{"id":64,"date":"2014-06-29T00:00:00","date_gmt":"2014-06-28T16:00:00","guid":{"rendered":"http:\/\/www.nbc.com.my\/blog\/?p=64"},"modified":"2014-07-02T23:00:24","modified_gmt":"2014-07-02T15:00:24","slug":"real-property-gain-tax-rpgt-in-malaysia","status":"publish","type":"post","link":"https:\/\/www.nbc.com.my\/blog\/real-property-gain-tax-rpgt-in-malaysia\/","title":{"rendered":"Real Property Gains Tax (RPGT) in Malaysia"},"content":{"rendered":"

Real Property Gains Tax (RPGT) is charged on gains arising from the disposal of real property situated in Malaysia or of interest, options or other rights in a property\u00a0as well as the disposal of shares in real property companies (RPC).<\/p>\n

RPGT is calculated based on the gains between the selling price and original purchase price (plus other costs) of a property. The rates\u00a0of RPGT for individual are as follows:\u00a0<\/p>\n

\"Real<\/p>\n

The above table is applicable to Individual Only. The holding\u00a0period is calculated based on the dates of S&P agreements buying & selling the property.<\/div>\n
\n

How to calculate RPGT?<\/h3>\n

In order to calculate the actual RPGT, you will need to determine the gains & the holding period.<\/p>\n

Here is the example for a property disposed at the 5th year in 2014.<\/p>\n\n\n\n\n\n\n\n\n\n
<\/td>\nExample:<\/span><\/td>\n<\/td>\n<\/tr>\n
<\/td>\nSelling price<\/td>\n\u00a0800,000<\/td>\n<\/tr>\n
<\/td>\nLess: original purchase\u00a0price plus other costs<\/td>\n(500,000)<\/span><\/td>\n<\/tr>\n
<\/td>\nChargeable gain<\/td>\n\u00a0300,000<\/td>\n<\/tr>\n
<\/td>\nLess: Exemption of RM10,000 or 10%<\/td>\n(30,000)<\/span><\/td>\n<\/tr>\n
<\/td>\nTaxable amount<\/td>\n\u00a0270,000<\/span><\/td>\n<\/tr>\n
<\/td>\nRPGT tax at 15%<\/td>\n\u00a040,500<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n

.<\/span>
\nFriendly Reminder:<\/strong><\/span> You will not only need to pay RPGT of RM40,500, you will also need to pay stamp duty (RM18,000) & lawyer fee (RM5,000) when the above property is disposed.<\/p>\n

Click here for How to determine purchase price & lower RPGT?\u00a0<\/span><\/a><\/span>\"nbc-hot6\"<\/strong><\/p>\n

\n

Exemption of RPGT<\/h3>\n

However, RPGT is exempted or no RPGT is levied for disposal of real property or shares in real property companies held for more than 5 years. You are tax free to sell in 6th year onwards.<\/p>\n

Some tax exemptions are available for individuals, even though they are disposed of within the first 5 years from the date of purchase:-<\/p>\n

    \n
  1. Disposal of a residential property once in a lifetime by an individual.<\/li>\n
  2. Transfer as gifts between parent and child, husband and wife, grandparent and grandchild (transfer between sibling\/brothers or sisters is not applicable); and<\/li>\n
  3. Exemption of RM10,000 or 10% of the chargeable gain, whichever is greater, for each disposal of a property by an individual. Chargeable gain is generally meaning sale proceeds less purchase cost.<\/li>\n<\/ol>\n

    Click here for\u00a0Exemption of RPGT<\/span><\/a><\/span>\u00a0\"nbc-hot6\"<\/strong><\/p>\n

    \n

    Note: This article was originally written by\u00a0nbc.geoffrey<\/a>\u00a0on 21\/9\/2010 & was updated by Tony Ng BC<\/a>\u00a0<\/span>on 29\/6\/2014.<\/span><\/p>\n","protected":false},"excerpt":{"rendered":"

    Real Property Gains Tax (RPGT) is charged on gains arising from the disposal of real property situated in Malaysia or of interest, options or other rights in a property\u00a0as well as the disposal of shares in real property companies (RPC). RPGT is calculated based on the gains between the selling price and original purchase price […]<\/p>\n","protected":false},"author":6,"featured_media":5211,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[99],"tags":[23,22],"class_list":["post-64","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-real-property-gain-tax-rpgt","tag-real-property-gain-tax","tag-rpgt"],"_links":{"self":[{"href":"https:\/\/www.nbc.com.my\/blog\/wp-json\/wp\/v2\/posts\/64"}],"collection":[{"href":"https:\/\/www.nbc.com.my\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.nbc.com.my\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.nbc.com.my\/blog\/wp-json\/wp\/v2\/users\/6"}],"replies":[{"embeddable":true,"href":"https:\/\/www.nbc.com.my\/blog\/wp-json\/wp\/v2\/comments?post=64"}],"version-history":[{"count":0,"href":"https:\/\/www.nbc.com.my\/blog\/wp-json\/wp\/v2\/posts\/64\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.nbc.com.my\/blog\/wp-json\/wp\/v2\/media\/5211"}],"wp:attachment":[{"href":"https:\/\/www.nbc.com.my\/blog\/wp-json\/wp\/v2\/media?parent=64"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.nbc.com.my\/blog\/wp-json\/wp\/v2\/categories?post=64"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.nbc.com.my\/blog\/wp-json\/wp\/v2\/tags?post=64"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}