RPGT Calculator Malaysia (2026) — How Much Tax When You Sell Your Property?

Selling a property in Malaysia? You may need to pay Real Property Gains Tax (RPGT) on your profit. Use our free calculator below to find out how much you owe — for citizens, non-citizens, and companies.

RPGT Calculator

Real Property Gains Tax — Malaysia

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Enter your property details and click Calculate.

RPGT Rate Table (2025 onwards)
Holding Period Citizen / PR Non-Citizen Company
Within 3 years30%30%30%
4th year20%30%20%
5th year15%30%15%
6th year onwards0%10%10%

What Is RPGT?

Real Property Gains Tax (RPGT) is a tax on the profit you make when selling real property in Malaysia. It is governed by the Real Property Gains Tax Act 1976 and administered by LHDN (Inland Revenue Board of Malaysia).

RPGT applies to any person — Malaysian citizen, permanent resident, foreigner, or company — who disposes of real property or shares in a Real Property Company (RPC) at a gain.

Note: Since 1 January 2024, disposal of shares in an RPC by companies, LLPs, and trust bodies falls under the new Capital Gains Tax (CGT) regime instead of RPGT. RPGT still applies to individual RPC share disposals and all direct real property sales.

If you sell at a loss, no RPGT is payable. If you are renting out the property instead, you may want to check the stamp duty for your tenancy agreement or download our free tenancy agreement template.

RPGT Rates in Malaysia

The rate depends on how long you held the property before selling, and your residency status:

Holding Period Citizen / PR Non-Citizen Company
Within 3 years30%30%30%
4th year20%30%20%
5th year15%30%15%
6th year onwards0%10%10%

The key takeaway: Malaysian citizens and PRs pay zero RPGT if they hold the property for 6 years or more. Non-citizens and companies always pay at least 10%, regardless of holding period.

How RPGT Is Calculated

The formula is straightforward:

Step 1: Calculate the Chargeable Gain

Chargeable Gain = Selling Price - Acquisition Cost - Selling Costs - Enhancement Costs

Step 2: Deduct the Exemption (individuals only)

Exemption = RM 10,000 or 10% of Chargeable Gain, whichever is higher

Step 3: Apply the RPGT Rate based on holding period

RPGT Payable = Net Chargeable Gain x RPGT Rate

Example: Citizen sells after 4 years

  1. Bought for RM 500,000 (+ RM 15,000 buying costs) = RM 515,000 acquisition
  2. Sold for RM 700,000 (- RM 10,000 selling costs) = RM 690,000 net disposal
  3. Renovation during ownership: RM 30,000
  4. Chargeable Gain: 700,000 - 515,000 - 10,000 - 30,000 = RM 145,000
  5. Exemption: max(10,000, 145,000 x 10%) = RM 14,500
  6. Net Chargeable Gain: 145,000 - 14,500 = RM 130,500
  7. RPGT Rate (4th year, citizen): 20%
  8. RPGT Payable: 130,500 x 20% = RM 26,100

What Counts as Acquisition Cost?

Your acquisition cost is not just the purchase price. You can include all incidental costs of buying the property:

  • Purchase price — the amount you paid for the property
  • Legal fees — for the Sale and Purchase Agreement (SPA)
  • Stamp duty — on the Memorandum of Transfer (MOT) or Deed of Assignment (DOA)
  • Agent commission — fees paid to the real estate agent for the purchase
  • Valuation fees — if required for the purchase

All of these reduce your chargeable gain, which means less RPGT to pay.

What Counts as Allowable Selling Costs?

  • Legal fees — for the SPA on the sale
  • Agent commission — typically 2-3% of selling price
  • Advertising costs — if you marketed the property on rental listing websites or other channels

Enhancement Costs (Renovation)

Capital improvements made during your ownership period are deductible. This includes renovation, extensions, or structural upgrades — but not repairs or maintenance.

Keep all receipts and invoices for renovation work. LHDN may request proof if the amount is significant.

RPGT Exemptions

Several exemptions can reduce or eliminate your RPGT liability:

1. RM 10,000 or 10% Exemption (Individuals)

Every individual (citizen, PR, or foreigner) is entitled to an automatic exemption of RM 10,000 or 10% of the chargeable gain, whichever is higher. This is per disposal. Companies do not get this exemption.

2. Once-in-a-Lifetime Private Residence Exemption

Malaysian citizens and PRs can claim a full exemption from RPGT on the disposal of one private residence, once in their lifetime. This is a powerful benefit — if you have never used it, your first home sale could be completely tax-free.

3. Transfers Between Family Members

The following transfers are treated as "no gain, no loss" (zero RPGT):

  • Transfer between husband and wife (donor must be a Malaysian citizen)
  • Gift from parent to child or grandparent to grandchild (donor must be a citizen)
  • Transfer between former spouses under a court order following divorce (transferor must be a citizen)
  • Devolution of assets on death

4. Small Property Exemption

Properties with a disposal price of RM 200,000 or below that are disposed of in the 6th year or later are fully exempt from RPGT. This benefits owners of lower-value properties such as single rooms, small apartments, or rural land.

5. Other Exemptions

  • Gifts to the Government, State Government, local authority, or approved charity
  • Compulsory acquisition under any law
  • Disposal under Syariah-compliant financing schemes approved by BNM
  • Disposal of assets to REITs or Property Trust Funds (PTFs)

Filing Deadlines and Penalties

Both the seller (disposer) and buyer (acquirer) have filing obligations:

Requirement Deadline
RPGT return (Form CKHT-1A for seller, CKHT-2A for buyer)Within 60 days of disposal date
Buyer remits withheld amount to LHDNWithin 60 days of disposal date
Seller pays remaining RPGT balanceWithin 90 days of disposal date

Late payment penalty: 10% of the outstanding RPGT payable. File and pay on time to avoid this.

File your RPGT returns and make payments through LHDN's MyTax portal (formerly ezHASiL). The relevant forms are CKHT-1A (seller) and CKHT-2A (buyer). If your property is subject to eInvoice compliance, make sure your rental documentation is in order before disposal.

Withholding by the Buyer

When you sell a property, the buyer is required by law to withhold a portion of the purchase price and remit it to LHDN. The withheld amount is the lower of:

  • The entire cash consideration, or
  • A percentage of the total acquisition price:
    • 3% — if the seller is a Malaysian citizen or PR
    • 5% — if the seller is a Malaysian company disposing within 3 years
    • 7% — if the seller is a non-citizen, non-PR, or foreign company

This withheld amount is applied against your RPGT liability. Any excess is refunded after assessment.

Date of Disposal

The holding period is counted from the date of purchase to the date of disposal. The disposal date is generally:

  • The date of the written sale agreement (SPA)
  • If no written agreement: the earlier of full payment or completion of legal transfer
  • If government approval is required: the date of that approval

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Disclaimer: This calculator and article provide general estimates based on the Real Property Gains Tax Act 1976 and are not a substitute for professional tax advice. Rates and rules may change — always verify with LHDN or consult a qualified tax professional.

Frequently Asked Questions

What is RPGT?
RPGT (Real Property Gains Tax) is a tax on the profit made from selling real property or shares in a Real Property Company in Malaysia. It is governed by the Real Property Gains Tax Act 1976 and administered by LHDN.
Do I pay RPGT if I sell at a loss?
No. RPGT only applies when there is a chargeable gain (profit). If your selling price minus all allowable costs results in a loss, no RPGT is payable.
Can Malaysian citizens avoid RPGT entirely?
Yes, in two ways. First, hold the property for 6 or more years — the RPGT rate drops to 0% for citizens and PRs. Second, use the once-in-a-lifetime private residence exemption, which fully exempts one home sale regardless of holding period.
Do companies get the RM 10,000 / 10% exemption?
No. The RM 10,000 or 10% of chargeable gain exemption (whichever is higher) applies to individuals only. Companies pay RPGT on the full chargeable gain.
What is the penalty for late filing?
A penalty of 10% of the outstanding RPGT amount is imposed for late payment. Both seller and buyer must file their RPGT returns within 60 days of disposal.
Can I deduct renovation costs from my gain?
Yes. Capital improvements such as renovation, extensions, and structural upgrades are allowable deductions. Keep receipts as proof. Routine repairs and maintenance do not qualify.
Is transferring property to my child subject to RPGT?
No, provided the donor is a Malaysian citizen. Transfers by gift between parent and child, grandparent and grandchild, or between spouses are treated as no-gain-no-loss transactions.
How is the holding period counted?
From the date of your purchase agreement (SPA) to the date of your sale agreement (SPA). The year in which the disposal falls determines the RPGT rate tier — for example, selling in the 4th year means holding for 3 completed years.