Here you can find all the questions and answers that you need.

01

Stamp Duty

What is stamp duty?

In Malaysia, Stamp duty is a tax levied on a variety of written instruments specifies in the First Schedule of Stamp Duty Act 1949. In general terms, stamp duty will be imposed on legal, commercial, and financial instruments.

Why use STAMPS?

▪Easy to retrieve anywhere and anytime
▪Save time in processing instruments/documents
▪Systematic and expedite processing
▪Data safety guaranteed
▪Reduce cost
▪Status verification at any time

02

Tenancy Agreement

Why tenancy agreement need to be stamped?

The main reason of stamping your tenancy agreement is to provide protection to the parties who signed the contract/agreement, as the document is now admissible for the court in case of any dispute.

How is the Stamp duty for rental agreement being calculated?

(Annual Rental - RM2400) divided by RM250 and then multiplied by RM 1, RM 2, or RM 4 according to the duration of your agreement. 1 year or less = RM1, 1-3 years = RM2 and 3 years and more = RM4.

RM10 is the charge for stamping a duplicate copy of the agreement.

Is there any Penalty on Stamp duty in Malaysia?

An instrument may be stamped within 30 days of its execution if executed within Malaysia or within 30 days after it has been first received in Malaysia, if it has been executed outside Malaysia.

If it is not stamped within the period stipulated, a penalty of:
(a) RM25.00 or 5% of the deficient duty, whichever is the greater, if stamped within 3 months after the time for stamping;
(b) RM50.00 or 10% of the deficient duty, whichever is the greater, if stamped after 3 months but not later than 6 months after the time for stamping;
(c) RM100.00 or 20% of the deficient duty, whichever is greater, if stamped after 6 months from the time for stamping; may be imposed.

(the above rates are effective from 1/1/2003)

Let's help you!

Still have doubt not listed above? Contact us to get professional advise from our team today!