Late Filing or Non-Filing of Notice of Transfer

Most taxpayers file their Notice of Transfer on time. You stand to face enforcement actions for late or non-filing of your Notice of Transfer.

Responsibility to File

The person who sells or transfers the property has to file a Notice of Transfer within one month after the sale or transfer of the property. Usually, the Notice of Transfer is filed by the lawyers on behalf of the sellers/transferors.

Property Tax Liabilities

The seller/transferor shall continue to be liable for payment of all taxes on the property and perform the duty of the property owner, until the Notice of Transfer has been submitted to IRAS.

Consequences for Late / Non-Filing of Notice of Transfer

IRAS may take the following actions if you fail to file the Notice of Transfer within one month after the sale or transfer of the property:

  1. Offer to compound the offence with a composition amount not exceeding $5,000; and/or
  2. Summon you to Court.

Offer of Composition

It is an offence if you fail to file your Notice of Transfer within one month after the sale or transfer of the property. Instead of taking prosecution actions, IRAS may allow you to settle the offence through the payment of a composition amount.

The composition amount ranges from $100 to $5,000 and the amount is dependent on past filing and payment records. A notice will be sent to inform you of the composition amount.

If you receive an offer of composition, you should take the following actions immediately:

  1. File the Notice of Transfer immediately; and
  2. Pay the composition amount before the due date stated in the notice to avoid being summoned to Court.

Court Summons

A Summons may be issued to you to attend Court on a specified date if IRAS does not receive:

  1. The Notice of Transfer; and/or
  2. Payment of the composition amount before the due date.

One Week Before the Court Date

If you do not wish to attend Court, you should take the following actions at least one week before the Court date:

  1. File the Notice of Transfer; and
  2. Pay the composition amount
Attending Court

In Court, you will have to take a plea after the charges are read. Upon conviction, you will be fined up to $5,000.

Paying the Composition Amount

After filing the Notice of Transfer, settle the case by paying the composition amount before the due date.

Please quote the payment slip number when making payment for the composition amount using the preferred payment modes. GIRO payment mode is not applicable for payment of the composition amount.