The government has announced a progressive tax regime, which will see a reduction in 8 bands of property taxes, ranging from 0.5 percent to a high of 0.9 percent.

This is a reduction from the tax rates announced recently, that ranged from 0.8 percent to a high of 1.3 percent of the land value.

The new rate is in response to concerns raised in several quarters about the new property tax regime which was announced recently by Finance Minister, Audley Shaw.

Speaking in parliament this afternoon (Apl 11) Mr. Shaw said with this change in the tax rates, 448,360 or 58 percent of the 776,487 properties will now see a reduction or no change in their property tax bills over what was assessed for the last fiscal year.

Mr. Shaw says this is a big increase from the 35.1 percent who would have benefited based on the previously announced rated for the 2017-18 period.

Commercial properties as well as agricultural properties are among those that will benefit under the new regime.

Mr. Shaw says agricultural properties will see an average increase of 40 percent, down from the 93 percent average increase under the regime announced during the budget debate.

Meantime, Mr. Shaw says the government has retained the flat $1,000 tax on all properties valued up to $400,000.

He says this will benefit 110,303 persons.