Sudan Property Tax Guide 2026

Overview — Property Taxation in Sudan

Sudan's property tax system includes transaction taxes (transfer duty, registration fees) and recurring taxes (annual property tax, rental income tax). The absence of an annual wealth tax means holding property long-term does not attract a levy on capital value. Property taxes are administered at both the national and state levels, with rates varying slightly by state. Khartoum State has the most developed property tax administration.

Property Transfer Duty — 2.5%

When purchasing or transferring real estate in Sudan, a transfer duty (stamp duty) of 2.5% applies:

• The 2.5% rate is applied to the purchase price or the assessed value of the property, whichever is higher
• The duty is payable by the buyer at the time of registration
• Additional registration fees of approximately 0.5–1% apply for title registration and notarisation
• Total transaction costs typically range from 3% to 4% of the purchase price
• Gifts of real estate between close family members may qualify for reduced rates

Annual Property Tax — ~0.5% of Assessed Value

An annual property tax is levied by state governments at approximately 0.5% of the assessed value of the property:

• The tax is imposed on built properties (residential, commercial, industrial)
• The assessed value is determined by government valuation committees based on location, size, and condition
• Residential properties below a certain threshold are exempt
• The tax is payable annually through the state tax authority
• Owner-occupied and rental properties are both subject to the tax

Rental Income Tax

Income from renting real estate is taxed as part of the owner's overall income. Rental income is added to other income and taxed at the applicable progressive PIT rates (0–15% for individuals) or corporate rate (30% for companies). Key features:

• A standard deduction of 30–40% of gross rental income is allowed for maintenance and expenses
• Alternatively, actual expenses may be deducted if properly documented
• Rental income must be declared in the annual tax return
• Non-resident landlords are subject to withholding tax on gross rental income

Islamic Inheritance Rules (Sharia)

Inheritance in Sudan is governed by Islamic Sharia law for Muslim Sudanese, with specific shares allocated to defined heirs. Non-Muslim Sudanese may apply their personal religious laws. Key aspects:

• Shares are predetermined by the Quran — male heirs generally receive twice the share of female heirs
• A spouse receives 1/8 of the estate (if there are children) or 1/4 (if no children)
• Children receive the residue, with sons taking double the share of daughters
• No inheritance tax applies in Sudan

FAQs

Is the annual property tax the same across all states?

The base rate is approximately 0.5% nationally, but state governments may adjust the rate slightly. Khartoum State generally has the highest assessed values and therefore higher tax amounts.

Do foreign nationals pay different property taxes?

Foreign nationals are subject to the same property taxes as Sudanese nationals. However, foreign ownership of real estate in Sudan is restricted and requires approval from the Ministry of Investment.

What happens if I do not pay the annual property tax?

Unpaid property tax accumulates as a debt against the property and may result in enforcement action, including seizure or auction of the property by the tax authority.

Disclaimer

This guide provides general information about Sudanese property taxes for the 2026 tax year. Tax laws and rates may change. Always consult with a qualified Sudanese tax advisor or legal professional for advice specific to your property situation. InvestmentKit does not provide tax advice.