Responsibility for Payment

Upon sale or transfer of a property, the buyer may need to reimburse a portion of the property tax already fully paid for the year by the seller back to the seller. The apportionment of property tax is a private arrangement between the seller and buyer. Normally the conveyancing lawyers acting for the parties would make the tax adjustments. IRAS does not apportion the tax liabilities for the parties.

Upon completion of the sale or transfer of the property, property owners need not write in to notify IRAS of the successful sale/transfer. Usually the conveyancing lawyer would notify IRAS of the new owner/(s) within one month of the sale or transfer by filing a Notice of Transfer. Once the transfer of ownership has been updated, the new owner may access their property details via myTax Portal.

Once the sale or transfer is complete, all property tax related correspondence including property tax bills will be sent to the new owner.  As the new property owner, you will be liable for all property tax on the property. 

For properties owned by more than one owner, all owners are collectively responsible for paying property tax.

The payment arrangement on the property tax payable is a private matter among the property owners. In the event of outstanding tax, enforcement action can be taken against any owner of the property to recover the tax.

Single Correspondent with IRAS

For correspondence, IRAS communicates with the owner who is listed first in the Notice of Transfer filed by the seller's lawyer. Please inform the seller's lawyer who should be listed first in the Notice of Transfer. For HDB flats, IRAS communicates with the owner who is the main applicant listed in the purchase of the flat.

IRAS will correspond with that person on all property tax matters, including payment/ refund of property tax.

If there is a preference among owners on who IRAS should correspond with, you can write in to us together with the written consent of all the owners of the property.

.

What I need to do as a legal representative

Upon demise of the owner, property tax notices will be addressed to the Legal Personal Representative (LPR) of the Estate of the Deceased and the LPR is responsible for the payment of property tax.

The LPR is also required to engage a lawyer (for private properties) or contact HDB (for HDB flats) to have the property legally transferred to the beneficiaries. The lawyer or HDB would then notify IRAS of the new owner/(s) within one month of the transfer.

Once IRAS has been notified of the new owner, IRAS will correspond with that person on all property tax matters, including payment of property tax.