Loan Agreement Stamp Duty Malaysia 2019: What You Need to Know
If you are planning to take out a loan in Malaysia, it’s important to be aware of the various fees and charges involved. One such charge is the stamp duty, which is a tax imposed by the government on certain documents, including loan agreements.
In Malaysia, the stamp duty on loan agreements is governed by the Stamp Act 1949. The rate of stamp duty varies depending on the type and amount of the loan, and it is usually a percentage of the loan amount.
For loans of up to RM 500,000, the stamp duty is 0.5% of the loan amount. For loans above RM 500,000, the stamp duty is 1% of the loan amount. This means that if you are taking out a loan of RM 700,000, for example, you will have to pay a stamp duty of RM 7,000.
It is important to note that stamp duty is a one-time payment, and it is payable within 30 days of the date of the loan agreement. If you fail to pay the stamp duty within this period, you may be liable to pay a penalty.
In addition to the stamp duty, there may be other fees and charges associated with taking out a loan in Malaysia. These may include processing fees, early settlement fees, and late payment fees.
To ensure that you are fully informed about the costs involved in taking out a loan in Malaysia, it is important to read the loan agreement carefully and seek advice from a financial advisor if necessary.
In conclusion, if you are planning to take out a loan in Malaysia, you will need to be aware of the stamp duty that is payable on the loan agreement. The stamp duty is a one-time payment, and it is payable within 30 days of the date of the loan agreement. Make sure to read the agreement carefully and seek professional advice to avoid any unnecessary fees and charges.