Buyer & Seller Stamp Duty

Buyer Stamp Duty ( BSD )

Requirement to Pay BSD

BSD is tax paid on documents signed when you buy or acquire property located in Singapore.

You are required to pay BSD for documents executed for the transfer or sale and purchase of property located in Singapore. BSD will be computed on the purchase price as stated in the document to be stamped or market value of the property (whichever is the higher amount).

The table below shows the old and the latest changes in Buyer Stamp Duty. 

A simple way to calculate it will be to use this formula = 3% - $5400 

Example for a $1000,000 Property Price: 

Buyer Stamp Duty will be 900,000 x 3% - $5400 = $24,600

For Property Purchase Prices above $1mil, we will have to use the remaining amount, above the $1mil x 4% for the BSD. 

Example for a $1,100,000 Property Price: 

BSD will be $1,000,000 x 3% - $5400 = $24,600 

BSD above $1mil will be $100,000 x 4% = $4,000 

So total Buyer Stamp Duty will be $28,600 

Additional Buyer Stamp Duty ( ABSD )

Liable buyers are required to pay ABSD on top of the existing Buyer’s Stamp Duty (BSD). ABSD and BSD are computed on the purchase price as stated in the dutiable document or the market value of the property (whichever is the higher amount).

The ABSD rates have been adjusted on 6 Jul 2018.  

The ABSD liability will depend on the profile of the buyer as at the date of purchase or acquisition of the residential property:
A. Whether the buyer is an individual or an entity
B. The residency status of the buyer and
C. The count of residential properties owned by the buyer

A. Whether the Buyer is an Individual or an Entity

An entity means a person who is not an individual. It includes the following:

  • An unincorporated association

  • A trustee for a collective investment scheme when acting in that capacity

  • A trustee-manager for a business trust when acting in that capacity

  • The partners of the partnership whether or not any of them is an individual, where the property conveyed, transferred or assigned is to be held as partnership property

If a property is jointly purchased by buyers of different profiles, the profile with the highest ABSD rate will apply on the entire value purchased.

If A purchases a residential property to be held on trust for the beneficial owner B, ABSD is charged based on the profile of the beneficial owner, B.

B. The Residency Status of the Buyer

The applicable ABSD rate is based on the nationality of the buyer on the date of purchase. You must have been granted the residency status by the Immigration and Checkpoint Authority (ICA) as at the date of purchase in order to enjoy lower ABSD liability. The date of issue reflected in the IC collection slip would be taken as when the residency status was granted.

Seller Stamp Duty ( SSD )

Seller Stamp Duty (SSD) is a property tax that a property seller has to pay when he/she sells a property within the 3-year holding period (number of years that you own a property).

 

Previously between 14th January 2011 to 11th March 2017, it was a 4-year holding period. 

Currently, this tax will only be applicable to you if you bought a residential property/land on, or after 11th March 2017. 

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