One tax under a unified law… but the tax rate may differ between Beirut, Aley, and Tripoli!
Lebanon’s built property tax is an annual state tax imposed on the net annual income generated or deemed to be generated by a built property. It is separate from municipal fees and property-registration charges.
The taxable income may be determined through:
- The actual rent stated in an accepted lease agreement.
- An assessed rental value when the owner occupies the property.
- A tax-administration estimate when no lease exists.
- A reassessment where the declared rent does not reflect the property’s realistic rental value.
Allowable expenses and statutory deductions are taken into account when determining the taxable net annual income.
Progressive rates
Starting with 2024 income, the applicable brackets for each property are:
| Annual net-income bracket | Tax rate |
| Up to LBP 1.2 billion | 4% |
| LBP 1.2–2.4 billion | 6% |
| LBP 2.4–3.6 billion | 8% |
| LBP 3.6–6 billion | 11% |
| Above LBP 6 billion | 14% |
The rates are progressive. The highest applicable rate is imposed only on the portion falling within that bracket—not on the entire income.
Owner-occupied residence deduction
From the 2024 income year, an individual occupying a residential unit as its owner, co-owner or equivalent beneficiary may deduct LBP 360 million from its taxable net income.
The deduction is limited to two residential units and is allocated according to the beneficiary’s ownership share.
Is the tax identical throughout Lebanon?
The governing law and tax rates are national, but the final tax amount is not necessarily the same.
The assessed rental value varies according to location, market rent, surface area, condition, construction quality, permitted use, floor, view, parking spaces and other property-specific characteristics.
Therefore, two apartments of the same size in Beirut and Aley may produce different tax bills even though the same national brackets apply.
A vacant property may qualify for special treatment only when its vacancy is properly declared and accepted. Owners may also object to an assessed rental value or tax assessment through the Ministry of Finance’s official procedures.
المراجع: وزارة المالية اللبنانية – الضريبة على الأملاك المبنية، التعديلات الضريبية في قانون الموازنة رقم 324/2024.هذه معلومات عامة ولا تغني عن مراجعة الدائرة المالية المختصة أو مستشار ضريبي بالنسبة إلى كل عقار.