Non-Resident Condo Property Taxes Increasing by 50% on January 1, 2019

[JohnMtl]

I haven’t heard anybody on here talk about the increase in condominium property taxes for non-residents announced by the prime minister earlier this week.


The rate will go from 0.4% to 0.6% effective January 1, 2019 . That’s a 50% increase.


This not only punishes those who have shown faith in Aruba by making it their part-time home but sends a warning to future investors.


It’s a shame that this new government can’t find innovative means of increasing revenues or reducing costs without implementing such drastic measures.

Comments?

*It does seem that the tax increases have been applied to reduce the burden on lower income residents. So, there is some good.


“GRONDBELASTING PA ESNAN DEN EXTERIORDi otro banda, esnan cu no ta biba na Aruba, pero tin propiedad na Aruba, manera condominium, ta bay paga un tarifa mas halto, 0.6% pa asina contribui na economia di nos pais. Companianan cu tin propiedad commercial tambe, lo mira un aumento di tarifa na 0.6%. Pero di otro banda, nan ta bay haya un rebaho di e belasting riba dividend. “

link to the entire news article (sorry, not translated):

https://www.noticiacla.com/news/14431

[Aruba4ever]

How much in real dollars?

[JohnMtl]

How much in real dollars?

It depends on what your condo is valued at.
Whatever you are paying now +50%.

[robin]

I haven't heard that yet.

[Aruba4ever]

If its 50% of a big number that means more than 50% of a figure that is minimal...What are the yearly taxes? Are we talking an extra $100 or $1000? 50% stinks for sure but just trying to grasp the total amount.

[Aruba4ever]

I answered my own question- here is the info. The previous tax appears to be 0.4% or $4 per $1000 of value. So if you condo was worth 400,000 your increase would be $800 if my math is accurate. Sounds like a $200 increase per hundred thousand of value.

[robin]

I wonder if it is just condo or if it will apply to homes owned by non residents.

[Aruba4ever]

My guess it will be all non Aruba owners- if its not now it will be the next time they need more tax dollars is my thought. There are MANY more condo owners than home owners I would think so its affecting many.

I wonder if it is just condo or if it will apply to homes owned by non residents.

[schexc]

I’m trying to understand the message this portrays to Aruba’s tourism industry and foreigners that invest here?

[Aruba4ever]

50% increases is not a good business model for sure. I am hoping its a one time thing..but we all know taxes are never one time increases

I’m trying to understand the message this portrays to Aruba’s tourism industry and foreigners that invest here?