8 July 2026
Malaysia Tenancy Stamp Duty: 2025 Updated Rates Explained
What Changed on 1 January 2025?
Amendments under the Finance Act 2024 (Act 862) took effect on 1 January 2025, updating the stamp duty schedule for residential tenancy agreements in Malaysia.
The most significant change: the previous exemption for tenancies with annual rent of RM2,400 or below has been removed. All tenancy agreements are now subject to stamp duty.
New 2025 Stamp Duty Rates
| Tenancy Duration | Rate |
| Up to 1 year | RM1 per RM250 of annual rent |
| More than 1 year, up to 3 years | RM3 per RM250 of annual rent |
| More than 3 years, up to 5 years | RM5 per RM250 of annual rent |
| More than 5 years | RM7 per RM250 of annual rent |
A minimum duty of RM10 applies to all tenancy instruments.
Calculation Examples
Example 1: RM2,500/month on a 1-year lease - Annual rent: RM2,500 × 12 = RM30,000 - Rate: RM1 per RM250 - Calculation: RM30,000 ÷ RM250 = 120 units × RM1 = RM120 stamp duty
Example 2: RM3,500/month on a 2-year lease - Annual rent: RM3,500 × 12 = RM42,000 - Rate: RM3 per RM250 (for >1 year to 3 years) - Calculation: RM42,000 ÷ RM250 = 168 units × RM3 = RM504 stamp duty
Example 3: RM5,500/month on a 2-year lease - Annual rent: RM5,500 × 12 = RM66,000 - Rate: RM3 per RM250 - Calculation: RM66,000 ÷ RM250 = 264 units × RM3 = RM792 stamp duty
How to Stamp Your Agreement
From 2025, tenancy agreements fall under Phase 1 of LHDN's Self-Assessment Stamp Duty System (STSDS). You must:
1. Ensure you have a Tax Identification Number (TIN) registered with LHDN 2. Log in to MyTax portal (mytax.hasil.gov.my) 3. Access e-Duti Setem and upload your tenancy agreement 4. Self-assess the duty amount and submit payment within 30 days of signing
Late Payment Penalties (Updated 2025)
- Up to 3 months late: RM25 or 5% of duty (whichever is higher)
- 3–6 months late: RM50 or 10% of duty
- More than 6 months late: RM100 or 20% of duty
Who Pays?
By default, the tenant bears the stamp duty. However, this can be negotiated — it is common for landlords to absorb the cost as part of the deal, especially in a competitive rental market. Ensure whoever pays is clearly stated in the tenancy agreement.
Why This Matters
An unstamped tenancy agreement is inadmissible as evidence in Malaysian courts under Section 52 of the Stamp Act 1949. If a dispute arises over deposit, repairs, or eviction, an unstamped agreement leaves you with no legal protection. Always stamp within 30 days.