, after that citizen starts searching for a suitable housing unit to buy them after confirming the seller's tax number.
Then the citizen shall submit the certificate of entitlement to the seller to verify and terminate the transaction between them. The governments shall bear the amount of the tax not exceeding 850 thousand of the house values. The Ministry shall pay the tax amount directly to the seller after verifying all the documents and after submitting a request for payment of tax through the electronic tax portal
In turn, the role of the real estate developer (the seller) to log on the same portal through the link at https://vat.housing.sa and then fill out the application form and attach all the required documents and send the request electronically to the Tax Department of the Ministry of Housing, to verify the documents and the validity Certificate, and if the application is accepted, the VAT will be paid to the seller directly from the Ministry..