As a professional, I have researched and compiled the following article on «where to stamp tenancy agreement.»
When renting a property, it is important to have a tenancy agreement to ensure a clear understanding between the landlord and tenant. A tenancy agreement is a legally binding document that outlines the terms and conditions of the rental agreement, such as the rent amount, the length of the tenancy, and the responsibilities of both the landlord and tenant. However, a tenancy agreement must be stamped to be legally enforceable in Malaysia.
Stamping a tenancy agreement is a process of paying a fee to the Inland Revenue Board of Malaysia to validate the legal document. Tenancy agreements must be stamped within 30 days from the date of signing, failure to do so may result in a penalty of two times the original fee. Stamping a tenancy agreement can be done at any branch of the Inland Revenue Board of Malaysia.
There are two types of stamp duty that need to be paid for tenancy agreements in Malaysia. The first type of stamp duty is an ad valorem duty, which is calculated based on the annual rent of the property. The ad valorem duty for a tenancy agreement is as follows:
– For tenancy agreements with a rental of up to RM2,500 per month, the stamp duty is RM1 for every RM250 of yearly rent.
– For tenancy agreements with a rental of more than RM2,500 per month, the stamp duty is RM2 for every RM250 of yearly rent.
The second type of stamp duty is a fixed duty of RM10. This duty is applicable for tenancy agreements that have a rental period of less than one year or if the rental amount is not calculated on a yearly basis.
When stamping a tenancy agreement, the original and duplicate copies of the agreement must be presented. The original will be stamped and kept by the Inland Revenue Board, while the duplicate will be returned to the tenant. The process of stamping a tenancy agreement takes approximately ten minutes, and a stamped tenancy agreement will have a unique serial number that signifies its authenticity.
In conclusion, tenants and landlords must ensure that their tenancy agreement is stamped within 30 days from the date of signing to avoid any penalties. The stamping process can be done at any branch of the Inland Revenue Board in Malaysia, and there are two types of stamp duty to be paid depending on the rental amount and duration of the agreement. Remember that a stamped tenancy agreement is a legal document that protects both parties and provides a clear understanding of the rental agreement.