Real Property Tax Gain (RPGT)
Real Property Gains Tax (RPGT) is imposed on gains from the disposal of real property or shares in real property companies. The Real Property Gains Tax (RPGT) rate in Malaysia depends on how long you have owned the property before selling it. As of 2025, the RPGT rates are as follows:
For individual Malaysian citizen and partner:
- Within two years: 30%
- In the third year: 30%
- In the fourth year: 20%
- In the fifth year: 15%
- In the sixth year and thereafter: NIL
For Companies / Trustee / Society:
- Within two years: 30%
- In the third year: 30%
- In the fourth year: 20%
- In the fifth year: 15%
- In the sixth year and thereafter: 10%
For Non-Citizen Individuals, Executor of Deceased Estate, Companies:
- Within two years: 30%
- In the third year: 30%
- In the fourth year: 30%
- In the fifth year: 30%
- In the sixth year and thereafter: 10%
Exemptions
- The first RM 10,000 of the capital gain or 10% of the gain, whichever is higher, is exempt from RPGT for individuals.
- Certain types of disposals, such as those involving a family home, may also be exempt under specific conditions.
- These rates apply to the gain made from the sale of real property, which is calculated as the difference between the selling price and the acquisition price (taking into account allowable costs like improvements, legal fees, etc.).
