Legal Fees for Sale and Purchase Agreement
Legal fees for drawing up the Sale and Purchase to completion
of transfer depends on the property value as set out in the Sales
and Purchase Agreement or the market value as determined by Valuation
Department. |
Purchase from individual/ public action/ developer
etc |
Value of property
|
Legal fees |
1st RM100,000
|
1% of property value (min RM200) |
Next RM4.9million
|
0.5% of property value |
Thereafter
|
0.25% of property value |
Purchase from developer with a
standard S&P Agreement
|
Value of property |
Legal fees |
Below RM30,000 |
RM120 |
RM30,001 - RM100,000 |
1% less 25% |
1st RM100,000 |
1% of property value |
Next RM4.9 million |
0.5% of property value |
Next RM5 million |
0.25% of property value |
Next RM10million |
Negotiable but not exceeding 0.25% of the excess amount of
RM10 million |
In addition there is also a 5% service tax on legal
fee and lawyers' disbursements. |
| |
Legal
fees for Loan Documentation |
Purchase from individual/ public action/ developer
etc |
Principal Instruments (Loan Agreements): |
Loan sum |
Legal fees |
1st RM100,000 |
1% of loan sum (min RM200) |
Next RM4.9million |
0.5% of loan sum |
Thereafter |
0.25% of property value |
| |
For
subsidiary Instruments (Collateral Documents): |
Within section 4(3) of the Stamp
Act 1949 |
10% of full scale for each principal instrument |
|
Purchase
from developer with a standard S&P Agreement |
Loan sum |
Legal fees |
Below RM30,000 |
RM120 |
RM30,001 - RM100,000 |
1% of loan sum less 25% |
All legal fees are subject to 5% service tax |
| |
Stamp
Duty for S&P Agreement |
Value of Property |
Stamp Duty |
1st RM100,000 subsequent |
1% |
RM 100,001 - RM 500,000 subsequent |
2% |
RM 500,001 - RM 2million |
3% |
Above RM 2million |
4% |
| |
Stamp Duty for Loan Agreement
Stamp duty for the Loan Document is RM2.50 for each RM500 or part
thereof of the loan amount
|
Stamp
Duty for transfer of house title |
Value of Property |
Stamp Duty |
1st RM100,000 subsequent |
1% |
Next RM400,000 |
2% |
Next RM1.5 million |
3% |
Thereafter |
4% |
| |
Conditions
for registration of residential properties for purpose of stamp
duty exemption |
No |
Item |
Details |
1. |
Exemption Period |
Subject to Stamp Duty (Exemption) (No.7) Order 2002 (P.U.(A)71/21.2.2002),
Stamp Duty is exempted for residential properties which
are sold during the period between 1 January 2002 to 30 June 2002.
|
2. |
Eligibility for Exemption |
Only ‘residential properties', defined as houses, condominium
units, apartments and flats built as a dwelling house –
with valid developer's licence and advertisement & sale permit
(where applicable) are eligible to register;
It must be a sale from a developer to a purchaser;
The Sale & Purchase Agreement is executed during the period
between 1 January 2002 to 30 June 2002;
Eligible properties in Peninsular Malaysia must be registered
with REHDA Malaysia. Eligible properties in Sarawak and Sabah
must be registered with Sarawak HDA and/or Sabah HDA respectively;
The stamp duty exemption is applicable to the following instruments:-
- Sale & Purchase Agreement executed between the purchaser
and the developer on or after 1 January 2002 but not later than
30 June 2002;
- All instruments affecting the transfer of title of the property
from the developer to the purchaser named in the Sale & Purchase
Agreement;
- Documents for Securing Loans.
|
3. |
Categories of Eligible Properties |
Only residential properties, defined as houses, condominium
units, apartments and flats built as a dwelling house –
with valid developer's licence and advertisement & sale permit
are eligible to participate.
All other property types are not included in this exercise.
|
4. |
Registration Exercise |
All interested developers with residential properties in Peninsular
Malaysia may register their properties with REHDA Secretariat
by completing the prescribed registration forms A and B (attached).
The registration form must be accompanied by a certified copy
of the developer's licence (DL) and advertisement & sale permit
(AP), or copies of the CFO, in the case of completed properties;
Payment of the relevant fees;
The registration exercise is open throughout the exemption period.
However, please note that Sale & Purchase Agreement affecting
the transaction must be executed between the purchaser and the
developer on or after 1 January 2002 but not later than 30 June
2002;
The address of the REHDA Secretariat is No 2C Jalan SS5D/6, Kelana
Jaya, 47301 Petaling Jaya.
|
5. |
Certification Exercise |
Only properties which have been registered with REHDA Malaysia,
Sarawak HDA and Sabah HDA will be entitled to stamp duty waiver.
Upon the sale of a property which has been registered, the developer
shall prepare a “Certificate for Stamp Duty Waiver”
as in Appendix 2, in quadruplicate, and forward all 4 copies together
with a copy of the Sale & Purchase Agreement to the REHDA
Branch in the state where the property is situated for certification;
The REHDA Branch concerned shall return 2 copies of the certification
to the developer upon payment of the relevant fee.
1 copy of the certification shall be retained by the developer
and the other to be produced to the relevant stamp duty offices
for the purpose of stamp duty exemption.
|