The Stamp Duties Act in Singapore defines stamp duty as a tax levied on immovable properties, stocks and shares in private companies in Singapore.
When are Stamp Duties applicable?
- Transfer of share document.
This refers to the documents signed when shares are bought or acquired. If there are no executed document for the transfer of shares, i.e. scriptless shares, no stamp duty is payable.
- Mortgage documents for shares.
A mortgage for share document is signed when you transfer your shares to the bank to obtain a loan. The mortgagor is required to pay the stamp duty on the loan amount.
What are the stamp fees to be paid?
- Transfer of share document: 0.2% on the purchase price or net asset value (NAV) of the shares (whichever is higher).
- Mortgage documents for shares: 0.4% of the loan amount. Subject to a maximum amount of SGD$500.
When to stamp the document?
You should stamp the document before signing the documents.
However, you can stamp the documents after signing on these conditions:
– You have to stamp the documents within 14 days after the documents are signed in Singapore or
– Within 30 days of receiving the signed document if the document is signed outside of Singapore.
Where to stamp your document?
- The e-Stamping portal on IRAS’ website
- SingPost Service Bureaus
The locations and operating hours of the Service Bureaus are as follows:
Branch Address Opening Hours Novena Post Office Revenue House
55 Newton Road
Mon – Fri 8.30am – 5.30pm
Sat 8.30am – 1.00pm
Raffles Place Post Office Ocean Financial Centre
10 Collyer Quay
Mon – Fri 8.30am – 6.00pm Shenton Way Post Office Downtown Gallery
6A Shenton Way
Mon – Fri 8.30am – 6.00pm Chinatown Post Office People’s Park Centre
101 Upper Cross Street
Mon – Fri 9.30am – 6.00pm
Sat 9.30am – 2.00pm
- The e-Terminals located at IRAS Building Level 1
Once the documents are stamped, you will receive a Stamp Certificate and it will contain a document reference number, stamp certificate reference number, description, address of the property (if applicable), stamp duty amount paid and names of the parties to the document. You can verify the Stamp Certificate by doing an online check on the e-stamping portal on IRAS’ website.
Penalty for non-payment or late payment
If documents are unstamped, stamped late or incompletely stamped, a penalty of up to 4 times the payable stamp fee may be imposed.
When in doubt, seek legal advice or consult an experienced ACRA Filing Agent.
The editorial team at Acra Filing Agent
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