RPGT Calculator Malaysia 2026
Estimate the real property gains tax on selling a property in Malaysia, the exemptions that apply, and how the buyer’s retention sum compares with the tax.
Preview page. The rates are checked against official sources; the page is awaiting final review before it is published.
Result
This is an estimate for planning. Confirm the final figure with the bank, JPJ or LHDN before you commit.
How it's calculated
Real property gains tax is charged on the profit from selling property in Malaysia. The profit, called the chargeable gain, is the net selling price less the full cost of buying:
gain = (selling price − selling costs − enhancement) − (purchase price + buying costs)
An individual is exempt on RM 10,000 or 10% of the gain, whichever is greater. The rest is taxed at the Schedule 5 rate for the seller and the number of full years the property was held.
Worked example (the default inputs). A Malaysian bought on 1 March 2022 for RM 400,000.00 with RM 12,000.00 of buying costs, and sells on 1 October 2026 for RM 550,000.00 with RM 15,000.00 of selling costs. The gain is RM 535,000.00 − RM 412,000.00 = RM 123,000.00.
The individual exemption is 10% of the gain, RM 12,300.00, because that is more than RM 10,000. The taxable gain is RM 110,700.00. Four full years have passed, so this is a disposal in the fifth year at 15%: RM 16,605.00.
The buyer retains 3% of RM 550,000.00, RM 16,500.00, and pays it to LHDN, so the seller has RM 105.00 left to pay.
The private residence exemption
Section 8 of the RPGT Act lets a citizen or permanent resident exempt the whole gain on the disposal of one private residence, once in a lifetime. The election is made in writing to LHDN, now through Form CKHT 3, and cannot be withdrawn. Because it can be used only once, it is usually worth saving for the sale with the largest gain rather than using it on a small one. Transfers between spouses, and gifts between parents and children or grandparents and grandchildren by a citizen, are treated as no gain and no loss.
Filing and paying
Both seller and buyer file within 60 days of the disposal, online through MyTax. The return is treated as the assessment, and from the 2025 year of assessment any tax not covered by the retention must be paid within 90 days of the disposal. The retention sum held by the buyer’s lawyer is credited against your tax, and any excess is refunded once the return is processed. Keep receipts for every cost you deduct, because LHDN can ask for them.
FAQ
What are the RPGT rates in 2026?
For Malaysian citizens and permanent residents: 30% if you sell within three years of buying, 20% in the fourth year, 15% in the fifth year and nothing from the sixth year. Malaysian companies pay 30%, 20% and 15% and then 10% from the sixth year. Non-citizens who are not permanent residents, and foreign companies, pay 30% for the first five years and 10% after that.
How is the holding period counted?
From the date of acquisition to the date of disposal, both of which are usually the dates of the sale and purchase agreements. A disposal within three years after the acquisition date is charged at the highest rate; one in the fourth year, that is after three full years but before four, at the next rate, and so on. A few weeks either side of an anniversary can change the rate, so check the dates before you sign.
What can I deduct from the gain?
The costs of buying, such as legal fees, stamp duty and valuation, are added to the purchase price. The costs of selling, such as agent commission, legal fees and advertising, and money spent on improvements that are still reflected in the property are taken off the selling price. Loan interest, quit rent, assessment and ordinary repairs cannot be deducted.
What is the 3% retention?
The buyer, through the lawyer, must keep 3% of the price and pay it to LHDN within 60 days as an advance against your tax. For Malaysian companies selling within three years it is 5%, and for non-citizen and foreign company sellers 7%. If your tax is lower, LHDN refunds the difference; from 2026 the buyer may instead retain the deemed tax you notify, if that is less.
Do I need to file anything if no tax is due?
Yes. The seller files Form CKHT 1A and the buyer Form CKHT 2A within 60 days of the disposal, even when the gain is exempt or there is a loss, and from 2025 the returns must be filed online through MyTax. To use the private residence exemption, the seller elects it through Form CKHT 3. Late filing attracts penalties.
Sources
- Real Property Gains Tax Act 1976 (Act 169), updated text as at 1 January 2025: section 8, section 13, section 21B, Schedules 2, 3, 4 and 5
- LHDN, Real Property Gains Tax rates (history from 2010)
- LHDN, RPGT exemptions
- LHDN, retention and remittance by the acquirer
- LHDN, determination of chargeable gain or allowable loss