Rental Stamp Duty Calculator Singapore

Rental Stamp Duty Calculator Singapore

Rental Stamp Duty Calculator Singapore

Rental Stamp Duty Calculator Singapore. This Web App will  assist you to Calculate Residential / Commercial Lease Stamp Duty  amount payable to IRAS , by inputting  the lease Period in Year or Month , Monthly Rental Amount , ( Gross Turn Over, Service Charges , Ads and  Promo Monthly Expenses) for Commercial Lease.

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Singapore Rental Stamp Duty Calculator

 

Complete Guide For Rental Stamp Duty Payment Calculation and Processing

What is Rental Stamp Duty and Why we need to Pay?

Stamp Duties are  taxes that Tenant/ Owner need to Pay to IRAS ( Inland Revenue Tax Authority Singapore ) on top of the Tenancy Agreement stated amount. Whether you are renting a whole residential / Commercial  unit or a room ,in order for the Tenancy Agreement to come into Effect as a valid Contract , Stamp Duty need to be paid.

Who will Pay ?

Normally Tenant are the one which is obligated to pay. However in some cases , Payment can be negotiated with  Landlord to bear the Stamp Duty Cost.

Which ever Party who paid , should be stated clearly in the tenancy agreement to avoid future dispute.

Just Incase there is a dispute both Party can Refer IRAS Guideline over Here

How Much  Stamp Duty Base on Tenancy Agreement you will need to Pay?

There are two types of Tenancy Stamp Duty

(a)  Residential  Lease Stamp Duty

(b)  Commercial Lease  Stamp Duty

Residential Stamp Duty Payment Calculation

The Rental Stamp Duty Calculator Singapore on  top , will help you calculate Residential  leaseStamp Duty.

For Residential  Lease, The Stamp Duty amount that need to be paid , is calculated base on  few Variables. The First Variables is the monthly Rental  Cost, follow by , duration of lease stated on the tenancy agreement.

The Below Table shows the Criteria need for computation of the Stamp Duty Cost.

Source from IRAS

Tenure(Months)

BOARD RATES % (p.a.)

AAR does not exceed $1,000

Exempted

AAR exceeds $1,000

Lease period of 4 years or less

0.4% of total rent for the period of the lease

Lease period of more than 4 years or for any indefinite term

0.4% of 4 times the AAR for the period of the lease

AAR => Annual Average Rental Income

Example 1: Lease Period 4 Years

Lease Period : 4 Years

First Year Monthly Rental : S$1500

Second Year Monthly Rental : S$ 1600

Third Year Monthly Rental: S$1700

Fourth Year Monthly Rental : S$1800

Step 1->>>>

Calculate Total Rental Income for 4 Years

Total Rental Income  For 4 Years = [ ( S$1500) + ( S$1600) + ( S$1700)  + ( S$1800) ] x 12 = S$79200

Step 2->>>>

Calculate AAR

AAR = S$79200 / 4 Years

AAR = S$19800

Step 3->>>>

Calculate Rental Stamp Duty

Stamp Duty = S$79200  x [0.4 /100] = S$316.80

Example 2: Lease Period 6 Years

Lease Period : 6 Years

First Year Monthly Rental : S$1500

Second Year Monthly Rental : S$ 1600

Third Year Monthly Rental: S$1700

Fourth Year Monthly Rental : S$1800

Fifth Year Monthly Rental : S$1900

Sixth Year Monthly Rental : S$2000

 

Step 1->>>>

Calculate Total Rental Income for 4 Years

Total Rental Income  For 6 Years = [ ( S$1500) + ( S$1600) + ( S$1700)  + ( S$1800) + ( S$1900)+ ( S$2000)] x 12 = S$126 000

Step 2->>>>

Calculate AAR

AAR = S$126000 / 6 Years

AAR = S$21000

Step 3->>>>

Calculate Rental Stamp Duty

Stamp Duty =4 Times AAR x 0.4%= S$21000 x 4  x [ 0.4/100] = S$336

Commercial Stamp Duty Payment Calculation

The Rental Stamp Duty Calculator Singapore on  top , will help you calculate Commercial lease Stamp Duty.

For Commercial  Lease, The Stamp Duty amount that need to be paid , is calculated base on  few Variables. The First Variables is the monthly Rental  Cost, follow by , duration of lease stated on the tenancy agreement, Monthly Gross Turn Over  x 0.5% , Unit Up keep Service Charges,  Ads and Promotion Charges

 

The Below Table shows the Criteria need for computation of the Stamp Duty Cost.

 

Tenure(Months)

BOARD RATES % (p.a.)

Lease period of 4 years or less

0.4% of total rent for the period of the lease

Lease period of more than 4 years or for any indefinite term

0.4% of 4 times the AAR for the period of the lease

AAR => Annual Average Rental Income

Other Expenses Need to be Bared by Tenant for Commercial Lease

Expenses Descriptions

Rate

Gross Turn Over Fractional 0.5% of Monthly Gross Turn Over  ( Depends on Land Lord)
Service Charges Depends On Land Lord
Monthly Advertising & Promotion Charges Depends On Land Lord

Example 1: Lease Period 1 year

Lease Period : 1 Years

First Year Monthly Rental : S$6000

Average Monthly Turn Over : S$100000

Additional Rental : 0.5% of GTO

Monthly Service Charges : S$400

Monthly Advertising and Promotional Charges : S200

 

Step 1->>>>

Calculate Total Rental Income for 4 Years

Total Rental Income  For 4 Years = S$6000 x 12 = S$72000

Additional Rental Total = 0.5% x GTO x 12 = 0.5% x S$100000 x 12 =S$4800

Monthly Service Charge Total  = S$400 x12 = S$4800

Monthly Advertising and Promotional Charges Total  : S200 x 12 = S$2400

Total Rental + Miscellaneous Charges =  S$72000 +S$4800 +S$4800+ S$2400 =S$84000

Step 2->>>>

Calculate AAR

AAR = S$84000

 

Step 3->>>>

Calculate Rental Stamp Duty

Stamp Duty = S$84000  x [0.4 /100] = S$336

When to Pay stamp duty?

The Normal Practice is, Stamp Duty need to be paid before Signing the Tenancy Agreement .However there are no penalty impose if  the stamp Duty is being paid  after 14 days  of the  Tenancy Agreement  Signed date  in Singapore. For Oversea the deadline will be 30 days.

Penalty of Not Paying Stamp Duty?

Is an Offence not paying stamp Duty

A penalty of up to 4 times may be imposed on documents that are unstamped, stamped late or insufficiently stamped.

Late payment penalty of rental stamp duty?

No Exceeding 3 Months ->Penalty of $10 or an amount equal to the duty payable, whichever is greater

Exceeding 3 Months -> Penalty of $25 or 4 times of the duty payable, whichever is greater

Paying Stamp Duty Online

1. Login  Singpass on the IRAS e-Stamping portal

2. Select the  “Payments and Transactions”

3. Enter your Search criteria

4. Key in your Credential and Make Payment

5. Print your Payment Slip and Save it

6.Save your Stamp Duty E Certificates

Documents Needed to Pay Stamp Duty

1. Sing Pass Account

2. Tenancy agreement

3. Identity details for and landlord

Visit a Physical Location to Get your Tenancy Agreement Stamped and Paid Off the Stamp Duty

Prior to that you can use  the Rental Stamp Duty Calculator Singapore app at this site , to estimate the amount of Stamp Duty you might need to pay.

Physical Location

Branch

Address

Opening Hours

Novena Post Office Revenue House
55 Newton Road
#01-02
Singapore 307987
Mon – Fri: 8.30am – 5.30pm

Sat: 8.30am – 1.00pm

Raffles Place Post Office Ocean Financial Centre
10 Collyer Quay
#B1-11
Singapore 049315
Mon – Fri:  8.30am – 6.00pm
Shenton Way Post Office Downtown Gallery

6A Shenton Way

#03-23

Singapore 068815

Mon – Fri: 8.30am – 6.00pm

 

Note: Closed until further notice.

Chinatown Post Office People’s Park Centre

101 Upper Cross Street

#B1-17A

Singapore 058357

Mon – Fri: 9.30am – 6.00pm

Sat: 9.30am – 2.00pm

Other Options  to Pay Stamp Duty

Prior   paying Stamp duty online, you can use the Rental Stamp Duty Calculator Singapore web App to estimate the amount of  Payment.

Source

FAST via DBS/ POSB Account ->

Must have a DBS/ POSB personal bank account (i.e. non-corporate account)

Payment instructions

AXS payment

AXS Kiosk (Nets only)

AXS Mobile and Website

Payment instructions

 eNETS

Must have Internet Banking Account for UOB, OCBC

DBS/POSB,

 

Cheque / Cashier’s Order

Refer IRAS Website

 

GIRO

 

Cash

Pay at Singpost Branches

Check out Buyer Stamp Duty Calculator Here