Which residential property price bands face higher buyer stamp duty?

Question

Accepted Answer

Higher Buyer Stamp Duty Rates Apply to Residential Properties Valued Above S$1.5 Million

Effective February 15, Singapore has implemented increased Buyer's Stamp Duty (BSD) rates for residential properties. Specifically, the portion of a property's value exceeding S$1.5 million up to S$3 million will now be taxed at 5 per cent. Furthermore, any value above S$3 million will be subject to a 6 per cent tax rate. Prior to these changes, the rate for the portion of property value over S$1 million was 4 per cent. These adjustments are anticipated to impact approximately 15 per cent of all residential properties.
Increased Tax on Mid-to-High Value Residential Properties

The revised tax structure introduces a new tier for properties valued between S$1.5 million and S$3 million, with a 5 per cent BSD. Previously, this segment of property value, along with higher values, was taxed at a uniform 4 per cent rate for anything exceeding S$1 million. This segmented approach targets a specific range of higher-value residential assets.
Highest Tax Bracket for Properties Exceeding S$3 Million

A further increase in taxation is applied to residential properties with a value exceeding S$3 million, which will now incur a 6 per cent BSD on that portion of their value. This represents the highest tax bracket introduced in these changes, aimed at the most expensive segment of the residential property market.
Impact on a Significant Number of Transactions

These tax revisions are projected to affect a notable portion of the residential property market. Based on 2022 data, it is estimated that around 50 per cent of property transactions could be subject to the increased BSD rates, considering that 15.4 per cent of transactions were at least S$3 million and 39.2 per cent were between S$1.5 million and S$3 million.

Reading history

Hide →

This history is cleared when the page is closed.

Which residential property price bands face higher buyer stamp duty?

Loading

Was this article helpful?

Helpful

Not helpful

Report an issue

1

0

0

Share with friends