A Comprehensive Guide to Buyer's Stamp Duty (BSD) for Residential Properties in Singapore
Published on 17/06/2024
Buyer's Stamp Duty (BSD) is a tax levied by the Inland Revenue Authority of Singapore (IRAS) on property buyers in Singapore. This guide provides a detailed overview of the BSD rates, calculations, and exemptions, helping property buyers better understand their financial obligations.
BSD Rates in Singapore
BSD is calculated based on the purchase price or market value of the property, whichever is higher. The applicable rates differ for residential and non-residential properties. Below is a breakdown of the BSD rates:
BSD is rounded down to the nearest dollar, subject to a minimum duty of S$1.
Source: IRAS
Calculation of BSD
If the purchase price of a residential property is S$2,200,000, the BSD is calculated as follows:
Source: IRAS
Exemptions and Reliefs
Certain transactions are exempt from BSD or qualify for reliefs under specific conditions. Examples include:
• Transfers between spouses under certain conditions.
• Property acquired under specific government schemes.
• Properties inherited as part of a will or intestacy.
To qualify for exemptions or reliefs, buyers must meet specific criteria and submit the necessary documentation.
Important Considerations
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Payment Timeline: BSD must be paid within 14 days from the date of the property purchase agreement. For agreements executed overseas, payment is due within 30 days of receipt in Singapore.
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Penalties for Late Payment: Failure to pay BSD on time results in penalties, which could escalate if delays persist.
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Filing Process: Buyers are required to file BSD online via the IRAS e-Stamping Portal. The system will auto-calculate the BSD payable based on the declared property value.
Overview
Understanding Buyer's Stamp Duty is essential for property buyers in Singapore. Familiarising yourself with the rates, calculations, and exemptions can help you plan your finances effectively.
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