Planning to buy a property? Taxes can oftentimes be a source of frustration in your housing journey, especially when buying a home without an agent. After all, buying a property is in and of itself an expensive endeavour, with payments that can leave a sizeable dent in one’s wallet. If you’re buying a property in Singapore – be it private or HDB – you’ll be liable to pay Buyer’s Stamp Duty (BSD).
Everything About Buyer’s Stamp Duty:
What is BSD?
The stamp duty is the taxes payable on all property purchases. This includes the purchase of HDB units, private houses, and all other properties that are residential, commercial, and industrial.
How is BSD calculated?
They are based on your property’s purchase price or market value of the property. The determining amount will be the one that’s higher. Your BSD will be calculated as follows:
| Purchase price or market value of property | BSD rate |
|---|---|
| On the first $180k | 1% |
| On the second $180k | 2% |
| Next $640,000 | 3% |
| Remaining amount | 4% |
This means that if you’re buying a 5-room flat from Tampines at $450,000, your stamp duty calculation will be:
| Purchase price or market value of property | BSD rate | Calculation | BDO Amount |
|---|---|---|---|
| On the first $180k | 1% | $180,000 x 1% | $1,800 |
| On the second $180k | 2% | $180,000 x 2% | $3,600 |
| Next $640,000 | 3% | $90,000 x 3% | $2,700 |
| Remaining amount | 4% | NA | NA |
The total BSD is $8,100.
Alternatively, you can also calculate your Buyer’s Stamp Duty amount instantly with the Ohmyhome app! Simply download the app, tap on “Loan Calculator” under Services and you’ll find our Buyer’s Stamp Duty calculator! After keying in your particulars, you’ll have your BSD amount in seconds.
What’s the mode of payment?
It depends on the type of property you are purchasing. If you are buying an HDB, you’ll be able to pay off your BSD using your CPF by default. If you are buying a private property, you will need to pay off your stamp duty using cash first before you are able to reimburse the amount from CPF.
How do I pay BSD?
You’re able to make payment via the IRAS e-stamping portal that’s available online, through eNets, cheque or cashier’s order. If you are more comfortable making these payments in person, you can drop by the Taxpayer & Business Service Centre or selected SingPost Service Bureaus.
Looking for an HDB or private property?
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Source: IRAS
Related posts:
- A Brief Explanation of the Stamp Duties in Singapore
- Guide to Buying an HDB Without an Agent: Resale Levy
- HDB Resale Completion Appointment: 6 Commonly Asked Questions by Home Buyers Answered
- 3 Must-do Checklist for Home Buyers Before the HDB Resale Completion Appointment
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