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RPGT in Malaysia (2026): real property gains tax rates and calculator
Rules checked against official sources on .
Quick answer
Real property gains tax (RPGT) is charged on the gain when you sell property in Malaysia. Citizens and permanent residents pay 30% if they sell within three years, 20% in the fourth year, 15% in the fifth and nothing from the sixth year. Foreigners pay 30% within five years and 10% after. Companies pay 30%, 20%, 15% and then 10%. Individuals first deduct RM10,000 or 10% of the gain, whichever is greater.
RPGT rates
| When you sell | Citizens and PRs | Malaysian companies | Foreigners |
|---|---|---|---|
| Within 3 years | 30% | 30% | 30% |
| In the 4th year | 20% | 20% | 30% |
| In the 5th year | 15% | 15% | 30% |
| In the 6th year or later | 0% | 10% | 10% |
Exemptions
- Individuals: RM10,000 or 10% of the chargeable gain, whichever is greater, is exempt on each disposal.
- Private residence: a citizen or permanent resident can choose, once in a lifetime, to have the gain on one private residence fully exempt. The choice cannot be withdrawn.
A worked example
Bought at RM600,000, sold at RM750,000, with RM20,000 of allowable costs: the gain is RM130,000 and, for an individual, RM13,000 of it is exempt.
| When sold | Gain | Chargeable gain | Citizen or PR pays | Foreigner pays |
|---|---|---|---|---|
| Within 3 years | RM130,000 | RM117,000 | RM35,100 | RM35,100 |
| In the 5th year | RM130,000 | RM117,000 | RM17,550 | RM35,100 |
| In the 6th year or later | RM130,000 | RM117,000 | RM0 | RM11,700 |
What the buyer holds back
The buyer must keep back part of the price and pay it to the Inland Revenue Board (LHDN) within 60 days of the sale: 3% when the seller is a citizen or PR, 7% when the seller is a foreigner, and for a company 5% if it sells within three years, otherwise 3%.
Work out your own figure
A simplified estimate. LHDN decides what counts as an allowable cost and the exact disposal date. The buyer must also hold back part of the price and pay it to LHDN within 60 days: 3% for citizens and PRs, 7% for foreigners, and for companies 5% if sold within three years, otherwise 3%.
Frequently asked questions
How much RPGT do I pay when I sell my property?
Citizens and PRs: 30% if sold within three years, 20% in the fourth year, 15% in the fifth and nothing from the sixth year. Foreigners: 30% within five years, then 10%.
Is there RPGT after five years?
For citizens and PRs the rate is 0% from the sixth year. Foreigners and companies pay 10% from the sixth year.
What RPGT do foreigners pay?
30% if they sell within five years of buying, and 10% from the sixth year.
What RPGT exemptions are there?
Individuals deduct RM10,000 or 10% of the gain, whichever is greater, on every disposal. Citizens and PRs can also use a once-in-a-lifetime exemption on one private residence.
How is RPGT paid?
The buyer holds back 3% of the price (7% if the seller is a foreigner) and pays it to LHDN within 60 days.
Official sources
- RPGT rates — Inland Revenue Board (LHDN)
- RPGT exemptions — LHDN
- Retention and remittance by the buyer — LHDN
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