KUALA LUMPUR: The Real Property Gains Tax (RPGT) valuation on property would only be calculated from the year 2000 onwards, says Finance Minister Lim Guan Eng.
He said that this is done to give clarity on the issue following feedback from concerned property owners who have bought and owned land extending decades before 2000.
“On RPGT, the government previously announced rise to five per cent, but (the ministry) had received feedback that the cut-off date of evaluation was not set.
“There were parties that raised concerns that if the property was bought since 1960 and later sold, how much is the tax that they need to pay.
“Therefore, the ministry had set the date of valuation to begin from the year 2000 despite the land being owned since 1960. It would only be valued from 2000,” he said at the Dewan Rakyat during his wrapping-up speech on 2019 Budget at the Dewan Rakyat today.
Previously when tabling 2019 Budget, Lim said the government raised the RPGT to five per cent.
However, this tax is exempted on low-cost houses and affordable housing priced below RM200,000, among others.