RPGT calculator Malaysia: real property gains tax by holding period

For an individual there is no general capital gains tax. The charge that applies is real property gains tax (RPGT) under the Real Property Gains Tax Act 1976: a Malaysian citizen or permanent resident pays 30% on a disposal within three years, 20% in the fourth year, 15% in the fifth year, and from 1 January 2022 nothing after five years (5% applied through 2021). An individual is also exempt on RM10,000 or 10% of the chargeable gain, whichever is greater.

No, for an individual. A share listed on the stock exchange is not a "capital asset" under the Income Tax Act, so a listed-share gain is not taxed. The capital gains tax introduced on 1 January 2024 reaches only companies, limited liability partnerships, trust bodies and co-operatives: LHDN's guideline names those as the chargeable persons and never uses the word "individual", and the ITA definition limits Malaysian movable-property shares to those owners. An individual's unlisted-share gain is outside it, though it can be income if you are trading.

Only where you are trading. LHDN's guideline on digital currency transactions taxes a person who actively trades digital currency on the profit as income, and expressly provides that a capital gain on the disposal of digital currency that is not income under paragraph 4(a) of the Income Tax Act is not subject to the capital gains tax. Investment crypto is therefore outside both RPGT and the CGT.

The twelve months from acquisition are year 1, so a disposal on the third anniversary is already in the fourth year (20%). LHDN's own worked example describes an asset acquired on 2 May 2005 and disposed of on 10 July 2012 as a disposal in the eighth year. The RPGT return is due within 60 days after the disposal, and the acquirer retains and remits part of the price under section 21B: 3% for a citizen or permanent resident.

Malaysia taxes gains on real property under the Real Property Gains Tax Act 1976 (Act 169), a separate Act from income tax, not under a general capital gains tax. For a resident individual who is a Malaysian citizen or permanent resident (a Part I disposer under Schedule 5), the rate depends on the holding period: 30% for a disposal within three years after acquisition, 20% in the fourth year, 15% in the fifth year, and nil in the sixth year and thereafter. LHDN states that effective from 1.1.2022 RPGT is not imposed on Part I disposers who dispose of a chargeable asset after five years from the date of acquisition, and that the rates for Parts II and III are unchanged. There is no 2% or 3% RPGT rate: the 2% figure belongs to the unlisted-share CGT gross-proceeds option and the 3%, 5% and 7% figures are the section 21B retention percentages. Sources: https://www.hasil.gov.my/en/ckht/kadar-cukai-keuntungan-harta-tanah/ and Schedule 5 of Act 169 at https://www.hasil.gov.my/wp-content/uploads/20230601-akta-cukai-keuntungan-harta-tanah-1976-akta-169.pdf

Exemption for individuals only (paragraph 2 of Schedule 4): an individual is allowed an exemption of RM10,000 or 10% of the chargeable gain, whichever is greater. Where an individual disposes of part only of the asset, the exemption is apportioned by the formula A/B x C, where A is the part of the area of the chargeable asset disposed (for shares, the number of chargeable-asset shares disposed), B is the total area (or total number of issued shares), and C is RM10,000 or 10% of the chargeable gain, whichever is greater; the partial-disposal apportionment has effect from 31 December 2015. Sources: https://www.hasil.gov.my/en/ckht/pengecualian/ and Schedule 4 paragraph 2 of Act 169 at https://www.hasil.gov.my/wp-content/uploads/20230601-akta-cukai-keuntungan-harta-tanah-1976-akta-169.pdf

Private residence, once in a lifetime (section 8, subject to Schedule 3): the gain on the disposal of a private residence by an individual who is a Malaysian citizen or a Malaysian permanent resident is exempt. A private residence is a building or part of a building in Malaysia owned by an individual and occupied, or certified fit for occupation, as a place of residence. The individual is entitled to the exemption on the disposal of one private residence only; the election is made electronically on Form CKHT 3 through e-CKHT and is irrevocable, and once made no further exemption is granted on the disposal of any other private residence. Sources: https://www.hasil.gov.my/en/ckht/pengecualian/ and Schedule 3 of Act 169 at https://www.hasil.gov.my/wp-content/uploads/20230601-akta-cukai-keuntungan-harta-tanah-1976-akta-169.pdf

Holding period (Schedule 5): the disposal is counted as within three years after the date of acquisition, in the fourth year, in the fifth year, and in the sixth year or thereafter. The twelve months from acquisition are year 1, so a disposal on the third anniversary falls in the fourth year; LHDN's RPGT guideline example, an asset acquired on 2 May 2005 and disposed of on 10 July 2012, is described as a disposal in the eighth year. The disposal date is the date of the written agreement, or the date of completion where there is no agreement. Sources: Schedule 5 of Act 169 at https://www.hasil.gov.my/wp-content/uploads/20230601-akta-cukai-keuntungan-harta-tanah-1976-akta-169.pdf and https://www.hasil.gov.my/en/ckht/tarikh-pelupusan-dan-tarikh-pemerolehan-2/

Unlisted shares and the 2024 capital gains tax: the CGT introduced by the Finance (No. 2) Act 2023 (Act 851) under ITA paragraph 4(aa) took effect on 1 January 2024 (exempt for disposals from 1 January to 29 February 2024 under P.U.(A) 410/2023 and P.U.(A) 57/2024). It reaches only entities: LHDN's guideline states "A company, limited liability partnership, trust body or co-operative society including a Labuan entity that is subject to tax under the ITA (disposer), is chargeable person to CGT", and the ITA's "capital asset" definition limits Malaysian movable property to "a share of a company incorporated in Malaysia not listed on the stock exchange ... owned by a company, limited liability partnership, trust body or co-operative society". An individual's unlisted-share gain is therefore not within the CGT; it can still be income under ITA section 4(a) if the individual is trading. LHDN's guideline never uses the word "individual". Sources: paragraph 4 of https://www.hasil.gov.my/wp-content/uploads/20250721-Guidelines-on-Capital-Gains-Tax-for-Unlisted-Shares.pdf and ITA section 2(1) at https://www.hasil.gov.my/wp-content/uploads/20240521-akta-cukai-pendapatan-1967-akta-53.pdf

Listed shares are outside both taxes: the ITA "capital asset" definition covers a share of a company incorporated in Malaysia not listed on the stock exchange, so a listed-share disposal by an individual is not taxed on the gain. For the entities that are chargeable to the unlisted-share CGT, the rate is 10% of chargeable income, or at the taxpayer's option 2% of the gross disposal price for shares acquired before 1 January 2024, under ITA Schedule 1 Part XXI; disposals between 1 March 2024 and 31 December 2028 in a restructuring scheme for a listing are exempt under P.U.(A) 290/2024. A real property company (RPC) share is a separate case: an individual's RPC-share gain is within RPGT, not the CGT (Schedule 2 paragraph 34A). Sources: ITA section 2(1) at https://www.hasil.gov.my/wp-content/uploads/20240521-akta-cukai-pendapatan-1967-akta-53.pdf and https://www.hasil.gov.my/wp-content/uploads/20250721-Guidelines-on-Capital-Gains-Tax-for-Unlisted-Shares.pdf

Crypto and digital currency: taxability follows the badges of trade. LHDN's guideline states that a person who actively trades digital currency generates income that is taxed, and that a capital gain on the disposal of digital currency which is not income under ITA paragraph 4(a) is not subject to the capital gains tax. An individual's investment crypto is therefore outside both RPGT and the CGT; only trading is taxed, as income. Source: Guidelines on the Tax Treatment of Digital Currency Transactions, 2nd edition, 5 December 2025, at https://www.hasil.gov.my/wp-content/uploads/garis-panduan-layanan-cukai-ke-atas-transaksi-mata-wang-digital.pdf

Losses: an allowable loss is deducted from the same year's total chargeable gains, and any balance is carried forward (Act 169 section 7(4)). From the year of assessment 2026 the Finance Act 2025 (Act 874) section 20 limits the carry-forward to nine consecutive years of assessment and disregards any amount not deducted by the end of that period; losses for YA2025 and earlier may be deducted up to YA2035, after which anything left is disregarded (Act 874 section 21, effective for YA2026 under section 19(1)). RPC-share losses cannot be deducted against gains on other assets or other RPC shares (Schedule 2 subparagraph 33(d)). CGT losses under ITA section 65E are entity-only and do not apply to individuals. Sources: https://www.hasil.gov.my/wp-content/uploads/Akta-Kewangan-2025-Akta-874.pdf and https://www.hasil.gov.my/en/ckht/penentuan-keuntungan-yang-boleh-dikenakan-cukai-atau-kerugian-dibenarkan/

Filing and retention: the RPGT return (RPK 1A for real property, RPK 1B for shares) is due within 60 days after the date of disposal. The acquirer must retain and remit under section 21B of Act 169: 3% of the consideration for a Part I disposer; for Part II, 5% within three years and 3% from the fourth year onwards; and 7% for a Part III disposer, paid to the Director General within 60 days after the disposal. Individual income tax returns are due 30 April on paper or 15 July by e-filing. Sources: https://www.hasil.gov.my/en/ckht/pegangan-dan-remitan-wang-oleh-pemeroleh/ and Act 169 section 21B at https://www.hasil.gov.my/wp-content/uploads/20230601-akta-cukai-keuntungan-harta-tanah-1976-akta-169.pdf

Other valuables: ordinary personal movables are outside RPGT (they are not real property) and outside the CGT (the movable-property limb of "capital asset" covers unlisted shares only), so a gain on a car, artwork or collectible is taxed only where the disposal is a trade or business under ITA section 4(a). Sources: ITA section 2(1) at https://www.hasil.gov.my/wp-content/uploads/20240521-akta-cukai-pendapatan-1967-akta-53.pdf and https://www.hasil.gov.my/en/ckht/kadar-cukai-keuntungan-harta-tanah/