Updated: Nov 24
Transfer between Husband and Wife
On any instrument of property transfer executed by a husband and wife, the full imposition of stamp duty is exempt.
Transfer between Parents and Children
On the instrument of transfer of property between parents and children who hold citizenship in Malaysia, the payment of stamp duty is waived in the amount of 50%.
In Budget 2023, it has been suggested that, from 2023, there will be a flat fee of merely RM10 for the transfer of property between family members. The stamp duty exemption for property transfer and loan agreements would also increase for homes valued between RM500,000 and RM1 million.
The government would establish a nominal pricing of merely RM10 for the transfer of properties “based on love”, according to Finance Minister Datuk Seri Tengku Zafrul Aziz, who announced the presentation of the Budget 2023. Transfer between partners, parents, kids, grandparents, and grandkids falls under this category.
Given that there is now only a 50% stamp duty exemption for property transactions between parents and children, the amount saved can be rather substantial (and any other family relation). Stamp duty is only completely exempt between spouses.
Moreover, Tengku Zafrul declared that starting on December 31st,2023, the stamp duty rate for properties valued between RM500,001 and RM1,000,000 will increase from 50% to 75%. This is in addition to the 100% exemption from stamp duty for homes priced under RM500,000. The stamp duty exemptions can be fairly significant, therefore this is meant to further encourage property ownership.
E.g. a 100% exemption on an RM300,000 house purchase would result in savings of RM6,500 whereas a 75% exemption on RM750,000 would result in saving as much as RM15,000.
The Edge Market
CCS & Co.
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