Stamp Duty on Tenancy Agreements in Malaysia 2026: Rates and Examples
Property Lab editorial teamPublished 6 min read
Contents
How much is stamp duty on a tenancy agreement in Malaysia in 2026? Divide the yearly rent by RM250, round up, then multiply by RM1 for a lease of up to one year, RM3 for one to three years, RM5 for three to five years, or RM7 for longer. A two-year lease at RM2,000 a month costs RM288. The old RM2,400 exemption is gone, and since January 2026 you stamp it yourself online through LHDN's e-Stamp Duty system.
Stamp duty = (monthly rent × 12 ÷ 250, rounded up) × rate for the lease length.
Stamp within 30 days of signing. The tenant normally pays for the original agreement.
What are the tenancy stamp duty rates in 2026?
Tenancy agreements are charged under Item 49 of the First Schedule to the Stamp Act 1949. The Finance Act 2024 set new rates for agreements signed on or after 1 January 2025. They still apply in 2026.
- Lease of up to 1 yearRM1 per RM250
- More than 1 year, up to 3 yearsRM3 per RM250
- More than 3 years, up to 5 yearsRM5 per RM250
- More than 5 yearsRM7 per RM250
"Per RM250" means per RM250 of yearly rent, or part of RM250. The lease length sets the rate; it does not multiply the duty.
How do you calculate stamp duty on a tenancy agreement?
- Work out the yearly rent: monthly rent × 12.
- Divide by 250 and round up to a whole number. The law charges per RM250 "or part thereof", so any remainder counts as a full unit.
- Multiply by the rate for your lease length (RM1, RM3, RM5 or RM7).
Example: RM1,800 a month on a two-year lease. Yearly rent is RM21,600. RM21,600 ÷ 250 = 86.4, rounded up to 87 units. 87 × RM3 = RM261. Some online calculators skip the rounding and show RM259.20, which is slightly too low.
Leases shorter than a year: turn the rent into a yearly figure first. RM2,000 a month for six months is treated as RM24,000 a year: 96 units × RM1 = RM96.
Stamp duty by rent and lease length
| Monthly rent (RM) | 1 year | 2 years | 4 years | 6 years |
|---|---|---|---|---|
| 800 | 39 | 117 | 195 | 273 |
| 1,000 | 48 | 144 | 240 | 336 |
| 1,500 | 72 | 216 | 360 | 504 |
| 2,000 | 96 | 288 | 480 | 672 |
| 2,500 | 120 | 360 | 600 | 840 |
| 3,000 | 144 | 432 | 720 | 1,008 |
| 5,000 | 240 | 720 | 1,200 | 1,680 |
Stamp duty in RM on the original agreement, calculated with the 2026 rates and rounding up to whole RM250 units. Excludes any duty on extra copies. Rent that includes furniture hire, service charges or a premium may change the figure.
What changed from the old rules?
- No more RM2,400 exemption. Before 2025, the first RM2,400 of yearly rent was exempt. Now duty applies from the first ringgit.
- Higher rates for longer leases. The old rates were RM1, RM2 and RM4. Leases over one year now pay RM3, RM5 or RM7.
- Self-assessment from 2026. Since 1 January 2026, tenancy agreements are in Phase 1 of LHDN's Self-Assessment Stamp Duty System. You enter the details, the system calculates the duty, and you pay straight away instead of waiting for an assessment notice.
Using the old method, a two-year lease at RM2,000 a month would have cost RM174: (RM24,000 − RM2,400) ÷ 250 = 86.4, rounded up to 87 units × RM2. Under the 2026 rules it is RM288, about 66% more. Guides that still deduct RM2,400 or use the RM2 rate are out of date.
Who pays, and how to stamp it online
The Stamp Act's Third Schedule sets who is liable. For a tenancy agreement, the tenant pays duty on the original, and the landlord pays for the duplicate copy. Another party, such as the landlord or an agent, can submit and pay on the liable party's behalf.
Steps on LHDN's e-Stamp Duty system:
- Make sure every party to the agreement has a Tax Identification Number (TIN). LHDN requires one for all duty payers and parties.
- Log in to MyTax, then go to ezHASiL Services, Stamp Duty, e-Stamp Duty. Choose your role (individual or agent).
- Select Application Form, then Stamping, and pick the tenancy/lease type.
- Fill in the Stamp Duty Declaration Form (BNDS) and upload the signed agreement.
- Check the duty summary the system shows, then submit.
- Pay within 30 days of submitting, by FPX, eTT or selected bank bill payment.
- Download and print the Stamp Certificate and attach it to the agreement. It can only be printed once from the portal, so save the PDF.
- Keep the agreement and records for at least seven years.
Admin fees charged by landlords or agents for stamping are private charges, not LHDN fees. Ask for them to be itemised.
What if you stamp late?
The agreement must be submitted for stamping within 30 days of signing (or within 30 days of first arriving in Malaysia, if signed abroad). Late stamping costs:
| When stamped | Penalty | On RM360 duty | On RM960 duty |
|---|---|---|---|
| Within 3 months after the deadline | RM50 or 10%, whichever is higher | 50 | 96 |
| More than 3 months late | RM100 or 20%, whichever is higher | 100 | 192 |
Penalty in RM, on top of the duty. Rates effective since 1 January 2025, per LHDN. For the first year of self-assessment, LHDN does not penalise mistakes in the BNDS, but late stamping is still penalised.
An unstamped agreement is not automatically void. But stamping is what makes it admissible as evidence, so if a dispute over deposit or rent goes to court, you may have to stamp it (and pay the penalty) first.
FAQ
How much is stamp duty for a tenancy agreement in Malaysia?
Divide the yearly rent by RM250, round up, and multiply by RM1 (up to 1 year), RM3 (1–3 years), RM5 (3–5 years) or RM7 (over 5 years). A two-year lease at RM2,000 a month costs RM288.
Is there still an RM2,400 exemption?
No. The exemption for the first RM2,400 of yearly rent was removed for agreements signed from 1 January 2025. Duty now applies to the full rent.
Who pays stamp duty on a tenancy agreement, landlord or tenant?
Under the Stamp Act, the tenant pays duty on the original and the landlord pays for the duplicate. Another party, such as an agent, can submit and pay on their behalf.
How do I stamp a tenancy agreement online in 2026?
Log in to MyTax, go to ezHASiL Services, Stamp Duty, e-Stamp Duty, complete the BNDS form, upload the signed agreement and pay within 30 days. Then print the Stamp Certificate.
References
- LHDN: Stamp Duty FAQ, e-Stamp Duty and the Self-Assessment Stamp Duty System (updated 31 December 2025)Used for Phase 1 self-assessment, the TIN requirement, the stamping steps, the 30-day deadlines, payment methods, penalties, the first-year penalty relief and record keeping.
- Richard Wee Chambers: Finance Act 2024 amendments, the stamp duty focusUsed for the Item 49 rates per RM250 or part thereof and the removal of the RM2,400 exemption from 1 January 2025.
- StashAway: Stamp duty and administration fees for tenancy agreements in Malaysia (2026)Used for annualising short leases, who is liable under the Third Schedule, admissibility of unstamped agreements and admin fees.
- Rödl & Partner: Malaysia stamp duty on tenancy agreements increasedUsed to confirm the effective date and the end of the RM2,400 exemption.
Always check the duty shown by LHDN's e-Stamp Duty system before paying, and refer to LHDN's official Bahasa Malaysia guidelines for the legal wording.
This article is general information only, not legal or tax advice. Examples are calculated from the rates stated and are illustrative.
General information only, not legal, tax or investment advice. Rules and rates change; check the official source linked below before you act.