Real Property Gain Tax (RPGT) 2019

Real Property Gain Tax (RPGT)

Updated as at 4th January 2019

RPGT will come into picture when we dispose our property. Since the announcement of Budget 2019 there is an increment to the rate. The amount tax depends on the profit  of the property.

Here are the breakdowns of the new RPGT rate.

RPGT Rate

Individuals & Permanent Residents

Individual foreigners & Non Residents

Companies

Disposal Year 1

30%

30%

30%

Disposal Year 2

30%

30%

30%

Disposal Year 3

30%

30%

30%

Disposal Year 4

20%

30%

20%

Disposal Year 5

15%

30%

15%

Disposal Year 6 onward

5%

10%

10%

 

As we can see from the above table, the rate increases on 6th years onwards. Now individual purchasers will also have to pay RPGT 6th years onwards.

Some more additional information for you.

RPGT cut-off date (pending gazette)

  1. Malaysian and permanent resident only
  2. Property acquired before 1st Jan 2000, the acquisition price shall be based on 1st Jan 2000.

RPGT exemption for disposal after 5 years

  1. Malaysian only
  2. Consideration not more than RM200,000

Conditional Contract (SPA subject to state consent)

  1. Malaysian and permanent resident only
  2. SPA date before 1st January 2019 and pending state consent.

RPGT exemption for disposal for any property at NOD Medini

  1. Any individual 9including foreigners of IDR company only.
  2. Residential and commercial property
  3. Purchase must be from developer
  4. Disposal between 1st January 2010 and 31st December 2020.

I hope this will give you a clearer picture.

From the desk of

Miichael Yeoh

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