With effect from 1 January 2014, for companies and individuals who are Malaysian citizens and permanent residents, a Real Property Gains Tax (“RPGT”) rate of 30% will be imposed for a holding period of real property of up to 3 years, 20% for a holding period exceeding 3 years and up to 4 years and 15% for a holding period exceeding 4 years and up to 5 years. RPGT of 5% will be imposed for a holding period exceeding 5 years for companies while individuals who are Malaysian citizens or permanent residents will NOT suffer RPGT if the holding period exceeds 5 years. 

Individuals who are NOT Malaysian citizens or permanent residents will be subject to RPGT at the rate of 30% for a holding period up to 5 years and 5% for a holding period exceeding 5 years.