NAVIGATING IRBM STAMP DUTY SELF-ASSESSMENT SYSTEM

In Malaysia IRBM’s stamp duties are imposed on instruments and not transactions. An instrument is defined as any written document. In general, stamp duty is levied on legal, commercial and financial instruments. The person liable to pay stamp duty is set out in the Third Schedule of Stamp Act 1949.

Under Sistem Taksir Sendiri Duti Setem (SDSAS), taxpayers or appointed agents must submit a stamp duty return together with the executed instruments/agreements and required information electronically, self-assess the applicable stamp duty and make payments within a specified timeframe.

Moving forward, the stamp duty self-assessment will come into effect in phases, commencing 1 January 2026. The phased implementation are as follows:

Phased implementation:

Phase 1 (2026) : Rentals, leases, general stamping and securities

Phase 2 (2027) : Property ownership transfers

Phase 3 (2028) : Other instruments and agreement

With the phased implementation, taxpayers will be required to independently calculate and pay stamp duty based on the type of instruments or agreements. Failure to comply or make a correct return will be liable to fines and penalties, following the amended Stamp Act.

Who should attend:  Chief Executive Officers / Managing Directors / General Managers / Directors / Chief Operating Officers / Chief Financial Officers / Tax Directors / Accountants / Finance / Administrative Managers/ Accounts Managers & Executives and staff with delegated responsibilities to ensure proper stamping is made on company’s instruments.