Stamp Duty Rates

		COLLIERS, Jordan Lee & Jaafar, Malaysia
		Stamp Duty

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The assessment and collection of Stamp Duties is sanctioned by statutory law described as the Stamp Act 1949. Stamp Duty is levied by the government on instruments or documents of transfer. In property transaction, the imposition is in the form of Ad Valorem (i.e. according to the value) Duties for:-

1. Instruments/Documents of transfer (implementing a sale or gift) of property.

This can be in the form of Memorandum of Transfer of the Title or the Deed of Assignment of the Principal Sales & Purchase Agreement (for cases where the proper title or strata title is yet to be issued). The prescribed rate of duty is as shown below based on the transaction price or valuation carried out by the Property Services and Valuation Department.

The duty at this rate is also payable where the instrument of transfer constitutes a DEED OF ASSIGNMENT executed on sale or gift of the contractual interest on the property.

RATE OF DUTY

First RM100,000	1%
Between RM100,001 and RM500,000	2%
Between RM500,001 and RM2,000,000	3%
More than RM2,000,000	4%

2. Instruments/Documents creating interests in property, for Tenancies and Statutory Leases.

· The lease or tenancy instrument which secures annual rent not exceeding RM2,400 is EXEMPTED from duty and presentation of these instruments at a stamping office or center is not necessary.

· The prescribed rate of duty on the instruments which secures annual rent exceeding RM2,400 is as follows:-

When the lease is:	For every RM1,000 or part thereof in excess of RM2,400
Less than 1 year	RM4.00
Between 1 year and 3 years	RM8.00
More than 3 years	RM16.00

If the consideration for tenancy constitutes or includes a PREMIUM, additional duty is chargeable and it is calculated on the amount of the premium at the rate chargeable on immovable property.

Statutory Information