For a residential property in an Aley District village, the municipality generally assesses an annual rental value based on the lease and the property’s location, area, condition, use, amenities and comparable rents.
Applicable rates
For residential occupancy:
- Basic municipal rental-value fee: 5%.
- Sewer and sidewalk maintenance fee, when applicable: 1.5%.
- Common combined amount: 6.5%.
Therefore, 6.5% should not be described as one basic statutory rate. It commonly represents the 5% residential fee plus a separate 1.5% charge.
USD-denominated leases
A USD lease does not necessarily mean that the municipality must collect the fee in US dollars. The municipality may:
- Determine the accepted annual rental value.
- Convert it into Lebanese pounds using the legally applicable rate.
- Apply the relevant percentages.
- Add any other lawful charges, arrears or penalties.
The exchange rate should be confirmed with the competent municipality for the relevant assessment year.
Example
Monthly residential rent: USD 500
- Annual rental value: USD 500 × 12 = USD 6,000
- Basic 5% fee: USD 300 equivalent
- Additional 1.5%, if applicable: USD 90 equivalent
- Potential total: USD 390 equivalent
Using an illustrative rate of LBP 89,500:
USD 390 × LBP 89,500 = LBP 34,905,000
Without the additional 1.5% charge, the basic fee would be:
USD 300 × LBP 89,500 = LBP 26,850,000
This is an educational example, not an official assessment. The municipality’s written assessment remains the reference for the amount due.