Malaysia Real Estate Law - Buying/Selling a House

Legal Forms | Legal Documents | Tell-A-Friend | Legal Terms Dictionary | Today's News

Looking for an Attorney or Law Firm ? Click here for Lawyers Directory

REAL ESTATE LAW - Buying / Selling a House

Related Topics : Agricultural Law . Buy / Sell a House . Commercial Real Estate . Condemnation . Landlord / Tenant . Mortgage Matters . Zoning

[Back][1][2]

SELLING A HOUSE IN MALAYSIA

1. REDEMPTION

If, at the time of sale, the house is still charged or assigned to a bank of financial institution for the loan granted to assist the purchase of the same, a redemption statement stating the amount due needs to be obtained from the financier concerned. Usually, the redemption of the house is incorporated into the sale and purchase agreement so that part of the proceeds from the sale will be utilized for that purpose.

2. REAL PROPERTY GAINS TAX

All house sellers are required to complete the Form CKHT 1 for Inland Revenue within 30 days from the date of sale and purchase agreement (Section 13 of the Real Property Gains Tax Act 1976). The sale of real property gains tax levied on all house sellers laid down in the Real Property Gains Tax Act as follows:-

30% on the profits made for sale within 2 years of purchase; /li>
20% on the profits made for sale in the third year of purchase;
10% on the profits made for sale in the fourth year of purchase;
5% on the profits made for sale in the fifth year of purchase;
for sale in the sixth year of purchase and thereafter;-
- individual – 0%
- company – 5% on the profits made

Payment of real property gains tax is also normally incorporated in the sale and purchase agreement. Usually the solicitors acting for the seller will act as stakeholders retaining 5% of the purchase price unit payment of the same.

[Back][1][2]

Last Updated : Monday, 23 July 2001 - 04:25:44 PM EDT©1999-2000
Lawyerment is a leading Malaysian legal site for consumer & small businesses. It provides general legal information to help people understand their legal rights in Malaysia, but it is not a substitute for personal legal advice from an attorney. You are welcome to view Lawyerment for your own personal, non-commercial purposes, AS IS, subject to our disclaimer & conditions of use & Privacy Policy. Lawyerment is a unit of Magnificent Communication. 1999-2000 - All rights reserved.
Comments ? Please send them to webmaster@lawyerment.com.my
Advertising Opportunities | Contact Us