Remission of stamp duty on contract notes for the trading of listed shares or stocks
Remission of stamp duty on contract notes for the trading of listed shares or stocks
Effective from 1 January 2022, the stamp duty on contract notes for the trading of listed shares or stocks was increased from 0.1% to 0.15% and capped at RM1,000, instead of the previous cap of RM200 (see Special Tax Alert No. 1/2022 and Tax Alert No. 8/2022). Prime Minister and Finance Minister Datuk Seri Anwar Ibrahim announced last month that the stamp duty rate would be reduced back to 0.1%, effective July 2023.
To legislate this, the Stamp Duty (Remission) (No. 3) Order 2023 [P.U.(A) 208] was gazetted on 12 July 2023. The Order reduces the stamp duty on contract notes for the trading of listed shares or stocks to 0.1% and caps the stamp duty at RM1,000. The Order is applicable to contract notes executed from 13 July 2023 to 12 July 2028. The Stamp Duty (Remission) Order 2022 [P.U.(A) 2022 is also revoked.
