MAS, MOF and MND announce higher Additional Buyer’s Stamp Duty (ABSD) rates from 27 April 2023

30 May 2023

On 26 April 2023, the Ministry of Finance (“MOF”), Ministry of National Development (“MND”) and Monetary Authority of Singapore (“MAS”) jointly announced increases in the Additional Buyer’s Stamp Duty (“ABSD”) rates to promote a sustainable property market. The revised rates took effect from 27 April 2023.

The Government observed that demand from locals purchasing homes for owner-occupation was especially strong, and there was also renewed interest from local and foreign investors in the residential property market. The revisions to the ABSD rates will help moderate investment demand and will complement the Government’s efforts to ramp up supply, to alleviate the tight housing market for both owner-occupation and rental.

Revised ABSD rates

The specific ABSD rates increases are as follows:

  • Raise ABSD rate from 17% to 20% for Singapore Citizens (“SCs”) purchasing their second residential property;
  • Raise ABSD rate from 25% to 30% for SCs purchasing their third and subsequent residential property, and Singapore Permanent Residents (“SPRs”) purchasing their second residential property;
  • Raise ABSD rate from 30% to 35% for SPRs purchasing their third and subsequent residential property;
  • Raise ABSD rate from 30% to 60% for foreigners purchasing any residential property; and
  • Raise ABSD rate from 35% to 65% for entities or trusts purchasing any residential property, except for housing developers.

These changes are summarised in the following table. 

Additional Buyer’s
Stamp Duty rates

Rates from
16 December 2021 to 26 April 2023

Rates on or after
27 April 2023

 

Singapore Citizens

First residential property

0%

0%
(No change)

Second residential property

17%

20%
(Revised)

Third and subsequent residential property

25%

30%
(Revised)

Permanent Residents

First residential property

5%

5%
(No change)

Second residential property

25%

30%
(Revised)

Third and subsequent residential property

30%

35%
(Revised)

Foreigners

Any residential property 

30%

60%
(Revised)

Entities

Any residential property

35%

65%
(Revised)

Trustees

Any residential property

35%

65%
(Revised)

Housing Developers

Any residential property

35% (remittable, subject to conditions) + 5% (non- remittable)

35% (remittable, subject to conditions) + 5% (non- remittable)

(No change)

Source: MAS website

The revised ABSD rates apply to all residential properties acquired on or after 27 April 2023.

Correspondingly, the Additional Conveyance Duties for Buyers (ACDB), which applies to qualifying acquisitions of equity interest in property holding entities (PHEs) will be raised from up to 46% to up to 71%.

Reference materials

The following materials are available on the MAS website www.mas.gov.sg and SG Press centre www.sgpc.gov.sg:

The following subsidiary legislation, available from Singapore Statutes Online sso.agc.gov.sg, came into operation on 27 April 2023: