In Singapore, a tenant must pay a tax (surprise!) in addition to the monthly rent and deposit when signing the rental agreement. Other than stamp duty, it is payable if a tenant: the amount you have to pay for the rent depends on the average annual rent (AAR). For a tenancy period of 4 years or less, it is only 0.4% of the total rent of the rental period. If it is a tenancy term of more than 4 years (which is very unusual), this represents 0.4% of the quadruple of the AAR for the duration of the lease. You must have a stamp duty for each AAR over 1000 USD (that`s actually everyone). AAR compared to other payments such as: If your monthly rent is 2,000 USD, you will find here an example of calculation to get the amount of customs duties: in case of increase in rent or extension of the term of the lease, the stamp duty must be paid on the document on the basis of the increase in rent or rent for the extended tenancy period. In the event of an increase in rent or renewal of the lease, the stamp duty is due on the basis of the increase in the rent or the extended lease. The good news is that if there is a reduction in rent or reduced rent, you have nothing to do! You can pay a stamp duty with FAST (for DBS/POSB accounts), AXS, eNETS, GIRO, etc. For amounts less than $2000 or up to your daily payment limit, you need an internet bank with DBS/POSB, UOB, OCBC, Citibank or Standard Chartered Bank. To simplify things, let`s take a look at the rent tax determination formula for each Singapore property with fixed rental prices.
You should also note that there are different ways to calculate stamp duty for premium real estate leasing, an order or innovation lease, leases with staggered rents on the market, leases with extended rental periods or increased rental prices. They signed the lease and paid the first month`s rent and deposit. Before you move into your new home, there`s one thing to do: stamp duty. The rental contract is recognised by the authorities and is legally binding only if all relevant stamps and seals are in place and stamp duty is properly paid. Do you use an agent to get in touch with the tenant and does the tenant also have an agent? If both are the case, it is advisable to let the agents process this part of the agreement. The additional rent subject to stamp duty would be $600 The amount of stamp duty depends on the monthly rent and the length of your rental.