IMPORTANT: On 15 Dec 2021, the Government announced that ABSD rates will be raised with effect from 16 Dec 2021, as part of a package of measures to cool the private residential and HDB resale markets. You may refer to the attached ABSD Fact Sheet (PDF, 136KB) for more details on the new ABSD rates and transitional provision. 

Liable buyers are required to pay ABSD on top of the existing Buyer’s Stamp Duty (BSD). ABSD and BSD are computed on the purchase price as stated in the dutiable document or the market value of the property (whichever is the higher amount).

All buyers / transferees (i.e. individuals, entities including housing developers) are required to complete the ABSD Declaration Form to be witnessed by their lawyers (if applicable). The completed form need not be submitted to IRAS but it should be retained for at least 5 years from the date of purchase / acquisition of the property as IRAS may request for it for audit purposes. 

Determining ABSD Liability

The ABSD liability will depend on the profile of the buyer as at the date of purchase or acquisition of the residential property:
A. Whether the buyer is an individual or an entity
B. The profile of the buyer and
C. The count of residential properties owned by the buyer

Date of Purchase or Acquisition refers to

  1. Date of execution of the Acceptance to the Option to Purchase or
  2. Date of Sale & Purchase Agreement or
  3. Date of transfer where (1) and (2) are not available nor applicable

Transitional Provision

There is a transitional ABSD remission for residential properties acquired on or after 16 Dec 2021, such that the old ABSD rates (i.e. the ABSD rates from 6 Jul 2018 to 15 Dec 2021), instead of the new ABSD rates (i.e. the ABSD rates on or after 16 Dec 2021), will apply. For buyers to be eligible for the transitional ABSD remission, all of the following conditions must strictly be met:

  1. The option to purchase ("OTP") is granted on or before 15 Dec 2021; 
  2. This OTP is exercised* on or before 5 Jan 2022 or the date of expiry of the OTP validity period, whichever is the earlier; and
  3. This OTP is not varied (including any extension of the validity period) on or after 16 Dec 2021. 

* For stamp duty purposes, the OTP is considered exercised when the Acceptance to OTP or Sale and Purchase Agreement (whichever applicable) is executed, i.e. signed by the buyer. 

This remission is not applicable for Singaporean Citizen or Singapore Permanent Resident buying 1st residential property as there is no change to their ABSD rates. 

How to apply for the transitional ABSD remission 

To apply for the remission, please submit an application via https://go.gov.sg/2021ABSDremission (for SingPass users) or https://go.gov.sg/2021ABSDremission-corp (for CorpPass users) within 14 days after the date of execution of the instrument. There will be an acknowledgement email upon successful submission of the FormSG. 

For applicants who declared in the application form that there are 4 or more Buyers or Sellers, please click the links below to download the excel template which is to be completed and uploaded with the FormSG submission.

Changes for Entities and Housing Developers 

All entities will be subject to the new ABSD rate of 35%. Housing developers will continue to be subject to an additional non-remittable ABSD rate of 5% upon stamping. For acquisitions made on or after 16 December 2021, housing developers may apply for remission on the ABSD rate of 35% under the Stamp Duties (Non-licensed Housing Developers) (Remission of ABSD) Rules and the Stamp Duties (Housing Developers) (Remission of ABSD) Rules.

A. Whether the Buyer is an Individual or an Entity

An entity means a person who is not an individual. It includes the following:
  • An unincorporated association
  • A trustee for a collective investment scheme when acting in that capacity
  • A trustee-manager for a business trust when acting in that capacity
  • The partners of the partnership whether or not any of them is an individual, where the property conveyed, transferred or assigned is to be held as partnership property

If a property is jointly purchased by buyers of different profiles, the profile with the highest ABSD rate will apply on the entire value purchased.

If A purchases a residential property to be held on trust for the beneficial owner B, ABSD is charged based on the profile of the beneficial owner, B.

B. The Profile of the Buyer

The applicable ABSD rate is based on the profile of the buyer on the date of purchase. You must have been granted the Singapore Citizenship status or Singapore Permanent Resident status by the Immigration and Checkpoint Authority (ICA) as at the date of property purchase in order to enjoy lower ABSD liability. The date of issue reflected in the IC collection slip would be taken as when the status was granted.

C. The Count of Residential Properties Owned by the Buyer

1. Count from Date of Contract or Agreement

If a Contract or an Agreement to purchase the property has been signed, that property is to be included in the count of properties owned by a buyer (A) from the date of acceptance of the agreement, even if it has not been legally transferred to him as he already has an equitable interest in the property.

This also includes the purchase of an uncompleted unit from the developer if the Sale & Purchase Agreement has been signed.

Similarly, the property is to be excluded from the count of properties owned by a buyer (A) if there is already a Contract or an Agreement to sell his property and the new buyer (B) has executed his option to buy the property.

2. Full Count for Partial Ownership and Joint Ownership

As long as a buyer owns any interest in a property, that property will be included in the count of properties owned by him. For example, if a person jointly owns a property with his wife, and owns 20% share of another property with his sibling, the number of properties owned by him is counted as two properties.

3. Property held on Trust

If A purchases a residential property to be held on trust for the beneficial owner (B), the property will be included as a count for B.

4. Purchase of Multiple Properties in One Transaction

Although many properties may be bought under a single contract, each property will be counted as a separate property. Where applicable, the buyer may choose any one of the multiple properties to be subject to ABSD. For example, if a Singapore Citizen who does not own any residential property decides to purchase two residential properties in one contract, he may choose any one of the units to be subject to ABSD.

If multiple properties are jointly purchased by buyers of different profiles, each property will be counted as a separate property and the profile with the highest ABSD rate will apply on each property as if the buyers are acquiring the properties jointly under separate instruments. For example, a Singapore Citizen who owns one residential property decides to purchase three residential properties ("Property A, B and C") together with a Singapore Permanent Resident who does not own any residential property, in a single contract. The ABSD rates applicable on the purchase of Property A, B and C are 17%^, 25%* and 30%# respectively. 

^17% because Property A is the Singapore Citizen's second residential property, whose profile is higher than his co-purchaser's (Singapore Permanent Resident's first residential property).

*25% because Property B is the Singapore Citizen's third residential property and the Singapore Permanent Resident's second residential property. Both profiles attract a 25% ABSD rate.

#30% because Property C is the Singapore Permanent Resident's third residential property, whose profile is higher than his co-purchaser's (Singapore Citizen's third and subsequent property).

5. Properties acquired to be included in the property count

Apart from properties that have been purchased, properties acquired or transferred by way of gift, inheritance, release, settlement, declaration of trust (where the beneficial interest of the property passes to the beneficiary), letter of authority and exchange are to be included in the property count.

6. HDB Shop with Living Quarters and Shophouse

HDB shops with living quarters or shophouses with a portion permitted for residential use will be included as a residential property count.

7. Exclusion of Properties Gazetted for Compulsory Acquisition

All residential properties gazetted for compulsory acquisition are to be excluded from the count of properties.

8. Exclusion of Properties Located Outside Singapore

All residential properties located outside Singapore are to be excluded.

Rates and Computation

ABSD Rates on the higher of the purchase price or market value
Profile of Buyer ABSD Rates from 8 Dec 2011 to 11 Jan 2013 ABSD Rates from 12 Jan 2013 to 5 Jul 2018 ABSD Rates from 6 Jul 2018 to 15 Dec 2021ABSD Rates on or after 16 Dec 2021
Singapore Citizens (SC) buying first residential property1 Not applicable Not applicable Not applicable Not applicable
SC buying second residential property1 Not applicable 7% 12% 17%
SC buying third and subsequent residential property1 3% 10% 15% 25%
Singapore Permanent Residents (SPR) buying first residential property1 Not applicable 5% 5% 5%
SPR buying second residential property1 3% 10% 15% 25%
SPR buying third and subsequent residential property13%10%15%30%
Foreigners (FR) buying any residential property1 10% 15% 20% 30%
Entities2buying any residential property1 10% 15%

25%3

(Plus Additional 5% for Housing Developers4 (non-remittable)5

35%3

(Plus Additional 5% for Housing Developers4 (non-remittable)5

ABSD is to be rounded down to the nearest dollar, subject to a minimum duty of $1.

 1  Whether owned wholly, partially or jointly with others.

 2 An Entity means a person who is not an individual. It includes the following:

  • An unincorporated association,
  • A trustee for a collective investment scheme when acting in that capacity,
  • A trustee-manager for a business trust when acting in that capacity
  • The partners of the partnership whether or not any of them is an individual, where the property conveyed, transferred or assigned is to be held as partnership property.

3 As entities, Housing Developers will also be subject to the ABSD rate for entities as follows:

  • For the period from 6 Jul 2018 to 15 Dec 2021, Housing Developers will be subject to the ABSD rate of 25%.
  • For the period on or after 16 Dec 2021, Housing Developers will be subject to the ABSD rate of 35%.

Housing Developers may apply for remission of this 25% or 35% ABSD, subject to conditions. 

Housing Developers refer to entities in the business of housing development (i.e. construction and sale of housing units) with respect to the subject property acquired. 

5 This 5% ABSD for Housing Developers is in addition to the 25% (from 6 Jul 2018 to 15 Dec 2021) or 35% (on or after 16 Dec 2021) ABSD for all entities. This 5% will not be remitted, and is to be paid upfront upon purchase of residential property. 

Example: A Foreigner purchases a unit at a market value of $2 million on 16 Dec 2021 and the ABSD rate of 30% applies.

Computation of ABSD   
 30% of $2,000,000 = $600,000
 ABSD Payable $600,000

All entities will be subject to the new ABSD rate of 35%. In addition, Housing Developers are subject to an additional non-remittable ABSD rate of 5% upon stamping, i.e. aggregate ABSD rate of 40%. Such developers may apply for remission on the ABSD rate of 35% under the ABSD remission for development of 4 or less units of housing accommodation or ABSD remission for development of 5 or more units of housing accommodation.

Entities who are acquiring residential properties with no intention to carry out housing development (i.e. construction and sale of housing units) with respect to the subject property acquired should pay the ABSD rate of 35%. 

It is important for the purchasing entity to decide whether it will undertake housing development of the subject property at the point of purchase, in order to ascertain the applicable ABSD treatment. Any subsequent change of intention will not be considered for stamp duty purposes. For example, entities who have paid the ABSD rate of 35% will not qualify for the ABSD Housing Developers Remission, even if they fulfil the remission conditions subsequently. Similarly, developers who paid the ABSD rate of 5% and applied for the ABSD Housing Developers Remission cannot withdraw their application subsequently. If they are unable to meet the remission conditions, the remitted ABSD of 35% will be recovered with interest.

FAQs

2021 ABSD Rate Increase

Why is the Government introducing cooling measures for the private residential market now?

The private residential market has been buoyant, despite the economic impact of COVID-19. Private housing prices have risen by about 9% since 1Q2020. Even though House Price-to-Income ratio remain below the historical average, there is clear upward momentum. Amid the low interest rate environment, transaction volumes in the private housing market have also been high despite the COVID-19 situation. If left unchecked, prices could run ahead of economic fundamentals, and raise the risk of a destabilising correction later on. Borrowers would also be vulnerable to a possible rise in interest rates in the coming years. 

The Government has therefore decided to implement a set of measures to cool the private residential market.  The measures are calibrated to dampen broad-based demand, especially from those purchasing property for investment instead of owner-occupation.

For purchase by Singapore Citizens (SC)

I am an SC currently owning only one private apartment. I am considering selling it and buying a terrace house. Do I have to pay ABSD when I buy the terrace house?

If you have contracted to sell your only apartment before you execute the Acceptance to the Option to Purchase for the terrace house, you do not need to pay ABSD.

But if you have not contracted to sell your apartment, your purchase of the terrace house will be your second property on which you need to pay ABSD at 17%.

I am a SC currently owning a private flat. If I were to downgrade to an HDB resale flat, do I have to pay ABSD on the HDB resale flat?

As HDB’s rules require buyers to dispose of their private properties within 6 months of the resale flat purchase, ABSD remission will be given upfront to purchasers of HDB flats. You do not need to pay ABSD when you buy the flat.

My wife and I are SC and we jointly own an apartment. We intend to jointly purchase a terrace house that is under construction. Do we need to pay ABSD?

The ABSD of 17% is payable as the terrace house will be your second property. However, if you dispose of your apartment within 6 months from the date of TOP/CSC (whichever is earlier) of the terrace house, you may be eligible for the refund of ABSD.

My wife and I are SC and we jointly own one semi-detached house. I also inherited a 10% share of another property from a deceased relative. If I now buy a condominium unit together with my son who is an SC and does not own any property, do we have to pay ABSD on the purchase of the condominium unit?

Ownership of a partial interest in a property will add to the count of property owned by you. Thus you would have owned two residential properties before you purchase the condominium unit. The purchase of the condominium unit with your son will be your third residential property. Hence you and your son would have to pay ABSD at 25% on the full purchase price/market value (whichever is higher) of the condominium unit based on your ABSD profile which is the higher of the two profiles.

I am an SC currently owning only a 20% share in a house co-owned with my mother. Should my mother transfer her 80% share of the house to me, do I need to pay ABSD? If I were to buy another private flat after that, what would be the ABSD rate?

As you are a Singapore citizen who only owns one residential property and are acquiring additional interest in the same property from the co-owner, no ABSD is payable on the acquisition.

However, please note that BSD is still payable on the acquisition of your mother’s 80% share of the property.

Your subsequent purchase of the private flat would be your second property which would attract the ABSD rate of 17%.

I am an SC and I co-own a house with my mother. My husband who is also an SC does not own any residential property. If we buy our first matrimonial home jointly, do we need to pay ABSD?

The matrimonial home will be your second property and therefore both of you will have to pay ABSD at 17% based on your ABSD profile which is the higher of the two profiles. However, you may be eligible for the ABSD refund if you dispose of your interest in the house that is co-owned with your mother within 6 months from the date of purchase/TOP/CSC (whichever is applicable or earlier) of your matrimonial home.

I am an SC. I own 2 residential properties, 1 of which I own jointly with my mother, and the other with my husband. My husband now wishes to transfer his share of the jointly owned property to me. Do I need to pay ABSD on the transfer given that I already own half share in the property?

As you are a Singapore citizen owning two properties (albeit partial interest in each property), the acquisition of your husband’s half share would be counted as your third property and subject to 25% ABSD.

However, as you are a Singapore citizen who owns two properties and are acquiring additional interest in one of the two properties which you already have a partial interest in, there is a remission available which would reduce the ABSD to 17%. Please apply for the remission by submitting a request for e-Assessment at the e-Stamping Portal.

Please note that BSD is still payable on the acquisition of your husband’s half share.

I am an SC. I own 3 residential properties, 2 in my sole name and the other jointly with my husband. My husband now wishes to transfer his share of the jointly owned property to me. Do I need to pay ABSD on the transfer given that I already own half share in the property?

As you are a Singapore citizen owning three properties, the acquisition of your husband’s half share would be counted as your fourth property and subject to 25% ABSD.

Please note that BSD is still payable on the acquisition of your husband’s half share.

I am a widow and I jointly own a terrace house with my son. We are both SC. We intend to downgrade to a condominium unit. Can we apply for ABSD refund if we dispose of the terrace house within 6 months from the purchase of the condominium unit?

No. You will not qualify for ABSD refund as the ABSD refund is a special concession given only to Singaporean married couples, to facilitate their changing of homes. You will need to dispose of your terrace house first if you wish to avoid paying ABSD on your next purchase.

For purchase by SC and others (Singapore Permanent Residents (SPR) and Foreigners (FR))

I am an SC married to a SPR. We jointly own a private apartment. If we buy another house jointly, what is the ABSD payable by us?

The purchase of the house will be your second property for both yourself and your spouse. As your spouse is a SPR, both of you will have to pay ABSD at 25% of the purchase price/market value (whichever is higher) of the house. However, you may be eligible for the ABSD refund if you and your spouse dispose of your first property within 6 months from the date of purchase/ TOP/ CSC (whichever is applicable or earlier) of your second property.

I am an SC married to a SPR. We jointly own a 3-room HDB flat. If we upgrade to a 5-room flat, do we need to pay ABSD?

As HDB’s rules require buyers to dispose of their existing flats within 6 months from the possession of new HDB flats, ABSD remission will be given upfront. You do not need to pay ABSD when you buy the 5-room HDB flat.

I am an SC married to a SPR. We jointly own a 5-room HDB flat. If we upgrade to a private flat, do we need to pay ABSD?

The purchase of the house will be your second property for both yourself and your spouse. As your spouse is a SPR, both of you will have to pay ABSD at 25% of the purchase price/market value (whichever is higher) of the house. However, you may be eligible for the ABSD refund for second residential property if you and your spouse dispose of the HDB flat within 6 months of the date of purchase/ TOP/ CSC (whichever is applicable or earlier) of your private flat.

I am an SC married to an SPR. Both of us do not own any property in Singapore. If we jointly purchase our first matrimonial home, do we need to pay ABSD?

SPRs are required to pay ABSD at 5% if they buy their first residential property on their own or jointly with SC. However, if both you and your SPR spouse do not own any property and the matrimonial home is the only residential property owned by you and your spouse, you may be eligible for the ABSD remission for SC married couples.

For purchase by non-SC

I am an SPR buying my first HDB resale flat. Do I need to pay ABSD?

From 12 Jan 2013, SPR buying their first residential property including HDB flat would have to pay ABSD at 5%.

I am an SPR owning one private apartment. If I downgrade to a HDB resale flat, do I need to pay ABSD on the HDB flat?

As HDB’s rules require buyers to dispose of all their private properties within 6 months from the completion date of the HDB resale flats, the ABSD remission will be given upfront. You only need to pay ABSD at 5% instead of 25% when you buy the HDB flat.

I am an SPR owning one private apartment. If I purchase a second private apartment, what is the ABSD payable by me?

As you are a Singapore Permanent Resident buying your second residential property, you will need to pay ABSD at 25% of the purchase price/market value (whichever is higher) of the private apartment.

I am an SPR owning two private apartments. If I purchase a third or subsequent private apartment, what is the ABSD payable by me?

As you are a Singapore Permanent Resident buying your third or subsequent residential property you will need to pay ABSD at 30% of the purchase price/market value (whichever is higher) of the private apartment.

I am an SPR. I am also a citizen of United States of America. There is a Free Trade Agreement signed between USA and Singapore. Which ABSD rate will apply to me when I buy my first residential property in Singapore?

You will be accorded the same treatment as a Singapore Citizen. You do not need to pay ABSD on your first property purchase. The ABSD rates of 17% and 25% will apply when you buy the second and additional residential properties respectively.

If I am in the process of obtaining my SC or SPR at the time of purchase, can I later apply for a remission to enjoy lower ABSD rates based on my new status?

The applicable ABSD rate is based on the profile of the buyer on the date of purchase. You must have been granted the Singapore Citizenship status or Singapore Permanent Resident status by the Immigration and Checkpoint Authority (ICA) as at the date of purchase in order to enjoy lower ABSD liability. The date of issue reflected in the IC collection slip would be taken as when the status was granted.

Property Type

I am buying a HDB shop with living quarters. Is ABSD payable?

ABSD is payable only on the apportioned value of the living quarters. You may get a professional valuer to value the living quarters.

I am buying a strata shop unit. Is ABSD payable?

If the strata unit is permitted to be used as a shop by a Written Permission given under section 14(4) of the Planning Act for a period exceeding 10 years, ABSD is not payable.

I am buying a mixed-use development on land zoned ‘Residential’. Is ABSD payable?

As the land is zoned ‘Residential’ and hence the development is capable of being developed or used for fully residential purposes, ABSD is payable.

I am buying a semi-detached house which has been approved as a child care centre for three years. Is ABSD payable?

ABSD is payable as this is a residential property and the use as a child care centre is only a temporary permitted use.

Property Count

I am an SC owning one house in Malaysia but none in Singapore. Is ABSD payable when I buy my first residential property in Singapore?

Only residential properties in Singapore are included in the property count which is used to determine ABSD liability. As this is your first residential property in Singapore, ABSD is not payable.

I am an SC. My only house has been gazetted to be compulsorily acquired by the Government. If I buy another residential property now, do I need to pay ABSD?

Properties gazetted for compulsory acquisition will be excluded from the count of properties. As such, your count of properties owned is zero and hence ABSD will not be payable on your purchase of the next residential property.

Payment

When must BSD and ABSD be paid?

BSD and ABSD must be paid within 14 days after the date of the signed Contract or Agreement. Where the Contract or Agreement is executed (signed) overseas, BSD and ABSD must be paid within 30 days after the receipt of the Contract or Agreement in Singapore. A document is considered to be duly stamped only when stamp duty is fully paid. Audit checks will be conducted by IRAS to ensure that BSD and ABSD are duly paid. Under the Stamp Duties Act, a penalty of 4 times the amount of unpaid duty can be imposed.

What if I do not have enough funds to pay ABSD? Can ABSD be deferred or paid by instalments?

Stamp duty is an upfront cost that a buyer has to consciously set aside when he decides to purchase a property. It must be paid in full and cannot be deferred. Inadequate payment or late payment of stamp duty is tantamount to non-stamping and penalties would apply.

How do I pay ABSD?

Where BSD and ABSD are payable on the same document, you should pay both BSD and ABSD using the same form named Buyer’s Stamp Duty (and ABSD, if applicable) available at our e-Stamping portal (https://estamping.iras.gov.sg) The form is located under the header of ‘Sale and Purchase / Transfer’.

Others

If a seller were to backdate the date of offer of his Option upon the request of the buyer to avoid paying ABSD at a higher rate, is this an offence?

Yes, it is an offence under Section 62 of Stamp Duties Act to evade stamp duty by executing a document where facts and circumstances are not fully and truly set forth. Any person guilty of such an offence shall be liable on conviction to a fine not exceeding $10,000 or to imprisonment for a term not exceeding 3 years or to both.

I bought a condominium unit from a developer who has offered me 15% direct cash discount and this discount is also stated in the document to be stamped. Should I pay stamp duty on the purchase price before or after discount?

The amount of direct cash discount may be deducted from the purchase price to determine what is the amount of consideration for stamp duty purpose. This is provided that the nett price is still reflective of the market value.

I did not have to pay ABSD on the purchase of my new flat because I managed to sell my previous property just before the purchase of my new flat. However, my buyer has now aborted the purchase of my previous property. Do I need to pay ABSD on my new flat now?

You are to disclose to IRAS the failed sale of your previous property and the circumstances of the aborted sale. Whether ABSD would be clawed back from you and what further action would be taken by IRAS would depend on the circumstances of the case. For information, the Commissioner of Stamp Duties may invoke the anti-avoidance provision under Section 33A of the Stamp Duties Act if there is reason to suspect that the sale of your previous property was fictitious and was schemed to avoid or reduce payment of ABSD.