Stamp Duty Self-Assessment: Tenancies Now, Property Transfers from 1 January 2027
Under LHDN's phased timetable, leases/tenancies, securities and general stamping moved to self-assessment from 1 January 2026, and transfers of real property not involving JPPH valuation follow from 1 January 2027. Agents should remind landlords, tenants, buyers and sellers to confirm early who handles stamping and payment.
The official phases
LHDN's Stamp Duty Self-Assessment System (STSDS) page lists three phases: Phase 1 from 1 January 2026 covers leases/tenancies, securities and general stamping; Phase 2 from 1 January 2027 covers transfers of real property not involving JPPH valuation; Phase 3 from 1 January 2028 covers all other instruments. Penalty rules are on LHDN's separate stamp duty penalty page.
Tenancies: already in effect
Tenancies are already in Phase 1. When helping with a tenancy, state in the agreement who bears the stamping cost and who submits it, and give both parties a copy of the stamping proof once done. If one party handles it, confirm it has been completed rather than assuming.
Agent insight: timing for 2027 transactions
This is agent analysis. For sales expected to complete across the year end, ask the lawyer early which system the transfer instrument will fall under, what documents are needed, who calculates and submits, and when payment is due. The Budget 2027 first-time buyer stamp duty exemption applies to sale agreements from 1 January 2027 to 31 December 2030; the lawyer should confirm eligibility. Do not calculate the final duty for clients yourself.
Client checklist
1) ID and tax number; 2) signing dates of the sale or tenancy documents; 3) price and payment arrangements; 4) whether JPPH valuation is involved; 5) who submits and pays; 6) stamping proof once completed. Where unsure, rely on LHDN guidance and the lawyer's advice.
FAQ
Are 2026 sale agreements affected?
Property transfers fall under Phase 2 from 1 January 2027. Ask the lawyer to confirm when and under which system each document is handled.
What if a tenancy is not stamped?
Penalties may apply and it may affect use as evidence later. Check LHDN's penalty rules.
An agent’s follow-up message
A quick reminder: tenancies are already under LHDN's stamp duty self-assessment, and property transfers follow from 1 January 2027. If your sale may complete across the year end, I suggest we ask the lawyer to confirm documents and timing now. Would you like me to arrange that?