Stamp duty exemption for purchase of first residential home

Source: 123rf

2 November, KUALA LUMPUR – The government is proposing a 100 per cent stamp duty exemption on the instrument of transfer and the loan agreement for the purchase of a first residential home priced up to RM300,000.

The effective date is for sales and purchase agreement executed from Jan 1, 2019 to Dec 31, 2020.

In the appendix to the 2019 Budget released today by the Ministry of Finance, the proposal is to further encourage Malaysians to purchase the first home and to increase the purchase of unsold residential units from developers and to boost the residential property market.

The government also proposed a 100 per cent stamp duty exemption limited to the instrument of transfer for the purchase of a first residential home priced between RM300,001 and RM1 million from any housing developer for a period of six months.

The effective date is for sales and purchase agreement executed from Jan 1, 2019 to June 30, 2019.

The government proposed a stamp duty exemption on the instrument of transfer and the loan agreement for purchase of a first residential home priced between RM300,001 and RM500,000.

The stamp duty is 100 per cent exempted but limited to the first RM300,000 of the price of the home.

The remaining balance of the price of the home is subjected to the prevailing rate of stamp duty.

The effective date is for sales and purchase agreement executed from July 1, 2019 to Dec 31, 2020.

At present, no stamp duty exemption is granted for the purchase of a residential home priced above RM500,000.

– BERNAMA

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