how will it affect the market, effects to the buyer or seller...?

flippers...cepat cepat jual !

Tax of 5% to be imposed on gains from the disposal of real property from Jan 1, 2010. Existing tax exemption will be retained for gifts between parent-child, husband-wife, grandparent-grandchild.

will definitely affect the market!

no much details out yet like the exemptions for first-sold property, number of years the property being held, date calculated from vacant possession or S&P date and etc ...

This post has been edited by kikco: Oct 23 2009, 07:23 PM

What does it mean? I have a 300k house. I sell it to 3rd party and i have to pay 15k tax?

just the gain i guess..

This can be consider a good news.

how do you calc gain?

The usual way : your selling price minus the earlier buy price that you paid for the house/property. Thus, ensure you keep all your documents carefully.

there's always a way to get around this new rulling.... ;p

Word of wisdom from a season investor.

This post has been edited by jasonhanjk: Oct 23 2009, 09:51 PM

year 2004 bought @ RM 250k
year 2009 sold it @ RM 350k
Gain = RM 100k
Tax 5% x 100k = 5k ?

emm...whats the main reason for this new ruling?

the mid/high priced market property is subject to intense speculation since the removal of RPGT and low interest rate. I think its the right time to put it back now b4 get out of control.

That should be correct. Altho Im not sure if they allow you to deduct interest cost into the calculation as well....

... lets say a house bought in the 1960's at 3k
now it worth 1m lah...
if sell have to pay 50k as tax ka ?

@blasto,
Yes that is right except your 1960 house probably isn't subjected to this particular tax cause if I remember properly this will only be applicable for houses bought or purchased within a period of time (9-12 years?!)

I still need to go read up on this one; so can't make too much comments.... but yes.. flippers, quick sell before 1st Jan 2010

Is this going to affect the market price going up or down???

for properties between 500k and 1m

I agree with Pai,... interest cost-wise,... there is a maximum amount that the IRB will take into consideration,... above that amount, cannot deduct anymore,....

   

This post has been edited by ernie: Mar 6 2012, 12:17 PM