Additional Buyer’s Stamp Duty (ABSD)
The Additional Buyer’s Stamp Duty (ABSD) is a measure implemented by the Singapore Government to curb rising property prices. The latest revision was on 6 July 2018. ABSD is to be paid by certain profiles of people who buy or acquire residential properties (including residential land). The rate for foreigners has increased to 20%.
Under the Free Trade Agreements (FTAs), the Nationals or Permanent Residents of these countries will be given the same tax treatment as Singapore Citizens.
- Nationals and Permanent Residents of Iceland, Liechtenstein, Norway or Switzerland.
- Nationals of the United States of America.
|Buyers’ Citizen Type||Rate on 1st purchase||2nd purchase||3rd and subsequent purchase|
|Singapore Citizens (SC)||Not Applicable||12%*||15%*|
|Singapore Permanent Residents (SPR)||5%*||15%*||15%*|
|Non-Individuals (Corporate entities)||25%*||25%*||25%*|
*Of the total price or market value of the property, whether wholly, partially or jointly owned.
When a married couple intends to buy their first HDB flat or Executive Condo (EC), they can apply for a waiver of ABSD as long as at least one of the applicants is a Singapore Citizen (SC). On the other hand, if one of the applicants is a Singapore Permanent Resident (SPR), they can appy for a ABSD remission of 5%.
If one of the applicants is a citizen, after obtaining the Temporary Occupation Permit (TOP) for the 2nd property, they can apply for ABSD refund if their first property is sold off within 6 months.
Buyer’s Stamp Duty (BSD)
Buyer’s Stamp Duty (BSD) is a tax on documents relating to the purchase of a property. It is paid by the buyer within 14 days from the date of signing of the Sale & Purchase Agreement. The computation is as follows:
- On the first S$180,000 – 1%
- On the second S$180,000 – 2%
- Thereafter – 3% (for transacted price below S$1 million), 4% (for transacted price above S$1 million)
For example: Purchase Price of property – S$1,200,000 Stamp Duty: S$32,600
BSD is applicable for all buyers of properties, regardless of nationality. Singapore Citizen (SC), Singapore Permanent Resident (SPR) and foreigners have to pay BSD when there is a sale of property.
Seller’s Stamp Duty (SSD)
The government introduced a Seller’s Stamp Duty (SSD), for sellers who purchased residential properties on or after 20 Feb 2010 and sell them within a specified holding period. A revision was made on 10 Mar 2017.
SSD was part of the cooling measures implemented by the Singapore Government to combat rising property prices. As long as the property is sold off within the stipulated holding period by the government, applicable SSD would be payable by the seller.
|Date of Purchase||Holding Period||SSD Rate|
|On and after 11 Mar 2017||Up to 1 year||12%|
|More than 1 year and up to 2 years||8%|
|More than 2 years and up to 3 years||4%|
|More than 3 years||No SSD payable|
SSD is payable within 14 days of the date of Contract or Agreement.
Exemptions from SSD:
- Developers selling residential properties
- HDB and JTC selling residential properties
- Residential properties acquired by the government under Land Acquisition Act (LAA)
- Bankruptcies selling residential properties
- Foreigners selling residential properties as required under Private Residential Act
- HDB flats acquired under Selective En-bloc Redevelopment Scheme (SERS)