RPGT - Tax admin

8 important questions on RPGT - Tax admin

What must every chargeable person do within 60 days of asset disposal?

They must make a RPGT return online within 60 days of the date of disposal.

What is the penalty for failing to pay the RPGT within the timeframe for disposer?

A 10% penalty will be imposed where there is failure to pay the RPGT payable after netting off withholding tax within 90 days from disposal date.

What must a disposer do if their disposal is not taxable or exempt 60 days after disposal?

The disposer must furnish a return with a notification to the acquirer within 60 days from the date of disposal.
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What is the penalty for a disposer providing a wrong notification?

A penalty of 10% of the tax payable would be imposed on the disposer

How much tax is withheld by the acquirer if the disposer is a citizen or PR?

Acquirer retains the lower of 3% of total consideration or cash consideration if the disposer is a citizen or PR.

How much tax is withheld by the acquirer if the disposer is a Msian incorporated company?

Acquirer retains the lower of 5% of total consideration or cash consideration if the holding period is ≤3 years. If holding period is >3 years, it is 3%.

How much tax is withheld by the acquirer if the disposer is a non-citizen or non-Msian incorporated company?

Acquirer retains the lower of 7% of total consideration OR cash consideration if the disposer is a non-citizen or non-Msian incorporated company.

What is the penalty for an acquirer not complying with tax remittance regarding WT?

Failure to comply will result in a 10% penalty being imposed on the withholding tax.

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