On 15 July 2022, Prime Minister Datuk Seri Ismail Sabri Yaakob announced a stamp duty exemption for first-time home buyer through the Keluarga Malaysia Home Ownership Initiative (i-MILIKI) to assist more people in purchasing their first home in Malaysia.
What is Keluarga Malaysia Home Ownership Initiative (i-MILIKI)?
It is a stamp duty exemption incentive applicable to the instruments of transfer (Memorandum of Transfer) and loan agreements for the purchase of property by a first-time home buyer.
What are the requirements to be eligible for this stamp duty exemption under i-MILIKI:-
- 1. First-time home buyers; and
- 2. Sale and Purchase Agreement dated between 1 June 2022 to 31 December 2023.
NB: Further details on this exemption will have to wait until the official gazette is published.
What are the stamp duty exemptions under i-MILIKI?
- 1. For properties valued RM500,000.00 and below, full (100%) stamp duty payable on the instruments of transfer and loan agreements will be waived; and
- 2. For properties valued above RM500,000.00 to RM1,000,000.00, half (50%) of the stamp duty payable on the instruments of transfer and loan agreements will be waived.
Similarly, and for the benefit of first-time home buyers, the government has also introduced the Stamp Duty (Exemption) Order 2021, which exempts from stamp duty all instruments of transfer and loan agreements executed in relation to the purchase of a residential property valued up to RM500,000 (based on market value) by an individual between 1 January 2019 and 31 December 2025.
Please refer to Stamp Duty (Exemption) Order 2021 [P.U.(A) 53] and Stamp Duty (Exemption) (No. 2) Order 2021 [P.U.(A) 54] for further information regarding the stamp duty exemption.
About the Author
Clara Chu Yen Yong
Halim Hong & Quek