Yes, commercial rate will definitely be higher, which is why if buying "commercial under HDA" properties must be prepared to fork out extra $$$ for costs of long term ownership.

This post has been edited by DragonReine: Oct 8 2021, 12:29 PM

Commercial title assessment rate can easily be almost double the amount of residential title assessment rate.

Assessment rate (cukai taksiran) is based on estimated annual rental value.

This varies from area to area, from district to district (even within same state), from property to property (size, type, location, condition of property), so cannot give an accurate amount of difference, but for the sake of easy calculation here, let's fix annual rental value as same.

For DBKL, the assessment rate for service apartment (commercial under HDA) is based on 7% of the estimated annual rental value, while a residential title property is 4%.

Assuming both are same annual rental value, service apartment is paying 75% more than residential title.

For Shah Alam, residential strata is 3.5%, service apartment is 5%, so approximately 43% higher for service apartment assuming both same estimated annual rental value.

Bear in mind also that city councils tends to charge higher annual value for service apartment, so that also drives assessment tax higher.

This post has been edited by DragonReine: Oct 8 2021, 05:17 PM