Renting guide
Stamp duty on tenancy agreements in Malaysia
The 2025 rules, with worked examples. Many calculators are still out of date.
In short
- From 2025: charged on the full annual rent. No exemption.
- RM1 per RM250 (up to 1 year), RM3 (1–3 years).
- Stamp within 30 days.
- Tenant usually pays.
What stamp duty is, and why it matters
Stamp duty is a government tax on certain documents, including tenancy agreements. It's collected by the Inland Revenue Board (LHDN, now branded HASiL). Stamping is what makes your agreement admissible as evidence. An unstamped agreement can't be used in court until the duty, plus any late penalty, has been paid.
In other words: if you ever need to rely on your agreement to get your deposit back, you'll want it stamped.
Current rates
The Finance Act 2024 changed tenancy stamp duty for agreements signed from 1 January 2025. Duty is now calculated on the full annual rent, for every RM250 or part of RM250:
| Tenancy length | Rate per RM250 of annual rent |
|---|---|
| Up to 1 year | RM1 |
| Over 1 year, up to 3 years | RM3 |
| Over 3 years, up to 5 years | RM5 |
| Over 5 years | RM7 |
The minimum duty is RM10, and each extra stamped copy, such as the landlord's and tenant's duplicates, costs RM10.
Old calculators are wrong
Before 2025, the first RM2,400 of annual rent was exempt and the rates for longer tenancies were lower. If a calculator subtracts RM2,400, it's out of date. Our move-in cost calculator uses the current rules.
How to calculate it: worked examples
- Multiply the monthly rent by 12 to get the annual rent.
- Divide by 250 and round up to a whole number.
- Multiply by the rate for your tenancy length.
- Add RM10 for each extra copy.
| Monthly rent | Tenancy | Calculation | Duty | + 1 copy |
|---|---|---|---|---|
| RM1,500 | 1 year | 18,000 ÷ 250 = 72 × RM1 | RM72 | RM82 |
| RM2,000 | 1 year | 24,000 ÷ 250 = 96 × RM1 | RM96 | RM106 |
| RM2,000 | 2 years | 24,000 ÷ 250 = 96 × RM3 | RM288 | RM298 |
| RM3,800 | 1 year | 45,600 ÷ 250 = 182.4 → 183 × RM1 | RM183 | RM193 |
| RM3,800 | 2 years | 45,600 ÷ 250 = 182.4 → 183 × RM3 | RM549 | RM559 |
Estimates for standard residential tenancies. Confirm unusual arrangements with LHDN before paying.
A 2-year agreement costs about three times as much to stamp
A “1 year + 1 year option to renew” agreement is usually stamped at the 1-year rate, and the renewal is stamped when it happens. A straight 2-year tenancy is stamped at RM3 per RM250 upfront. Neither is wrong. Just know which one you're signing.
Who pays?
By law the tenant (the lessee) is liable for the stamp duty, and usually pays the agreement fee too. The agreement can say the landlord will bear or share the cost, so check what yours says before you sign.
Stamp duty vs the agreement fee
At signing you'll usually see two separate charges. Know which is which:
| Stamp duty | Agreement & stamping service fee | |
|---|---|---|
| Who it goes to | The government (LHDN) | The agency, lawyer or firm doing the work |
| How much | Fixed by law, using the formula above | Set by the provider. Ask for a quote |
| What it pays for | Makes the agreement admissible as evidence | Preparing the agreement (by a law firm or through the agency), e-stamping and copies |
| Negotiable? | No | Sometimes, and it's often split with the landlord |
Both are legitimate. What matters is that you see them itemised, before you sign. If you're quoted one lump sum for “stamping”, it's fair to ask how much of it is the duty itself.
How I handle it
When you rent through me with IQI Realty Sdn Bhd, the stamp duty is charged at exactly the government rate shown above, with no markup. The agreement and stamping fee is a separate, fixed disbursement charged by IQI Realty Sdn Bhd: RM300 for rents up to RM2000 a month, or RM500 above that, plus 8% SST. You'll get both figures in writing before you commit, and the move-in cost calculator works them out for you.
Why sign through a registered agency?
You can do it yourself. Signing through an agency protects the biggest sum you hand over: your deposit.
What's at stake
RM2,000 rent means RM5,000 in deposits. The agreement decides whether you get it back. The agreement & stamping fee is RM300 + SST, under 7% of that.
| Topic | Doing it yourself | With Fair Stay |
|---|---|---|
| Key terms | Easy to miss what matters | Refund deadline, repairs, inventory and exit terms agreed in writing |
| Negotiating terms | You and the landlord, face to face | I negotiate and put it in writing |
| Checking the landlord | Up to you | Ownership checked before you pay |
| Stamping | MyTax filing within 30 days. Penalties are yours | Done for you at the government rate |
| Move-in | Inventory often skipped | Signed inventory with dated photos |
| Accountability | None if a private arrangement goes wrong | Registered negotiator (REN 75496), regulated by LPEPH |
| After you move in | On your own | A WhatsApp away |
What tends to go wrong without it
- No refund deadline, so the deposit takes months, or never comes.
- The “landlord” doesn't own the unit.
- Unstamped agreement, unusable in court without a penalty.
- No inventory, so you can't dispute deductions.
Prefer to do it yourself?
That's fine. Follow the steps in How to stamp your agreement.
Deadline and penalties
The agreement must be stamped within 30 days of signing. Late stamping attracts a penalty:
- Up to 3 months late: RM50 or 10% of the unpaid duty, whichever is higher.
- More than 3 months late: RM100 or 20% of the unpaid duty, whichever is higher.
Never stamped an older agreement?
Under LHDN's Stamp Duty Voluntary Disclosure Programme, penalties are waived for agreements signed between 1 January 2023 and 31 December 2025 if the duty is paid by 31 December 2026.
How to stamp your agreement
Since 1 January 2026, tenancy agreements fall under LHDN's self-assessment stamp duty system, handled online through e-Duti Setem on MyTax (mytax.hasil.gov.my). In practice:
- Make sure the person paying has a Tax Identification Number (TIN) and a MyTax login.
- Log in to MyTax, open e-Duti Setem, and enter the agreement details.
- Upload the signed agreement, pay the duty online, and download the stamp certificate.
Most tenants have the agency or law firm handling the agreement do the stamping for them, as part of the agreement fee. Either way, ask for a copy of the stamp certificate for your records.
Stamp duty rules and systems change. The figures here reflect the rules as of September 2026. Always check the latest with LHDN (HASiL) before paying. This guide is general information, not legal or tax advice.
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