How will the recent changes in RPGT and stamp duty begin to affect you? Learn about Malaysia’s property stamp duty and Real Property Gains Tax (RPGT) in 2019. Maximize your returns and minimize costs/risks when selling property in Malaysia.
RPGT
| Year | Individual Citizen | Individual Non-Citizen | Companies |
|---|---|---|---|
| Up to 3 Years | 30% | 30% | 30% |
| Up to 4 Years | 20% | 30% | 20% |
| Up to 5 Years | 15% | 30% | 15% |
| Above 5 Years | 5% | 10% | 10% |
RPGT Calculation
Chargeable Gain = Disposal Price – Acquisition Price
- Property acquired after Jan 1, 2000: Difference between disposal price and acquisition price
- Property acquired before Jan 1, 2000: Difference between disposal price and market price as of Jan 1, 2000
RPGT Exemptions
- RM10,000 or 10% of chargeable gain (whichever higher)
- Low-cost, low-medium cost, affordable houses priced RM200,000 and below for Malaysian citizens
- Residential property per individual/couple (once-in-a-lifetime)
- Disposal of property between family members (husband and wife / parents and children / grandparents and grandchildren)
Stamp Duty
Current Sales & Purchase Agreement (SPA) Stamp Duty
| Property Value (RM) | SPA Stamp Duty |
|---|---|
| First 100,000 | 1% |
| 100,001 - 500,000 | 2% |
| 500,001 above | 3% |
Stamp Duty Changes
- Effective July 1, 2019
- Property price: RM1m – RM2.5m
- Stamp duty increased from 3% to 4%
Stamp Duty Exemption
- 1st time home buyer
- Residential property up to RM500,000
- Exemption (0%) for first RM300,000
- Exemption for loan agreement
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