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Property · Schedule 5

Real Property Gains Tax(RPGT) calculator

Estimate the Real Property Gains Tax on selling a property in Malaysia. RPGT is charged on your chargeable gain — the sale price less your purchase price and all allowable costs. The rate depends on how long you held the property and whether you're a citizen, a company or a foreigner. Enter your figures to see the gain, the right Schedule 5 rate, and the tax payable after exemptions.

Your property disposal

Who is the seller?
Sets both the Schedule 5 rate and whether the RM10,000/10% exemption applies (individuals only).

Your RPGT estimate

Adjusted sale priceRM 700,000.00
Adjusted cost baseRM 500,000.00
Chargeable gainRM 200,000.00
Holding periodIn the 5th year
RPGT rate15.00%
Exemption (RM10k or 10%)− RM 20,000.00
Net chargeable gainRM 180,000.00
Effective rate on gain13.50%
RPGT payableRM 27,000.00

Estimate for educational use only — not tax advice. RPGT is self-assessed; confirm allowable costs, exemptions and current rates with LHDN or a tax agent before filing (Form CKHT).

How it's calculated

Your chargeable gain is the adjusted sale price (sale less selling costs) minus your adjusted cost base (purchase price plus buying costs and permanent improvements). RPGT is charged on that gain, not on the full sale price.

The rate comes from Schedule 5 of the RPGT Act and depends on the holding period and seller type. Individuals then get the Schedule 4 exemption — the greater of RM10,000 or 10% of the gain — before the rate is applied. Citizens and PR pay nothing from the 6th year onwards.

Why it matters

RPGT can take a big slice of your profit if you sell early — 30% in the first three years for everyone. Holding longer drops the rate sharply: a citizen pays 20% in the 4th year, 15% in the 5th, and 0% from the 6th. Knowing your rate before you sell helps you time the disposal and avoid an unwelcome tax bill at filing.

Citizen selling in the 4th year

Worked example

A Malaysian citizen who bought for RM500,000 and sells in the 4th year of ownership:

Adjusted cost base: RM500,000 purchase + RM30,000 buying costs and improvements = RM530,000.

Adjusted sale price: RM700,000 sale − RM20,000 selling costs = RM680,000.

Chargeable gain: RM680,000 − RM530,000 = RM150,000.

Exemption: the greater of RM10,000 or 10% × RM150,000 = RM15,000. Net gain = RM135,000.

RPGT: 4th-year citizen rate is 20%, so RM135,000 × 20% = RM27,000.

Common mistakes

Where sellers get RPGT wrong:

  1. 01Taxing the sale price, not the gain

    RPGT is on profit. Deduct your purchase price, buying costs and permanent improvements first — the tax applies only to what's left.

  2. 02Forgetting the holding-period clock

    Holding period runs from purchase SPA to sale SPA. Selling even a few months earlier can push you into a higher bracket — e.g. 30% instead of 20%.

  3. 03Assuming companies get the RM10,000 exemption

    The RM10,000/10% exemption is for individuals only. Companies are taxed on the full chargeable gain.

Frequently asked questions

7 answers
What is RPGT?

Real Property Gains Tax is a tax on the profit (chargeable gain) you make when disposing of real property in Malaysia, or shares in a real property company. It's governed by the Real Property Gains Tax Act 1976 and self-assessed using Form CKHT.

What are the current RPGT rates?

Under Schedule 5: citizens and PR pay 30% within 3 years, 20% in the 4th year, 15% in the 5th, and 0% from the 6th year onwards. Companies pay the same for years 1–5 then 10%. Foreigners and foreign companies pay 30% for the first five years, then 10%.

How is the chargeable gain calculated?

Take your sale price, subtract selling costs (agent commission, legal fees, advertising, valuation), then subtract your purchase price plus buying costs and permanent improvements. The result is your chargeable gain.

What is the RM10,000 exemption?

Schedule 4 gives every individual an exemption on each disposal equal to the greater of RM10,000 or 10% of the chargeable gain. It applies to citizens, PR and foreign individuals — but not to companies.

Do citizens really pay 0% after 5 years?

Yes. Since 1 January 2022, Malaysian citizens and permanent residents pay no RPGT on disposals from the 6th year of ownership onwards. Companies and foreigners still pay 10% in that period.

Is there an exemption for selling my home?

Citizens and PR can claim a once-in-a-lifetime full exemption on the disposal of one private residence, elected via Form CKHT 3. The election is irrevocable, so it's usually saved for a high-gain sale.

Is this calculator official?

No. It's an educational estimate using published Schedule 5 rates and the standard chargeable-gain formula. RPGT is self-assessed — confirm allowable costs, exemptions and current rates with LHDN or a tax agent before filing.

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