The White Land Tax program is entering a new phase in Riyadh as the official date for issuing invoices approaches. Competent authorities have announced that billing will commence on January 1, 2026.

This measure is part of ongoing efforts to regulate the Saudi real estate market and incentivize the development of idle lands. By encouraging construction, the government aims to increase the real estate supply, balance supply and demand, and support urban development goals in the capital.

News Details

The official account for the White Land Tax and Vacant Properties program in Saudi Arabia revealed that invoices for eligible lands in Riyadh will be issued starting from the first day of 2026.

According to the announcement shared via "X" (formerly Twitter):

Development Grace Period: Landowners covered by the tax can request an additional grace period to develop their land after the invoice is issued.
Committee Review: These requests will be reviewed by a specialized committee according to approved regulations.
Failure to Develop: If development is not completed within the granted extension, taxes will be imposed for the entire period without exception.

Tax Categories and Percentages

In August, the Ministry of Municipalities and Housing approved the geographic zones for the White Land Tax in Riyadh, classifying lands into five priority tiers. The annual tax rate varies based on this classification:

Priority TierTax RateHighest Priority10%High Priority7.5%Medium Priority5%Low Priority2.5%Outside Priority ZonesExempt (but included in total valuation)

Export to Sheets

Lands located outside the priority zones are currently exempt from the tax but will still be recorded within the owner's total landholdings in Riyadh for assessment purposes.

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