2014 BUDGET - RPGT

Real Property Gain Tax 2014

During Budget 2014 announcement, effective from 1st Jan 2014, the Real Property Gain Tax (RPGT) will be 30% for any property disposed within three (3) years of purchase. For properties disposed on the fourth year, RPGT is at 20% and as for properties disposed on the fifth year, RPGT is at 15%. While properties purchased and disposed by individuals after five years are not subject to any RPGT but for companies and foreigners, they are subject to a RPGT of 5%.

RPGT imposed on foreigners for the disposal of property within the first five years is flat at 30%. The Budget has also announced that the property minimum value for foreigners will be increased from RM500k to RM1m for 2014.

REAL PROPERTY GAIN TAX
	Disposal on or after 27 Oct 1995 to 31 Mar 2007	1 Apr 2007 to 31 Dec 2009 (Tax Exemption Period)	From Jan 2010	From Jan 2012	From Jan 2013	From Jan 2014	From Jan 2014 Company & Foreigner
Disposal in 1st year	30%	0%	5%	10%	15%	30%	30%
Disposal in 2nd year	30%	0%	5%	10%	15%	30%	30%
Disposal in 3rd year	20%	0%	5%	5%	10%	30%	30%
Disposal in 4th year	15%	0%	5%	5%	10%	20%	20%
Disposal in 5th year	5%	0%	5%	5%	10%	15%	15%
Disposal in 6th year and above	0%	0%	0%	0%	0%	0%	5%