Stamp Act 1949 As at 1 March 2022

LAWS OF MALAYSIA
ONLINE VERSION OF UPDATED

TEXT OF REPRINT
Act 378
STAMP ACT 1949

As at 1 March 2022
This text is ONLY AN UPDATED TEXT of the Stamp Act 1949 by the Attorney
General’s Chambers. Unless and until reprinted pursuant to the powers of the Commissioner
of Law Revision under subsection 14(1) of the Revision of Laws Act 1968 [Act 1], this text is
NOT AN AUTHENTIC TEXT.
2
STAMP ACT 1949
First Enacted … … … … 1949 (F.M. Ordinance No.

59 of 1949)
Revised … … … … 1989 (Act 378 w.e.f. 2

January 1990)
Latest amendment made by

Act 833 which came
into operation on … … … … 1 January 2022;
see section 36 of Act 833
PREVIOUS REPRINTS
First Reprint … … … 2001

Second Reprint … … … 2006
3
LAWS OF MALAYSIA
Act 378
STAMP ACT 1949
ARRANGEMENT OF SECTIONS
PART I
PRELIMINARY
Section
1. Short title and application

2. Interpretation
3. Collector and Deputy Collectors of Stamp Duties
3A. Powers of Collector
PART II
PROVISIONS APPLICABLE TO INSTRUMENTS

GENERALLY
Liability of Instruments to Duty
4. Instruments chargeable with duty

4A. Stamp duty on instruments executed outside Malaysia effecting transfers of
property in Malaysia
Payment of Duty
5. All facts and circumstances to be set out

5A. (Deleted)
6. Instrument relating to distinct matters
4 Laws of Malaysia ACT 378
Section
7. Mode of paying and denoting duty

8. Franking of certain instruments
9. Authorized person to compound instrument
10. How instruments are to be written and stamped
11. Where duty chargeable depends on duty paid on another instrument
11A. Replica
12. Duplicate and counterparts
Valuation for Duty
12A. Assessment of the value of property under transfer or settlement

13. Currency and securities
14. Instruments reserving interest
14A. Principal securities in syariah financing
PART III
PROVISIONS APPLICABLE TO PARTICULAR

INSTRUMENTS
15. Relief from stamp duty in case of reconstructions or amalgamations of

companies
15A. Relief from stamp duty in case of transfer of property between associated
companies
16. Voluntary conveyance inter vivos
17. How transfer for debts, stocks, securities, future payments and further
consideration to be charged
18. Duties on foreclosure orders
19. Valuation in case of annuity
20. Direction as to duty in case of certain conveyances
20A. Exchange of real property
20B. Vesting or transfer of an undivided interest in property
Stamp 5
Section
21. Certain contracts to be chargeable as conveyances on sale

22. Sale of annuity or right not before in existence
23. What is to be deemed a conveyance, not being a sale or mortgage
24. Leases, how to be charged in respect of produce, etc.
25. Directions as to duty upon leases, etc.
26. Direction as to duty upon transfer of stock
27. (Deleted)
28. Security for future advances, how to be charged
29. (Deleted)
29A. Directions as to duty upon a primary or principal security
30. Directions as to sea policy
31. Legal alteration in sea policies may be made
32. Directions as to certain contract notes
32A. Obligation to execute contract note
PART IV
LIABILITY FOR PAYMENT OF DUTY
33. Duty by whom payable

34. (Deleted)
35. Exemptions
PART V
ADJUDICATION AS TO STAMPS
36. Mode of adjudication as to proper stamp

36A. Initial duty
36AA. Advance duty
36B. Additional duty
36C. Where duty chargeable is equal or lower than advance duty paid and
refund of advance duty paid in excess
Section
36D. Finality of assessment

37. Certificate by Collector
38. Exception to sections 36, 36A, 36AA, 36B, 36C and 37
38A. Notice of objection
39. Appeal to High Court
40. Time of stamping after adjudication
PART VI
OF THE TIME OF STAMPING INSTRUMENTS
41. Instruments executed in Malaysia

42. Instruments executed out of Malaysia
43. Bills, cheques or notes drawn out of Malaysia
44. Bills of exchange and cheques accepted or payable outside Malaysia
45. Power of drawee to stamp bills or cheques
46. Transfers of shares
47. Stamping of instruments after execution
47A. Penalty for late stamping
48. Denoting penalty
49. Persons liable to penalty
50. Penalty, how recoverable
50A. Error in assessment, etc.
PART VII
INSTRUMENTS NOT DULY STAMPED
51. Examination and impounding of instruments

52. Instruments not duly stamped inadmissible in evidence
Stamp 7
Section
53. Instruments impounded how dealt with
54. (Deleted)
55. Agreements evidenced by letters how stamped
56. Recovery of duty and penalty
PART VIII
ALLOWANCE FOR SPOILED STAMPS
57. Allowance for spoiled stamps

58. Allowance for misused stamps
59. Allowance, how to be made
59A. Stamp to include official receipt
PART IX
OFFENCES AND PENALTIES
60. Not cancelling adhesive stamps

60A. Failure to frank documents
61. Penalty for not setting forth all the facts and circumstances
62. (Deleted)
63. Penalty for executing and signing documents not duly stamped
64. Penalty for failure to execute and transmit contract note
65. Penalty for post-dating bills
66. (Deleted)
67. Penalty for not making out policy other than on sea insurance or making one
not duly stamped
68. Penalty for assuring on sea insurance unless under policy duly stamped
69. Penalty for issuing share warrant, etc., not duly stamped
70. (Deleted)
71. Penalty for unauthorized dealing in stamps
Section
72. Penalty for hawking stamps

72A. Penalty relating to stamp certificates
73. Postage stamps
74. Fraud in relation to duty
74A. Recovery from persons leaving Malaysia
74B. Leaving Malaysia without payment of duties, etc.
75. Institution and conduct of prosecution
PART X
MISCELLANEOUS
76. Books, etc., in the custody of public officers may be inspected without fee
77. Collector may administer oaths
77A. Electronic medium
77B. Electronic assessment and stamping of instruments
77C. Tax identification number
78. Revision of acts of Collector
79. Responsibility for loss or damage
80. Power to exempt, reduce or remit duties
80A. Fund for Tax Refund
80B. Power of Collector to remit duties
81. Power to compound duties in case of issue of bonds, etc.
82. Rules
83. Repeal
FIRST SCHEDULE
SECOND SCHEDULE
THIRD SCHEDULE
FOURTH SCHEDULE
FIFTH SCHEDULE
SIXTH SCHEDULE
9
LAWS OF MALAYSIA
Act 378
STAMP ACT 1949
An Act relating to stamp duties.
[Peninsular Malaysia— 5 December 1949;

Sabah and Sarawak— 1 October 1989, P.U. (B) 441/1989]
PART I
PRELIMINARY
Short title and application
1. (1) This Act may be cited as the Stamp Act 1949.
(2) This Act shall apply throughout Malaysia.
Interpretation
2. In this Act, unless the context otherwise requires—
“banker” means—
(a) any person licensed under the Financial Services Act 2013
[Act 758] to carry on a banking business in Malaysia;
(b) any person licensed under the Islamic Financial Services

Act 2013 [Act 759] to carry on an Islamic banking business
in Malaysia; or
(c) a development financial institution prescribed under the

Development Financial Institutions Act 2002 [Act 618];
“bond” means—
(a) any instrument whereby a person obliges himself to pay

money to another on condition that the obligation shall be
void if a specified act is performed or is not performed, as
the case may be;
(b) any instrument, attested by a witness and not payable to

order or bearer, whereby a person obliges himself to pay
money to another;
“charge” means any instrument whereby, for the purpose of securing

the payment of any definite and certain sum of money advanced or lent
at the time or previously due or foreborne to be paid or for the
repayment of money to be thereafter lent, advanced or paid, or which
may become due upon any account current, together with any sum
already advanced or due, or without, as the case may be, or for the
performance of any contract or engagement, one person creates a right
over or charge upon any specified property; and includes any
instrument which purports to create or in which any person agrees to
create any such right or charge;
“cheque” means a bill of exchange drawn on a specified banker and

not expressed to be payable otherwise than on demand;
“Collector” includes the Collector of Stamp Duties and every Deputy

Collector of Stamp Duties appointed under section 3;
“continuation clause” in a policy of sea insurance made for time

means an agreement to the following or the like effect, namely, that in
the event of the ship being at sea or the voyage otherwise not
completed on the expiration of the policy, the subject matter of the
insurance shall be held covered until the arrival of the ship, or for a
reasonable time thereafter not exceeding thirty days;
“contract note” means the note sent by a dealer or agent to his

principal, or by any person who by way of business deals, or holds
himself out as dealing, as a principal in any stock or marketable
securities, advising the principal, or the vendor or purchaser, as the
case may be, of the sale or purchase of any stock or marketable
security, but does not include a note sent by a dealer or agent to his
principal where the principal is himself acting as dealer or agent for a
Stamp 11
principal and is himself a person who bona fide carries on the business
of a dealer in Malaysia;
“conveyance on sale” includes every instrument and every decree or

order of any Court, whereby any property, or any estate or interest in
any property, upon the sale thereof is transferred to or vested in a
purchaser or any other person on his behalf or by his direction;
“dealer” means any person licensed under the *Securities Industry

Act 1983 [Act 280] to carry on the business of dealing in securities in
Malaysia and is recognized as a member company by a stock
exchange;
“die” includes any plate, type, tool or implement whatever used

under the direction of the Collector for expressing or denoting any duty
or rate of duty, or the fact that any duty or rate of duty or penalty has
been paid, or that an instrument is duly stamped, or is not chargeable
with any duty or for denoting any fee, and also any part of any such
plate, type, tool or implement;
“duly stamped”, as applied to an instrument, means —
(a) the instrument bears an adhesive or impressed stamp of not

less than the proper amount or the amount of initial duty or
the amount of advance duty paid under subsection 37(1)
and that such stamp has been affixed or used in accordance
with the law for the time being in force;
(b) any official receipt for the proper amount or the amount of
initial duty or the amount of advance duty is affixed to the
instrument;
(c) a stamp certificate for the proper amount or the amount of

initial duty or the amount of advance duty is attached to the
instrument if the instrument is stamped through an
electronic medium; or
*
NOTE―The Securities Industry Act 1983 [Act 280] was repealed by the Capital Market and Services
Act 2007 [Act 671]—see section 381 of Act 671.
(d) the instrument is stamped by means of digital stamping for

the proper amount or the amount of initial duty or the
amount of advance duty;
“duty” means any stamp duty for the time being chargeable under
this Act or under any written law;
“equitable mortgage” means an agreement or memorandum, under

hand only, relating to the deposit of any title deeds or instruments
constituting or being evidence of the title to any property whatever
(other than stock or marketable securities and a letter of
hypothecation), or creating a charge on such property but does not
include a registered charge on land in any State;
“executed” and “execution”, used with reference to instruments not

under seal, mean “signed” and “signature”;
“foreign currency loan” means any loan denominated wholly in

currencies other than the Ringgit;
“impressed stamp” means a stamp impressed by means of a die, or

an adhesive stamp over which an impression, denoting the date of such
impression, has been made by the proper officer by means of a die;
“instrument” includes every written document;
“insurer” means any person licensed under the *Takaful Act 1984
[Act 312] or the **Insurance Act 1996 [Act 553] to carry on an
insurance business in Malaysia and includes a reinsurer;
“lease” means a lease of immovable property, and includes—
(a) any undertaking in writing to cultivate, occupy, or pay or

deliver rent for, immovable property;
(b) any instrument by which tolls, rents or profits of any

description are let to farm;
*
NOTE―The Takaful Act 1984 [Act 312] was repealed by the Islamic Financial Services Act 2013 [Act
759]—see section 282 of Act 759.
**
NOTE―The Insurance Act 1996 [Act 553] was repealed by the Financial Services Act 2013 [Act 758]—
see section 271 of Act 758.
Stamp 13
(c) any writing on an application for a lease intended to signify

that the application is granted;
“letter of hypothecation” means any instrument creating a pledge or

lien over goods in consideration of moneys advanced or to be advanced
or to secure the payment or repayment of moneys;
“marketable security” means a security of such a description as to be

capable of being sold or negotiated in any stock market in Malaysia or
elsewhere;
“money” includes all sums whether expressed in the ringgit or in any

other currency;
“mortgage” means a security by way of mortgage for the payment of

any definite and certain sum of money advanced or lent at the time, or
previously due or foreborne to be paid, being payable, or for the
repayment of money to be thereafter lent, advanced or paid, or which may
become due upon an account current, together with any sum already
advanced or due, or without, as the case may be; and includes—
(a) any conveyance of any property in trust to be sold or

otherwise converted into money intended only as a
security, and redeemable before the sale or other disposal
thereof either by express stipulation or otherwise;
(b) any instrument in writing for defeating or making redeemable,

or explaining or qualifying any conveyance of property,
apparently absolute, but intended only as a security;
(c) any agreement for a mortgage or any agreement (other than

an agreement chargeable with duty as an equitable
mortgage), contract, or bond accompanied with a deposit of
title deeds or with other instruments evidencing a right to
property, for making a mortgage or any other security or
conveyance as aforesaid of any property comprised in the
title deeds or other instruments or for pledging or charging
the same as a security; and
(d) any deed operating as a mortgage of any stock or

marketable security;
“official receipt” means a receipt issued by or on behalf of the

Collector for payment of stamp duties;
“paper” includes every material upon which words or figures can be

expressed;
“policy of insurance” includes every writing whereby any contract

of insurance is made or agreed to be made or is evidenced, and the
expression “insurance” includes assurance;
“policy of sea insurance”—
(a) means any insurance, including re-insurance, made upon

any ship or vessel, whether for marine or inland navigation,
or upon the machinery, tackle or furniture of any ship or
vessel or upon any goods, merchandise or property of any
description whatever on board of any ship or vessel or upon
the freight of or any other interest which may be lawfully
insured in or relating to any ship or vessel; and
(b) includes any insurance of goods, merchandise or property

for any transit which includes, not only a sea risk under
paragraph (a), but also any other risk incidental to the
transit insured from the commencement of the transit to the
ultimate destination covered by the insurance;
“power of attorney” means any instrument except a warrant to act as

a solicitor in any judicial proceeding, empowering a specified person
to act in the stead of the person executing it;
“promissory note” means any document or writing (except a bank

note) containing a promise to pay any sum of money and includes a
note promising the payment of any sum of money out of any particular
fund which may or may not be available or upon any condition or
contingency which may or may not be performed or happen;
“property” includes movable or immovable property and any estate

or interest in any property movable or immovable, whether in
Stamp 15
possession, reversion, remainder or contingency, and any debt, and

anything in action, and any other right or interest in the nature of
property which is capable of being disposed of and has a value in it;
“settlement” means any non-testamentary disposition in writing

whether made voluntarily or upon a good or valuable consideration
other than a bona fide pecuniary consideration whereby any definite
and certain property is settled or agreed to be settled in any manner for
any purpose whatsoever;
“small and medium enterprise” means—
(a) in relation to the manufacturing activities, an enterprise

with sales turnover not exceeding fifty million ringgit or
full-time employees not exceeding two hundred people; or
(b) in relation to the services, and other sectors, an enterprise

with sales turnover not exceeding twenty million ringgit or
full-time employees not exceeding seventy-five people;
“stamp certificate” means a certificate that is issued electronically

in respect of any instrument chargeable with duty denoting the amount
of duty paid in respect of that instrument;
“stock” includes any share in the capital stock or funded debt of any
corporation, company or society in Malaysia or elsewhere and any
share in the stocks or funds of the Government of Malaysia or of any
other Government or country.
Collector and Deputy Collectors of Stamp Duties
3. (1) The Director General of Inland Revenue referred to in

subsection 134(1) of the Income Tax Act 1967 [Act 53] shall be the
Collector of Stamp Duties.
(2) The Minister of Finance may, by notification in the Gazette,

appoint such number of Deputy Collectors of Stamp Duties as he
thinks fit, for the purpose of carrying out the provisions of this Act.
Powers of Collector
3A. (1) The Collector may by notice in writing require any person
to produce any instrument for the purpose of ascertaining whether it is
chargeable with duty under this Act and, if so, whether that duty has
been paid.
(2) The Collector shall, if he considers it necessary in the execution

of his duties under this Act, at all times have full and free access to all
lands, buildings and places, and all books and documents, whether in
the custody or under the control of a public officer or a body corporate
or any other person whatsoever, for the purpose of ascertaining the
market value of any property or of ascertaining any facts or inspecting
any books or documents which the Collector considers necessary or
relevant for the purposes of this Act, or considers likely to provide any
information otherwise required for the purposes of this Act, and may,
without fee or reward, make extracts from or copies of any such books
or documents.
(3) The Collector may take possession of any such books or

documents where in his opinion—
(a) the inspection or copying thereof or extraction therefrom

cannot reasonably be performed without taking possession
thereof;
(b) the books or documents may be interfered with, concealed

or destroyed unless possession thereof is taken; or
(c) the books or documents may be required as evidence in any

proceeding instituted or commenced under or for any of the
purposes of this Act.
(4) For the purpose only of ascertaining the market value of any
property, the Collector may in writing authorize any valuer employed
by the Government, whether he be a public officer or a person privately
practising as a valuer, to exercise any of the powers conferred upon the
Collector by this section.
(5) Any person who obstructs or hinders the Collector, or any valuer
duly authorized by the Collector, in the exercise of any of his powers
Stamp 17
under this section, or who refuses or fails to comply with a notice under
subsection (1) or with any direction given in good faith by the Collector
or any such valuer for any of the purposes of this section, shall be liable
to a fine not exceeding two hundred and fifty ringgit.
PART II
PROVISIONS APPLICABLE TO INSTRUMENTS

GENERALLY
Liability of Instruments to Duty
Instruments chargeable with duty
4. (1) Subject to this Act and subject to the exemptions contained

in this Act and in any written law for the time being in force, the several
instruments specified in the First Schedule shall, from and after the
commencement of this Act, be chargeable with the several duties
specified in such Schedule.
(2) Nothing in this Act shall render liable to additional duty any
instrument whereon duty is expressly imposed under any other written
law in force in Malaysia.
(3) Where in the case of any sale, lease, charge, settlement,

exchange or partition several instruments are employed for completing
the transaction, the principal instrument only shall be chargeable with
the duty prescribed in the First Schedule for the conveyance, lease,
charge, settlement or partition and each of the other instruments shall
be chargeable with a duty of ten ringgit only; and the parties may
determine for themselves which of the instruments so employed shall,
for the purpose of this subsection, be deemed to be the principal
instrument.
(4) The duties imposed by such Schedule may be cancelled, varied

or added to by a resolution of the House of Representatives.
Stamp duty on instruments executed outside Malaysia effecting

transfers of property in Malaysia
4A. (1) Any instrument executed outside Malaysia and purporting

to effect a transfer of any immovable property, or of any movable
property other than debentures issued by, or shares in, a company,
shall, if the property intended to be transferred is situated in any part
of Malaysia, be chargeable with stamp duty in accordance with the
First Schedule, and unless the instrument of transfer, or a counterpart
or duplicate thereof which shall be chargeable with the like duty as if
it were the original, is brought into Malaysia and the proper stamp duty
payable thereon as if the original had been executed in Malaysia is
paid, the transfer shall not take effect.
(2) Where any instrument executed outside Malaysia and

purporting to effect a transfer of debentures issued by, or shares in, a
company incorporated in Malaysia under section 16 of the *Companies
Act 1965 [Act 125] or a foreign company registered in Malaysia under
section 332 of that Act is produced or delivered to the company for
registration, in the case of a company incorporated in Malaysia, in a
register of debenture holders or a register of members of the company
kept in Malaysia in pursuance of section 70 or 158 of that Act or, in
the case of a foreign company, in a branch register of the foreign
company kept in Malaysia in pursuance of section 342 of that Act, the
company or foreign company shall, unless the instrument of transfer
bears a stamp, duly cancelled in accordance with this Act, showing—
(a) that the proper stamp duty has been paid thereon in
accordance with the First Schedule; or
(b) such other evidence of payment of the proper stamp duty as

this Act may allow,
refuse to register the transfer and the transfer shall not take effect.
(3) Where any instrument of transfer of any of the descriptions

mentioned in subsection (2) is registered otherwise than in accordance
with that subsection, the company or foreign company and the officer
*
NOTE—The Companies Act 1965 [Act 125] has been repealed by the Companies Act 2016 [Act 777]—
see section 620 Act 777.
Stamp 19
of the company or foreign company responsible for making the entry

in the register shall be liable to a fine not exceeding two hundred and
fifty ringgit.
(4) In this section—
(a) (Omitted);
(b) expressions which are defined in the Companies Act

1965 shall have the same meaning as in that Act.
Payment of Duty
All facts and circumstances to be set out
5. All the facts and circumstances affecting the liability of any

instrument to duty or the amount of the duty with which any instrument
is chargeable are to be fully and truly set forth in the instrument, and
the Collector may require such evidence to be furnished as may be
reasonably necessary to prove that all such facts and circumstances are
truly set forth.
5A. (Deleted by Act 661).
Instrument relating to distinct matters
6. Except where express provision to the contrary is made by this Act

or by any other written law—
(a) an instrument containing or relating to several distinct

matters shall be separately and distinctly charged, as if
it were a separate instrument, with duty in respect of
each of the matters;
(b) an instrument made for any consideration in respect of

which it is chargeable with ad valorem duty, and also
for any further or other valuable consideration or
considerations, shall be separately and distinctly
charged, as if it were a separate instrument, with duty

in respect of each of the considerations.
Mode of paying and denoting duty
7. (1) Subject to any rules made under paragraph 82(b), all duties
with which any instruments are chargeable under this Act shall be paid,
and payment shall be indicated on such instrument by—
(a) means of an adhesive stamp;
(aa) means of an impressed stamp;
(b) affixing an official receipt to such instrument;
(c) attaching a stamp certificate to such instrument; or
(d) means of digital stamping.
(2) Where duty is required to be paid or indicated by means of an

adhesive stamp, such stamp shall be a revenue stamp issued under this
Act for the payment of stamp duty, which, at the time the duty is to be
paid or indicated, is a valid revenue stamp.
(3) Stamps used for any of the instruments described under any of
the articles in the First Schedule and not included in the Second
Schedule shall, and stamps used for any of the instruments described
under any of the articles in the Second Schedule may, be cancelled as
follows: The instrument, or the paper on which it is proposed to be
written, shall be taken to the office of the Collector and the stamp shall
there be cancelled by having the words “Stamp Office” with the name
of the district and the date written or printed partly on the stamp and
partly on the paper to which the stamp is affixed.
(4) Stamps used for any of the instruments described under any of
the articles in the Second Schedule shall, unless cancelled in the
manner provided in the last preceding subsection, be cancelled as
follows: Whoever affixes any such stamp to any instrument chargeable
with duty and which has been executed by any person shall, when
affixing such stamp, cancel the same by writing or marking distinctly
Stamp 21
the date in ink either wholly on the stamp or partly on the stamp and
partly on the paper to which the stamp is affixed, or in such other
manner as the Minister of Finance may from time to time direct, so that
the stamp cannot be used again, and whoever executes any instrument
on any paper bearing a stamp shall at the time of execution, unless such
stamp has been already cancelled in the manner aforesaid, cancel the
same in the manner aforesaid so that it cannot be used again.
(5) Any instrument bearing a stamp which has not been so

cancelled in the manner prescribed in this section that it cannot be used
again shall, so far as such stamp is concerned, be deemed to be
unstamped.
(6) Where two or more stamps are used to denote the stamp duty
on any instrument, each and every stamp shall be cancelled in the
manner prescribed in this section.
(7) In the case of instruments specified in the first column of the

Second Schedule, the persons mentioned in the second column of the
said Schedule are the persons required, subject to subsection (3), to
cancel the stamps.
(8) The Second Schedule may be amended by the Minister of

Finance by order published in the Gazette.
Franking of certain instruments
8. (1) Notwithstanding anything contained in this Act, it shall be

lawful for the Minister of Finance by licence under his hand to
authorize any person to pay the duty on any of the instruments
specified in the Fifth Schedule by means of a postal franking machine
or digital franking machine.
(1A) The Fifth Schedule may be amended by the Minister of Finance

by Order published in the Gazette.
(2) A licence issued under this section shall be subject to such

conditions as the Minister of Finance may in his absolute discretion
impose.
(3) The issue of a licence under this section shall be notified by

publication in the Gazette.
(4) Every impression indicating the payment of duty made by a

postal franking machine used under licences under this section shall
contain the true date of the making of such impression.
(5) The franking of any of the above-mentioned instruments by any

duly authorized person as provided for in this section, if done in
accordance with the terms of this section and of the licence, shall have
the same effect as cancelling an adhesive stamp on the date and to the
value indicated by such franking.
(6) The Collector or any person authorized by him in writing may,

at all reasonable times, inspect any books, records and documents kept
by him in connection with the issue of such licence.
(7) For the purpose of subsection (6), the authorized person shall
keep and retain the books, records and documents in connection with
the issue of such licence for a period of seven years from the year in
which such licence is issued.
(8) Any authorized person who fails to comply with the conditions
imposed in the licence under subsection (2) shall be liable to a fine of not
less than four thousand ringgit and not more than ten thousand ringgit.
Authorized person to compound instrument
9. (1) The Collector, may by notification in the Gazette, authorize

any person including any banker, dealer or insurer, to compound for
the payment of duty on unstamped instrument subject to the condition
that the instrument be drawn or drawn up and issued on a form to be
supplied or adopted by the said person.
(2) The said authorized persons shall levy upon charge to the
person to whom such instruments referred to in subsection (1) are
issued the stamp duty mentioned in the First Schedule.
(3) The said authorized person shall pay on the 1st day of each
calendar month in each year to the Collector the amount due and
Stamp 23
collected thereon as duties on such unstamped instruments and

where he fails to pay the amount on each date specified or within
fourteen days immediately thereafter, he shall in addition to the
amount due pay a further amount of two hundred ringgit or ten per
centum of the amount due whichever is the greater and any amount
due shall be recoverable as a debt due to the Government.
(4) The said authorized person shall deposit with the Collector,
as security for the due payment to the Collector of any moneys
payable under subsection (2), such sum, if any, as the Minister of
Finance may direct.
(5) Instruments in respect of which payment of duty by way of

composition has been made under this section, notwithstanding any
other provision of this Act, shall be deemed to be duly stamped.
(6) Where any person has been authorized to compound for the
payment of duty on unstamped instrument under subsection (1), the
Collector or any person authorized by him in writing, may, at all
reasonable times, inspect any stocks of unstamped instrument held
by such person and any books, records and documents kept by him
in connection with the issue of such instrument.
(7) For the purpose of subsection (6), the person mentioned in

subsection (1) shall keep and retain the books, records and
documents in connection with the issue of such instruments referred
to in subsection (1) or a period of seven years from the year in which
such instruments are issued.
How instruments are to be written and stamped
10. (1) Every instrument written upon stamped paper is to be

written in such manner, and every instrument partly or wholly written
before being stamped shall be so stamped, that the stamp may appear
on the face of the instrument and cannot be used for or applied to any
other instrument written upon the same piece of paper.
(2) If more than one instrument be written upon the same piece of
paper, every one of the instruments shall be separately and distinctly
stamped with the duty with which it is chargeable.
Where duty chargeable depends on duty paid on another

instrument
11. Where the duty with which an instrument is chargeable, or its

exemption from duty, depends in any manner upon the duty actually
paid in respect of another instrument, the payment of such last-
mentioned duty shall, upon application to the Collector for that purpose
and production of both the instruments, be denoted upon such first-
mentioned instrument by indorsement under the hand of the Collector
or in such other manner, if any, as may be prescribed by rules made
under this Act.
Replica
11A. (1) Where a replicate of an instrument is presented to the

Collector, the replicate of such instrument shall not be deemed to be
duly stamped unless it can be shown to the satisfaction of the Collector
that all the facts and circumstances affecting the liability of the original
instrument to duty, and the amount of the duty chargeable thereon has
been paid.
(2) For the purpose of subsection (1), the Collector shall indorse
on the replicate of the instrument that full and proper duty with which
the original is chargeable had been paid upon payment of a fee of one
hundred ringgit for each replicate of an instrument.
Duplicate and counterparts
12. The duplicate or counterpart of an instrument chargeable with

duty (except the counterpart of an instrument chargeable as a lease,
such counterpart not being executed by or on behalf of any lessor or
grantor) shall not be deemed to be duly stamped unless—
(a) it is stamped as an original instrument;
(b) it appears by a certificate indorsed by the Collector on the

duplicate or counterpart that full and proper duty has been
paid on the original instrument;
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(c) there is denoted on the stamp certificate issued for the

duplicate or counterpart that payment of the stamp duty
has been paid in respect of the original instrument; or
(d) there is denoted by means of digital stamping on

the duplicate or counterpart that full and proper
duty has been paid in respect of the original
instrument.
Valuation for Duty
Assessment of the value of property under transfer or settlement
12A. Where an instrument is chargeable with duty under Item 32(a)

of the First Schedule, the date for determining the market value of any
property being transferred, settled or gifted shall be—
(a) in the case of a settlement or gift, the date of execution of

the instrument of trust or settlement or gift;
(b) in the case of a transfer implementing a sale under a duly

stamped agreement of sale and purchase, the date of
execution of that agreement;
(c) in the case of a transfer of any property granted by a

statutory body, a local authority or any co-operative
society registered under any laws relating to co-operative
societies, the date when the final terms of transfer had been
communicated to the transferee, and in the case of
subsequent resale of that property, the date of consent by
the statutory body or local authority or the board of the
co-operative society for that resale;
(d) in the case of a transfer under a duly stamped sale and

purchase agreement where financial arrangements have
been made in accordance with the Syariah, the date of
execution of agreement; or
(e) in any other case, the date of execution of the instrument

of transfer.
Currency and securities
13. (1) Where an instrument is chargeable with ad valorem duty in

respect of—
(a) any money expressed in any currency other than ringgit;
(b) any stock or marketable or other security, the duty shall be

calculated on the value, on the day of the date of the
instrument or on the day it is stamped if executed out of
Malaysia, of the money in ringgit according to the current
rate of exchange, or of the stock or security according to
the average price thereof or, if there be no price, according
to the value thereof.
(2) Where an instrument contains a statement of current rate of

exchange or average price, as the case may require, and is stamped in
accordance with such statement, it shall, so far as regards the
subject-matter of such statement, be presumed, until the contrary is
proved, to be duly stamped.
Instruments reserving interest
14. When interest is expressly made payable by the terms of an

instrument, such instrument shall not be chargeable with duty higher
than that with which it would have been chargeable if no mention of
interest had been made therein.
Principal securities in syariah financing
14A. Where it is shown that a principal or primary security secures

the repayment of moneys provided under a scheme of financing made
according to the Syariah, duty chargeable thereon shall be calculated
on the principal amount provided by the financier or financing body.
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PART III
PROVISIONS APPLICABLE TO PARTICULAR

INSTRUMENTS
Relief from stamp duty in case of reconstructions or

amalgamations of companies
15. (1) If in connection with a scheme for the reconstruction of any

company or companies or the amalgamation of any companies it is
shown to the satisfaction of the Collector that there exist the following
conditions, that is to say:
(a) that a company with limited liability has been registered

within six months before the commencement of this Act,
or that a company with limited liability is to be registered,
or that since the commencement of this Act a company has
been incorporated by special written law, or that since the
commencement of this Act or within six months before the
commencement thereof the issued share capital of a
company has been increased;
(b) that the company (in this section referred to as “the

transferee company”) is to be registered in Malaysia or has
been incorporated in Malaysia or has increased its capital
with a view to the acquisition either of the undertaking of,
or of not less than ninety per centum of the issued share
capital of, any particular existing company;
(c) that the consideration for the acquisition (except such part
thereof as consists in the transfer to or discharge by the
transferee company of liabilities of the existing company)
consists as to not less than ninety per centum thereof—
(i) where an undertaking is to be acquired, in the issue

of shares in the transferee company to the existing
company or to holders of shares in the existing
company; or
(ii) where shares are to be acquired, in the issue of

shares in the transferee company to the holders of
shares in the existing company in exchange for the
shares held by them in the existing company;
then, subject to this section, stamp duty under Item 32(a) or (b) in the
First Schedule shall not be chargeable on any instrument made for the
purposes of or in connection with the transfer of the undertaking or
shares:
Provided that—
(a) no such instrument shall be deemed to be duly stamped

unless either it is stamped with the duty to which it would
but for this section be liable or it has been brought to the
Collector under section 36 and he has certified under
section 37 either that the full duty with which it is
chargeable has been paid, or that it is not chargeable with
duty; and
(b) in the case of an instrument made for the purposes of or in

connection with a transfer to a company within the
meaning of the *Companies Act 1965 the provisions of this
subsection shall not apply unless the instrument is either—
(i) executed within a period of twelve months from the

date of the registration of the transferee company or
the date of the resolution for the increase of the
issued share capital of the transferee company, as
the case may be; or
(ii) made for the purpose of effecting a conveyance or

transfer in pursuance of an agreement which has
been filed, or particulars of which have been filed,
with the Registrar of Companies within the said
period of twelve months.
*
NOTE—The Companies Act 1965 [Act 125] has been repealed by the Companies Act 2016 [Act 777]—
see section 620 Act 777.
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(3) A company shall not be deemed to be a particular existing

company within the meaning of this section unless it is provided by the
memorandum of association of, or written law incorporating, the
transferee company that one of the objects for which the company is
established is the acquisition of the undertaking of, or shares in, the
existing company, or unless it appears from the resolution, or other
authority for the increase of the capital of the transferee company that
the increase is authorized for the purpose of acquiring the undertaking
of, or shares in, the existing company.
(4) Where a claim is made for exemption under this section, the
Collector may require the delivery to him of a statutory declaration in
such form as he may direct made by an advocate and solicitor, or, in
the case of Sabah and Sarawak, an advocate, of the High Court, and of
such further evidence, if any, as he deems necessary.
(5) If—
(a) where any claim for exemption from duty under this
section has been allowed, it is subsequently found that any
declaration or other evidence furnished in support of the
claim was untrue in any material particular, or that the
conditions specified in subsection (1) are not fulfilled in
the reconstruction or amalgamation as actually carried out;
(b) where shares in the transferee company have been issued

to the existing company in consideration of the
acquisition, the existing company within a period of three
years from the date, as the case may be, of the registration
or incorporation, or of the authority for the increase of the
capital, of the transferee company ceases, otherwise than
in consequence of reconstruction, amalgamation,
liquidation or in compliance with Government policy on
capital participation in industry to be the beneficial owner
of the shares so issued to it; or
(c) where any such exemption has been allowed in connection

with the acquisition by the transferee company of shares
in another company, the transferee company within a
period of three years from the date of its registration or
incorporation or of the authority for the increase of its
capital, as the case may be, ceases, otherwise than in

consequence of reconstruction, amalgamation or
liquidation, to be the beneficial owner of the shares so
acquired;
the exemption shall be deemed not to have been allowed and an amount
equal to the duty remitted shall become payable forthwith, and shall be
recoverable from the transferee company as a debt due to the
Government, together with interest thereon at the rate of six per centum
per annum, from the date on which the duty would have become
chargeable if this section had not been passed.
(6) If in the case of any scheme of reconstruction or amalgamation,

the Collector is satisfied that at the proper time for making a claim for
exemption from duty under subsection (1) there were in existence all
the necessary conditions for such exemption other than the condition
that not less than ninety per centum of the issued share capital of the
existing company would be acquired by the transferee company, the
Collector may, if it is proved to his satisfaction that not less than ninety
per centum of the issued capital of the existing company has under the
scheme been acquired within a period of six months from the earlier of
the two following dates, that is to say—
(a) the last day of the period of one month after the first
allotment of shares made for the purposes of the
acquisition; or
(b) the date on which an invitation was issued to the

shareholders of the existing company to accept shares in
the transferee company,
and on production of the instruments on which the duty paid has been
impressed, direct repayment to be made of such an amount of duty as
would have been remitted if the said condition had been originally
fulfilled.
(6A) Where any claim for exemption from duty under this section
has been allowed and any of the circumstances specified under
subsection (5) occurs, each company which was a party to the
instrument shall notify the Collector of the circumstances of the
occurrence within thirty days from the date of the occurrence.
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(7) In this section, unless the context otherwise requires—
(a) references to a company (other than that of the transferee

company) or to the registration or incorporation of a
company (other than that of the transferee company) shall
be construed as references to a company wherever
registered or incorporated;
(b) references to the undertaking of an existing company

include references to a part of the undertaking of an
existing company;
(c) the expression “shares” includes stock.
Relief from stamp duty in case of transfer of property between

associated companies
15A. (1) Stamp duty under Item 32(a) or (b) in the First Schedule
shall not be chargeable on any instrument to which this section applies:
Provided that no such instrument shall be deemed to be duly stamped

unless either it is stamped with the duty to which it would but for this
section be liable or it has been brought to the Collector under section
36 and he has certified under section 37 either that the full duty with
which it is chargeable has been paid, or that it is not chargeable with
duty.
(2) This section applies to any instrument with respect to which it

is shown to the satisfaction of the Collector–
(a) that the effect is to transfer a beneficial interest in property

from one company with limited liability to another such
company, and that the companies are associated where one
is the beneficial owner of not less than ninety percent of the
issued share capital of the other, or that a third company with
limited liability is the beneficial owner of not less than
ninety per centum of the issued share capital of each of the
aforesaid companies;
(b) that the transfer of the property of the associated companies

is to achieve greater efficiency in operation; and
(c) that the company referred to as the transferee company

under this section is incorporated in Malaysia.
(3) The ownership referred to in subsection (2) is ownership either

directly or through another company or other companies, or partly
directly and partly through another company or other companies, and
the Sixth Schedule shall apply for the purposes of this section.
(4) This section shall not apply to any instrument unless it is also
shown to the satisfaction of the Collector that the instrument was not
executed in pursuance of or in connection with an arrangement under
which —
(a) the consideration, or any part of the consideration, for the

transfer was to be provided or received, directly or
indirectly, by a person other than a company which at the
time of the execution of the instrument was associated
within the meaning of this section with either the transferor
or the transferee (meaning, respectively, the company from
whom and the company to whom the beneficial interest was
transferred); or
(b) the said interest was previously transferred, directly or

indirectly, by such a person; or
(c) the transferor and the transferee were to cease to be

associated within the meaning of this section by reason of
a change in the percentage of the issued share capital of the
transferee in the beneficial ownership (within the meaning
of this section) of the transferor or a third company within
the period of three years from the date of the conveyance
or transfer; or
(d) the transferee company disposes of the property that it has

acquired within three years from the date of the conveyance
or transfer of the property,
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and, without prejudice to the generality of paragraph (a), an

arrangement shall be treated as falling within at paragraph if it is one
whereunder the transferor or the transferee, or a company associated
with either as there-mentioned, was to be enabled to provide any of the
consideration, or was to part with any of it, by or in consequence of the
carrying out of a transaction or transactions involving, or any of them
involving, a payment or other disposition by a person other than a
company so associated.
(5) Where any claim for exemption from duty under this section
has been allowed, it is subsequently found that any declaration or other
evidence furnished in support of the claim is untrue, the exemption
from duty shall be revoked and duty shall be chargeable, together with
interest thereon at the rate of six per centum per annum, from the date
on which the duty which the conveyance or transfer ought to be
stamped with the proper amount of duty.
(6) Where any claim for exemption from duty under this section
has been allowed and any of the circumstances specified under
subsection (4) occurs, each company which was a party to the
instrument shall notify the Collector in writing of the circumstances of
the occurrence within thirty days from the date of the occurrence.
(7) Where a claim is made for exemption under this section, the
Collector may require the delivery to him of a statutory declaration in
such form as he may direct made by an advocate and solicitor, or, in
the case of Sabah and Sarawak, an advocate, of the High Court, and of
such further evidence, if any, as he deems necessary.
Voluntary conveyance inter vivos
16. (1) Any conveyance or transfer operating as a voluntary

disposition inter vivos shall be chargeable with the like stamp duty as
if it were a conveyance or transfer on sale.
(2) The Collector may be required to express his opinion under

section 36 on any conveyance or transfer operating as a voluntary
disposition inter vivos, and no such conveyance or transfer shall be
deemed to be duly stamped unless the Collector has expressed his
opinion thereon in accordance with that section.
(3) Any conveyance or transfer, not being a disposition made in

favour of a purchaser or incumbrancer or other person in good faith
and for valuable consideration, shall, for the purposes of this section,
be deemed to be a conveyance or transfer operating as a voluntary
disposition inter vivos, and (except where marriage is the
consideration) the consideration for any conveyance or transfer shall
not for this purpose be deemed to be valuable consideration where by
reason of the inadequacy of the sum paid as consideration or other
circumstances the conveyance or transfer confers a substantial benefit
on the person to whom the property is conveyed or transferred.
(4) A conveyance or transfer made for nominal consideration for

the purpose of securing the repayment of an advance or loan or made
for effectuating the appointment of a new trustee or the retirement of a
trustee, whether the trust is expressed or implied, or under which no
beneficial interest passes in the property conveyed or transferred, or
made to a beneficiary by a trustee or other person in a fiduciary
capacity under any trust, whether expressed or implied, shall not be
charged with duty under this section, and this subsection shall have
effect notwithstanding that the circumstances exempting the
conveyance or transfer from charge under this section are not set forth
in the conveyance or transfer.
How transfer for debts, stocks, securities, future payments and

further consideration to be charged
17. (1) Where any property is transferred—
(a) in consideration, wholly or in part, of any debt or of

any stock or marketable security; or
(b) subject, either certainly or contingently, to the

payment or transfer of any money or stock, whether
being or constituting a charge or incumbrance upon the
property or not,
the instrument of transfer shall be chargeable with ad valorem duty

calculated at the rates specified under Item 32(a) in the First Schedule
upon either the value of the debt, stock or marketable security, as the
Stamp 35
case may be, or the market value of the property as on the date of
execution, whichever be the greater.
(2) Where the consideration, or any part of the consideration, for a

transfer of property consists of any security other than a marketable
security, the instrument of transfer shall be chargeable with ad valorem
duty calculated at the rates specified under Item 32(a) in the First
Schedule upon either the amount due upon the security for principal
and interest or, in the case of a security given under a scheme of
financing made according to the Syariah, any sum due and payable in
addition to the principal, or upon the market value of the property as
on the date of execution, whichever be the greater.
(3) A conveyance on sale made for any consideration in respect

whereof it is chargeable with ad valorem duty, and in further
consideration of a covenant by the purchaser to make, or of his having
previously made, any substantial improvement of or addition to the
property transferred to him or of any covenant relating to the subject-
matter of the transfer, is not chargeable, and shall be deemed not to
have been chargeable, with any duty in respect of such further
consideration.
Duties on foreclosure orders
18. Subject to section 17, a decree or order for, or having the effect
of an order for foreclosure in respect of mortgaged property shall be
chargeable with duty as if it were a conveyance of such property on
sale:
Provided that—
(a) the ad valorem stamp duty upon any such decree or order
shall not exceed the duty on a sum equal to the value of
the property to which the decree or order relates, and
where the decree or order states that value such statement
shall be conclusive for the purpose of determining the
amount of the duty; and
(b) where ad valorem stamp duty is paid upon such decree

or order, any conveyance following upon such decree or
order shall be exempt from the ad valorem stamp duty.
Valuation in case of annuity
19. (1) Where the consideration, or any part of the consideration,

for a conveyance on sale consists of money payable periodically for a
definite period not exceeding twenty years, so that the total amount to
be paid can be previously ascertained, the conveyance shall be charged
in respect of that consideration with ad valorem duty on such total
amount.

conveyance on sale consists of money payable periodically for a
definite period exceeding twenty years or in perpetuity, or for any
indefinite period not terminable with life, the conveyance is to be
charged in respect of that consideration with ad valorem duty on the
total amount which will or may, according to the terms of sale, be
payable during the period of twenty years next after the day of the date
of the instrument.

conveyance on sale consists of money payable periodically during any
life or lives, the conveyance shall be charged in respect of that
consideration with ad valorem duty on the amount which will or may,
according to the terms of sale, be payable during the period of twelve
years next after the day of the date of the instrument.
(4) No conveyance on sale chargeable with ad valorem duty in

respect of any periodical payments, and containing also provision for
securing the payments, shall be charged with any duty in respect of
such provision, and no separate instrument made in that case for
securing the payments is to be charged with any higher duty than ten
ringgit.
Stamp 37
Direction as to duty in case of certain conveyances
20. (1) Where property contracted to be sold for one consideration

for the whole is conveyed to the purchaser in separate parts or parcels
by different instruments, the consideration shall be apportioned in such
manner as the parties think fit, so that a distinct consideration for each
separate part or parcel is set forth in the conveyance relating thereto,
and such conveyance shall be chargeable with ad valorem duty in
respect of such distinct consideration.
(2) Where property contracted to be purchased for one

consideration for the whole by two or more persons jointly, or by any
person for himself and others, or wholly for others, is conveyed in parts
or parcels by separate instruments to the person by or for whom the
same was purchased for distinct parts of the consideration, the
conveyance for each separate part or parcel shall be chargeable with
ad valorem duty in respect of the distinct part of the consideration
therein specified.
(3) Where a person having contracted for the purchase of any

property but not having obtained a conveyance thereof, contracts to
sell the same to any other person and the property is in consequence
conveyed immediately to the sub-purchaser, the conveyance shall be
chargeable with ad valorem duty in respect of the consideration
moving from the sub-purchaser.
(4) Where a person, having contracted for the purchase of any

property but not having obtained a conveyance thereof, contracts to
sell the whole, or any part thereof, to any other person or persons and
the property is in consequence conveyed by the original seller to
different persons in parts or parcels, the conveyance of each part or
parcel sold to a sub-purchaser shall be chargeable with ad valorem duty
in respect only of the consideration moving from the sub-purchaser
thereof, without regard to the amount or value of the original
consideration; and the conveyance of the residue, if any, of such
property to the original purchaser shall be chargeable with ad valorem
duty in the manner specified by section 12A and Item 32(a) of the First
Schedule.
(5) Where a sub-purchaser takes an actual conveyance of the

interest of the person immediately selling to him, which is chargeable
with ad valorem duty in respect of the consideration moving from him

and is duly stamped accordingly, any conveyance to be afterwards
made to him of the same property by the original seller shall be
chargeable with a duty equal to that which would be chargeable on a
conveyance for the consideration obtained by such original seller, or
where such duty would exceed ten ringgit with a duty of ten ringgit.
Exchange of real property
20A. Where upon the exchange of any real property for any other
real property, or upon the partition or division of any real property, any
consideration is paid or given, or agreed to be paid or given, for
equality:
(a) the principal or only instrument whereby the exchange or

partition or division is affected is to be charged with the
same ad valorem duty as a conveyance on sale for the
consideration, and with that duty only; and
(b) where in any such case there are several instruments for
completing the title of either party, the principal
instrument is to be ascertained and the other instruments
are to be charged, with duty in the manner hereinbefore
provided in the case of several instruments of conveyance.
Vesting or transfer of an undivided interest in property
20B. (1) Every conveyance either on sale or by way of gift or

settlement which operates to vest or transfer an undivided interest in
real property, shall contain an affidavit of the transferee certifying that
the transaction effected by the instrument does not form part of a larger
transaction or series of transactions completed or to be completed
within a period of twelve months after the date of the first of the
instruments employed to complete the conveyance of the property.
(2) Where the transaction effected by the instrument forms part of

a larger transaction or series of transactions, ad valorem duty upon that
instrument and upon any other instrument following shall be calculated
on the aggregate of the consideration or market values of the separate
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parts or parcels being conveyed, whichever is the higher, at the rates

specified under Item 32(a) of the First Schedule.
Certain contracts to be chargeable as conveyances on sale
21. (1) Any contract or agreement made in Malaysia under seal or

under hand only, for the sale of any equitable estate or interest in any
property whatsoever, or for the sale of any estate or interest in any
property except lands, tenements, hereditaments, or heritages, or
property locally situate out of Malaysia, or goods, wares or
merchandise, or stock, or marketable securities, or any ship or vessel,
or part interest, share or property of or in any ship or vessel, shall be
charged with the same ad valorem duty, to be paid by the purchaser,
as if it were an actual conveyance on sale of the estate, interest or
property contracted or agreed to be sold.
(2) Where the purchaser has paid the said ad valorem duty and,
before having obtained conveyance or transfer of the property, enters
into a contract or agreement for the sale of the same, the contract or
agreement shall be charged, if the consideration for that sale is in
excess of the consideration for the original sale, with the ad valorem
duty payable in respect of such excess consideration, and in any other
case with the fixed duty of ten ringgit.
(3) Where duty has been duly paid in conformity with the
foregoing provisions, the conveyance or transfer made to the purchaser
or sub-purchaser, or any other person on his behalf or by his direction,
shall not be chargeable with any duty, and the Collector, upon
application, either shall denote the payment of the ad valorem duty
upon the conveyance or transfer or shall transfer the ad valorem duty
thereto upon production of the contract or agreement, or contracts or
agreements, duly stamped.
(4) (Deleted by Act A723).

(7) The ad valorem duty paid upon any such contract or agreement
shall be returned by the Collector in case the contract or agreement be
afterwards rescinded or annulled, or for any other reason be not
substantially performed or carried into effect, so as to operate as or be
followed by a conveyance or transfer.
Sale of annuity or right not before in existence
22. Where upon the sale of any annuity or other right not before in
existence such annuity or other right is not created by actual grant or
conveyance, but is only secured by bond, warrant of attorney,
covenant, contract or otherwise, the bond or other instrument, or some
one of such instruments, if there be more than one, shall be charged
with the same duty as an actual grant or conveyance, and shall for the
purposes of this Act be deemed an instrument of conveyance on sale.
What is to be deemed a conveyance, not being a sale or mortgage
23. Every instrument and every decree or order of any court,

whereby any property on any occasion, except a sale or mortgage, is
transferred to or vested in any person, shall be charged as a conveyance
or transfer of property.
Leases, how to be charged in respect of produce, etc.
24. (1) Where the consideration or any part of the consideration for
which a lease is granted or agreed to be granted consists of any produce
or other goods, the value of the produce or goods shall be deemed a
consideration in respect of which the lease or agreement is chargeable
with ad valorem duty.
(2) Where it is stipulated that the value of the produce or goods is

to amount at least to, or is not to exceed, a given sum, or where the
lessee is specially charged with, or has the option of paying after any
permanent rate of conversion, the value of the produce or goods shall,
for the purpose of assessing the ad valorem duty, be estimated at the
given sum, or according to such permanent rate.
Stamp 41
(3) A lease or agreement for a lease made either wholly or partially

for any such consideration, if it contains a statement of the value
thereof and is stamped in accordance with the statement, shall, so far
as regards the subject matter of the statement, be deemed duly stamped,
unless or until it is otherwise shown that the statement is incorrect, and
that the lease or agreement is in fact not duly stamped.
Directions as to duty upon leases, etc.
25. (1) A lease or agreement for a lease or with respect to any

letting shall not be charged with any duty in respect of any penal rent,
or increased rent in the nature of a penal rent, thereby reserved or
agreed to be reserved or made payable or by reason of being made in
consideration of the surrender or abandonment of any existing lease,
or agreement of or relating to the same subject matter.
(2) A lease made for any consideration in respect whereof it is

chargeable with ad valorem duty, and in further consideration either of
a covenant by the lessee to make, or of his having previously made,
any substantial improvement of or addition to the property demised to
him, or of any covenant relating to the matter of the lease, shall not be
charged with any duty in respect of such further consideration, except
where such further consideration consists of a covenant which if it
were contained in a separate deed would be chargeable with ad
valorem duty.
(3) An instrument whereby the rent reserved by any other

instrument chargeable with duty and duly stamped as a lease is
increased shall not be charged with duty otherwise than as a lease in
consideration of the additional rent thereby made payable.
Direction as to duty upon transfer of stock
26. (1) A security for the transfer or re-transfer of any stock shall
be charged with the same duty as a similar security for a sum of money
equal in amount to the value of the stock; and a transfer, assignment or
disposition or assignation of any such security and a reconveyance,
release, discharge, surrender, re-surrender, warrant to vacate or
renunciation of any such security shall be charged with the same duty
as an instrument of the same description relating to a sum of money

equal in amount to the value of the stock.
(2) A security for the payment of any rent charge, annuity or

periodical payments by way of repayment, or in satisfaction or
discharge of any loan, advance or payment intended to be so repaid,
satisfied or discharged, shall be charged with the same duty as a similar
security for the payment of the sum of money so lent, advanced or paid.
(3) A transfer of a duly stamped security, and a security by way of

further charge for money or stock, added to money or stock previously
secured by a duly stamped instrument, shall not be charged with any
duty by reason of its containing any further or additional security for
the money or stock transferred or previously secured, or the interest or
dividends thereof, or any new covenant, proviso, power, stipulation or
agreement in relation thereto, or any further assurance of the property
comprised in the transferred or previous security.
(4) An instrument chargeable with ad valorem duty as a mortgage

shall not be charged with any further duty by reason of the equity of
redemption in the mortgaged property being thereby conveyed or
limited in any other manner than to a purchaser, or in trust for, or
according to the direction of, a purchaser.
27. (Deleted by Act A723).
Security for future advances, how to be charged
28. (1) A security for the payment or repayment of money to be

lent, advanced or paid, or which may become due upon an account
current, either with or without money previously due, shall be charged,
where the total amount secured or to be ultimately recoverable is in
any way limited, with the same duty as a security for the amount so
limited.
(2) Where such total amount is unlimited, the security is to be

available for such an amount only as the ad valorem duty stamped
thereon extends to cover; but where any advance or loan is made in
excess of the amount covered by that duty the security shall for the
Stamp 43
purpose of stamp duty be deemed to be a new and separate instrument

bearing date on the day on which the advance or loan is made.
(3) No money to be advanced for the insurance of any property

comprised in the security against damage by fire, or for keeping up any
policy of life insurance comprised in the security, or for effecting in
lieu thereof any new policy, shall be reckoned as forming part of the
amount in respect whereof the security is chargeable with ad valorem
duty.
Directions as to duty upon a primary or principal security
29A. In determining whether an instrument is the only, principal or

primary security for any annuity, or for any sum or sums of money or
for the payment or repayment of money within the meaning of Item
22(1) or Item 27(a) in the First Schedule, no account shall be taken of
any other instrument which is a security for the same annuity, sum or
sums of money or for the same payment or repayment, as the case may
be, or for any part thereof, unless that other instrument is chargeable
with stamp duty under either of the said paragraphs and is duly
stamped.
Directions as to sea policy
30. (1) No contract for sea insurance, other than such insurance as
is referred to in section 363 of the Merchant Shipping Ordinance 1952
[Ord. No 70 of 1952] or any corresponding provision in any other
written law for the time being in force in Sabah or Sarawak shall be
valid unless the same is expressed in a policy of sea insurance.
(2) No policy of sea insurance made for time shall be made for any
time exceeding twelve months.
(3) No policy of sea insurance shall be valid unless it specifies the

particular risk or adventure or the time for which it is made, the names
of the subscribers or underwriters, and the amount or amounts insured.
(4) Where any sea insurance is made for or upon a voyage and also
for time, or to extend to or cover any time beyond thirty days after the
ship shall have arrived at her destination and been there moored at
anchor, the policy shall be charged with duty as a policy for or upon a
voyage and also with duty as a policy for time.
(5) Notwithstanding anything contained in this section a policy of

sea insurance made for time may contain a continuation clause, and
such a policy shall not be invalid on the ground only that by reason of
the continuation clause it may become available for a period exceeding
twelve months.
(6) There shall be charged on a policy of sea insurance containing

a continuation clause the stamp duty mentioned in the First Schedule
in addition to the stamp duty which is otherwise chargeable on the
policy.
(7) If the risk covered by the continuation clause attaches and a

new policy is not issued covering the risk, the continuation clause shall
be deemed to be a new and separate contract of sea insurance expressed
in the policy in which it is contained, but not covered by the stamp
thereon, and the policy shall be stamped in respect of that contract
accordingly, but may be so stamped without penalty at any time not
exceeding thirty days after the risk has so attached.
(8) Where any person, in consideration of any sum of money paid

or to be paid for additional freight or otherwise, agrees to take upon
himself any risk attending goods, merchandise or property of any
description whatever while on board of any ship or vessel, or engages
to indemnify the owner of any such goods, merchandise or property
from any risk, loss or damage such agreement or engagement shall be
deemed to be a contract for sea insurance.
Legal alteration in sea policies may be made
31. Nothing in this Act shall prohibit the making of any alteration
which may lawfully be made in the terms and conditions of any policy
of sea insurance after the policy has been underwritten:
Stamp 45
Provided that—
(a) the alteration is made before notice of the determination of

the risk originally insured;
(b) it does not prolong the time covered by the insurance

thereby made beyond the period of six months in the case
of a policy made for a less period than six months, or
beyond the period of twelve months in the case of a policy
made for a greater period than six months;
(c) the articles insured remain the property of the same person
or persons; and
(d) no additional or further sum is insured by reason or means

of the alteration.
Directions as to certain contract notes
32. (1) Where a contract note is a continuation or carrying over

note made for the purpose of continuing or carrying over any
transaction for the sale or purchase of stock or marketable securities,
the contract note, although it is made in respect of both a sale and
purchase, shall be charged with duty under this section as if it related
to one of those transactions only, and, if different rates of duty are
chargeable in respect of those transactions, to that one of those
transactions which would render the contract note chargeable at the
highest rate.
(2) Where a contract note advises the sale or purchase of more than
one description of stock or marketable security, the note shall be
deemed to be as many contract notes as they are descriptions of stocks
or securities sold or purchased.
Obligation to execute contract note
32A. (1) Any person who effects any sale or purchase of any stock
or marketable security as a dealer or agent, and any person who, by
way of business—
(a) deals or holds himself out as dealing as a principal in any

stock or marketable security; and
(b) buys or sells any stock or marketable security, shall

forthwith make and execute a contract note, and transmit
the note to his principal, or to the vendor or purchaser of
the stock or marketable security, as the case may be.
(2) No dealer, agent or other person shall have any legal claim to
any charge for brokerage, commission or agency with reference to the
sale or purchase of any stock or marketable security if he fails to
comply with this section.
PART IV
LIABILITY FOR PAYMENT OF DUTY
Duty by whom payable
33. The expense of providing the proper stamp duty be borne—
(a) in the case of the instruments described in the first column

of the Third Schedule, by the person mentioned in the
second column of such Schedule;
(b) in the case of every other instrument, by the person

drawing, making or executing such instrument.
34. (Deleted by Act 476).
Exemptions
35. The instruments appearing under the heading of “General

Exemptions” in the First Schedule shall not be chargeable with duty.
Stamp 47
PART V
ADJUDICATION AS TO STAMPS
Mode of adjudication as to proper stamp
36. (1) All instruments chargeable with duty and executed by any
person in Malaysia (except an instrument which by virtue of section
47 cannot be stamped after execution) shall be brought to the Collector
and the Collector shall assess the duty, if any, with which in his
judgment the instrument is chargeable.
(2) For this purpose the Collector may require an abstract of the
instrument to be furnished, and also such affidavit or other evidence as
he deems necessary to prove that all the facts and circumstances
affecting the liability of the instrument to duty, or the amount of the
duty chargeable thereon, are fully and truly set forth therein, and may
refuse to proceed upon any such application until such abstract and
evidence have been furnished to him accordingly.
(3) No evidence furnished in pursuance of this section shall be

used against any person in any civil proceeding, except in an inquiry
as to the duty with which the instrument to which it relates is
chargeable.
(4) Every person by whom any such evidence is furnished shall, on

payment of the full duty with which the instrument to which it relates
is chargeable, be relieved from any penalty which he has incurred
under this Act by reason of the omission to state truly in such
instrument any of the facts or circumstances aforesaid.
Initial duty
36A. (1) Notwithstanding section 36 but subject to section 36B, the

Collector may, on an application made by any person in respect of an
instrument for the transfer of an immovable property, assess the initial
duty for which the instrument is chargeable.
(2) The application made under subsection (1) shall contain

particulars or evidence deemed necessary to prove the facts affecting
the liability of the instrument to duty and any valuation report,

prepared by a person privately practising as a valuer, on the market
value of the immovable property shall for the purposes of this section
be sufficient evidence for the Collector to make an assessment on the
initial duty for which the instrument is chargeable.
(3) For the purposes of this section, a person shall—
(a) pay a fee of ten ringgit; and
(b) furnish in a form of a bank guarantee payable to the

Collector, as security for payment of further duty
chargeable on the instrument, if any, valid for a period of
not less than six months, of which the value of the bank
guarantee shall be determined in accordance with the
following formula:
A–B
where A is the duty chargeable on such

instrument based on the value of
immoveable property where the value is
ascertained in accordance with the
following formula:
Y x 100
65
where Y is the market value of

such property as
submitted by that
person;
B is the amount of duty chargeable on such

instrument based on the market value
submitted by that person.
Stamp 49
Advance duty
36AA. (1) Notwithstanding sections 36 and 36A, the Collector may,

on an application made by any person assess the advance duty for an
instrument for the transfer of an immovable property where the
consideration consists wholly of money.
(2) For the purposes of subsection (1), the Collector shall, prior to
the market value of the immovable property being ascertained by a
valuer employed by the Government for the purpose of subsection
36B(1A), ascertain the market value in advance for which the
instrument referred to in that subsection is chargeable in accordance
with the following formula:
A x 100
83.333
where A is the money value of the consideration

in respect of an instrument for the
transfer of an immovable property as
submitted by the person.
(3) The Collector shall assess the duty chargeable on the

instrument referred to in subsection (1) based on the market value as
ascertained in advance under subsection (2).
Additional duty
36B. (1) Where section 36A applies and it appears to the Collector
that based on the market value of the property as ascertained by a
valuer employed by the Government, the proper amount of duty
chargeable on the instrument is higher than the initial duty paid, he
may within three months after the payment of the initial duty make an
additional assessment on a person liable to pay such duty in the
additional amount of duty chargeable.
(1A) Where section 36AA applies and it appears to the Collector

that based on the market value of the immovable property as
ascertained by the valuer employed by the Government, the proper
amount of duty chargeable on the instrument is higher than the advance
duty paid, he may make an additional assessment on the person liable

to pay such duty in the additional amount of duty chargeable.
(2) As soon as may be after the additional assessment has been

made under subsection (1) or (1A) the Collector shall cause a notice of
additional assessment to be served on the person liable to pay duty in
respect of such assessment.
(3) A notice of additional assessment shall be in appropriate form

and shall indicate in addition to any other material included therein—
(a) the proper amount of duty chargeable, the initial duty or

advance duty paid and amount of additional duty
chargeable on the instrument;
(b) the place at which payment is to be made;
(c) the increased sum imposed under subsection (6); and
(d) any right of appeal which may exist under this Act.
(4) The duty chargeable under an assessment shall be due and

payable on the service of the notice of additional assessment to the
person liable to pay the duty.
(5) Where initial duty due and payable under subsection (4) has
not been paid within thirty days after the service of the notice of
additional assessment—
(a) the Collector shall call upon the bank guarantee furnished
to satisfy that amount of duty payable; and
(b) if the bank guarantee amount is insufficient to satisfy

such amount, the remaining duty unpaid, shall without
any further notice being served, be increased by an
amount of ten per cent of such duty so unpaid.
(6) Where the proper amount of duty chargeable under

subsection (1) exceeds the total sum of initial duty paid and bank
guarantee furnished, by an amount of more than thirty per cent of that
proper amount of duty chargeable, the difference between that amount
Stamp 51
and thirty per cent of the proper duty chargeable shall be increased by
a sum equal to ten per cent of the amount of that difference.
(6A) Where advance duty due and payable under subsection (4)
has not been paid within thirty days after the service of the notice of
additional assessment, so much of the duty remaining unpaid upon the
expiration of that date shall without any further notice being served, be
increased by a sum equal to ten per cent of the duty so unpaid.
(7) The amount of duty unpaid and the increased amount under
paragraph (5)(b), and increased sum under subsection (6) or (6A) shall
be recoverable as a debt due to the Government.
Where duty chargeable is equal or lower than advance duty paid

and refund of advance duty paid in excess
36C. (1) Notwithstanding section 36B(1A), where section 36AA

applies and it appears to the Collector that based on the market value
of the immovable property as ascertained by the valuer employed by
the Government, the proper amount of duty chargeable on the
instrument is equal to or lower than the advance duty paid, he may
notify the person in writing of the valuation on the proper amount of
duty and such notification shall be deemed to be an assessment for the
purposes of this Act.
(2) Where it is proved to the satisfaction of the Collector that the

person has paid the advance duty chargeable under section 36 AA in
excess of the proper amount of duty referred to in subsection (1), the
excess shall be refunded by the Collector.
Finality of assessment
36D. (1) For the purposes of this Act, an assessment shall be final
and conclusive where—
(a) no valid notice of appeal against the assessment has been

given under section 39 within the time specified by that
section;
(b) the assessment has been determined on appeal and there is

no right of further appeal; or
(c) a valid notice of appeal against the assessment has been

given but the appellant dies before the hearing of the
appeal by the High Court is commenced or completed and
no personal representative of the estate of the deceased
appellant applies to the High Court within two years after
his death to proceed with or complete the hearing.
(2) Nothing in subsection (1) shall prejudice the application of

section 36B or 50A.
Certificate by Collector
37. (1) When an instrument brought to the Collector under section

36, 36A, 36AA or 36B and—
(a) the Collector determined that it is already fully stamped;

or
(b) the duty assessed by the Collector under such sections, as

the case may be, or such a sum as, with the duty already
paid in respect of the instrument, is equal to the duty so
assessed, has been paid,
(c) (Deleted by Act A1380)
the Collector shall certify by indorsement on such instrument that the

full duty, initial duty, advance duty or additional duty, as the case may
be stating the amount, with which it is chargeable, has been paid.
(2) When such instrument is not chargeable with duty the Collector
shall certify in manner aforesaid that such instrument is not so
chargeable.
(2A) Where an instrument is chargeable with duty which exceeds

ten ringgit and the duty is exempted, the person bringing the instrument
to the Collector shall pay a fee of ten ringgit for the Collector to certify
by indorsement on such instrument that the duty is exempted.
Stamp 53
(3) Any instrument upon which an indorsement has been made

under this section shall be deemed to be duly stamped or not chargeable
with duty, as the case may be; and, if chargeable with duty, shall be
receivable in evidence or otherwise and may be acted upon and
registered as if it had been originally duly stamped.
(4) Nothing in this section shall be deemed to require the Collector

to certify that the full duty with which an instrument is chargeable has
been paid—
(a) unless any penalty chargeable in respect of the instrument

under this Act has been paid; or
(b) if the instrument cannot by law be stamped.
(5) This section shall only apply to instrument where indorsement

is required to be made on that instrument pursuant to any written law.
Exception to sections 36, 36A, 36AA, 36B, 36C and 37
38. Nothing in sections 36, 36A, 36AA, 36B, 36C and 37 shall extend
to any instrument chargeable with ad valorem duty and made as a
security for money or stock without limit.
Notice of objection
38A. (1) Any person who is dissatisfied with an assessment or

additional assessment of the Collector under this Part may, by written
notice (referred to in this Act as “notice of objection”), object to the
assessment or additional assessment and apply to the Collector to
review the assessment or additional assessment.
(2) Every notice of objection shall state the grounds of objection to

the Collector’s assessment or additional assessment and shall be made
within thirty days after the date of the assessment or additional
assessment or such further period as the Collector may allow in any
particular case.
(3) The person giving a notice of objection shall furnish further

particulars and information in relation to the grounds of the objection
if required to do so by the Collector in writing.
(4) The Collector shall, on receipt of a notice of objection and such

further particulars and information as he may require under subsection
(3), review the assessment or additional assessment.
(5) After the objection has been determined, the Collector shall
notify the person in writing of his decision.
(6) Where, on review, it appears to the Collector that the amount

of duty originally or additionally assessed is excessive, he may cancel
the original or additional assessment and make such other assessment
in substitution of the original or additional assessment and shall serve
on the person a notice of substituted assessment.
(7) The making of an objection shall not relieve the person of

liability to pay the duty as required by this Act.
(8) Any reference in this Act to an assessment or additional

assessment shall be construed as including a reference to a substituted
assessment under subsection (6).
Appeal to High Court
39. (1) Any person who is dissatisfied with the decision of the
Collector under subsection 38A(5) may, within twenty-one days after
the person is notified in writing of that decision and upon payment of
duty in conformity therewith, appeal against the decision to the High
Court by filing a notice of appeal with the High Court and may for that
purpose require the Collector to state and sign a case, setting forth the
question upon which his opinion was required, and the decision made
by him.
(1A) Where a notice of appeal has been filed under subsection (1),
the notice shall be served on the Collector within the time stipulated
for the filing of the notice of appeal.
Stamp 55
(2) The Collector shall thereupon state and sign a case and
deliver the same to the person by whom it is required, and the case
may, within seven days thereafter or within such further time as the
Court may allow, be set down by him for hearing.
(3) Upon the hearing of the case the Court shall determine the
question submitted, and, if the instrument in question is in the opinion
of the Court chargeable with any duty, shall assess the duty with which
it is chargeable.
(4) Subject to subsection (4A), if it is decided by the Court that

the assessment or additional assessment of the Collector is erroneous,
any excess of duty which may have been paid in conformity with the
erroneous assessment, together with any fine or penalty which may
have been paid in consequence thereof, shall be ordered by the Court
to be repaid to the appellant, with or without costs as the Court may
determine.
(4A) Nothing in this section shall operate to compel the Collector

to refund the excess amount of duty which may have been paid in
conformity with the erroneous assessment, together with any fine or
penalty which may have been paid unless the assessment has become
final and conclusive in accordance with section 36D.
(5) If the assessment or additional assessment of the Collector is

confirmed the Court may make an order for payment to the Collector
of the costs incurred by him in relation to the appeal.
Time of stamping after adjudication
40. Where an instrument is brought to the Collector pursuant to

subsection 36(1), the instrument shall be stamped in accordance with
the assessment of the Collector within fourteen days after notice of the
assessment, and in the case of an application to the High Court under
section 39 within fourteen days after the issue of the order of the Court,
or within such further period, in either case, as the Collector when
giving notice of assessment or the Court when making the order, may
specify:
Provided that the said period of fourteen days or any further period
specified by the Collector or the Court may, on application made
before the period or further period expires, be extended or further
extended by the Collector or the Court, as the case may be.
PART VI
OF THE TIME OF STAMPING INSTRUMENTS
Instruments executed in Malaysia
41. Save where express provision to the contrary is contained in this

Act, all instruments chargeable with duty and executed by any person
in Malaysia shall be stamped before or at the time of execution.
Instruments executed out of Malaysia
42. (1) Every instrument chargeable with duty executed only out
of Malaysia, and not being a cheque or promissory note, may be
stamped within thirty days after it has first been received in Malaysia.
(2) When any such instrument is brought to him for stamping the
Collector may require that the date of receipt thereof be verified by
production of the envelope in which the same was received or of any
accompanying letter, or, unless the date of the instrument shows that it
must have been received within thirty days, by statutory declaration.
Bills, cheques or notes drawn out of Malaysia
43. (1) Every person into whose hands any cheque or promissory
note drawn or made out of Malaysia comes in Malaysia before it is
stamped shall, before he presents the same for acceptance or payment,
or endorses, transfers or otherwise negotiates the same in Malaysia,
affix thereto the proper adhesive stamp and cancel the same.
(2) If, at the time when any such cheque or note comes into the
hands of any bona fide holder in Malaysia, the proper adhesive stamp
Stamp 57
is affixed thereto and duly cancelled, such stamp shall, so far as relates
to such holder, be deemed to have been duly affixed and cancelled.
(3) If, at the time when any such cheque or note comes into the
hands of any bona fide holder thereof in Malaysia, there is affixed
thereto the proper adhesive stamp not duly cancelled, it shall be
competent for such holder to cancel such stamp as if he were the person
by whom it was affixed, and upon his so doing the cheque or note shall
be deemed duly stamped, and as valid and available as if the stamp had
been cancelled by the person by whom it was affixed.
(4) Nothing contained in subsection (2) or (3) shall relieve any

person from any penalty incurred by him for omitting to affix or cancel
a stamp.
(5) A cheque or promissory note drawn or made out of Malaysia

which has not been duly stamped under subsection (1) may be stamped
after it has been presented for acceptance or payment, or endorsed,
transferred or otherwise negotiated in Malaysia—
(a) if it is stamped within thirty days after it has been first

received in Malaysia, on payment in addition to the stamp
duty of a penalty of ten ringgit or of the amount of the
deficient duty, whichever penalty is the greater; or
(b) if it is stamped after the expiration of thirty days after it has

been received in Malaysia, on payment in addition to the
stamp duty of a penalty of—
(i) twenty-five ringgit or five per centum of the amount

of the deficient duty, whichever sum be the greater,
if the instrument is stamped within three months
after the time for stamping;
(ii) fifty ringgit or ten per centum of the amount of the

deficient duty, whichever sum be the greater, if the
instrument is stamped later than three months but
not later than six months after the time for stamping;
or
(iii) one hundred ringgit or twenty per centum of the

amount of the deficient duty, whichever sum be the
greater, in any other case.
(6) The Collector may reduce or remit any penalty prescribed by

this section.
Bills of exchange and cheques accepted or payable outside

Malaysia
44. Notwithstanding anything in this Act contained, a cheque which

is presented for acceptance, or accepted, or payable outside Malaysia
shall not be invalid by reason only that it is not stamped in accordance
with this Act, and any such cheque which is unstamped or
insufficiently stamped may be received in evidence on payment of the
proper duty and the penalty, if any, payable under section 47 A, and
such cheque shall, for the purposes of this section, be deemed to be an
instrument which may be stamped after the first execution thereof
under such section.
Power of drawee to stamp bills or cheques
45. (1) Where any cheque, is presented for payment unstamped,

the person to whom it is so presented may affix thereto the proper
adhesive stamp, and upon cancelling the same in manner hereinbefore
provided, may pay the sum payable upon such cheque and may charge
the duty against the person who ought to have paid the same or deduct
it from the sum payable as aforesaid, and such cheque shall, so far as
respects the duty, be deemed good and valid.
(2) Nothing herein shall relieve any person from any penalty or
proceeding to which he may be liable in relation to such cheque.
Transfers of shares
46. Transfers of shares which are numbered shall not be stamped

until the numbers of the shares are entered.
Stamp 59
Stamping of instrument after execution
47. Save where other express provision is made by this or any other
Act, any unstamped or insufficiently stamped instrument not being a
cheque or promissory note drawn or made within Malaysia may be
stamped after execution on payment of the unpaid duty if the
instrument is presented for stamping within thirty days of its execution
if executed within Malaysia, or within thirty days after it has been first
received in Malaysia if it has been executed out of Malaysia.
Penalty for late stamping
47A. (1) An instrument which is not stamped within the period

specified in or under section 40 or 47 may be stamped on payment of
the unpaid duty and a penalty of—
(a) twenty-five ringgit or five per centum of the amount of the

instrument is stamped within 3 months after the time for
stamping;
(b) fifty ringgit or ten per centum of the amount of the

instrument is stamped later than 3 months but not later
than 6 months after the time for stamping; or
(c) one hundred ringgit or twenty per centum of the amount

of the deficient duty, whichever sum be the greater, in any
other case.
(2) The Collector may, if he thinks fit, reduce or remit such penalty
or the further amount payable under subsection 9(3).
Denoting penalty
48. The payment of any penalty prescribed under section 43 or 47A

shall be denoted on the instrument concerned—
(a) by a stamp duly cancelled;

(b) by means of an impressed stamp;
(c) by affixing an official receipt to the instrument;
(d) by attaching a stamp certificate to the instrument; or
(e) by means of digital stamping,
and shall be certified by the Collector.
Persons liable to penalty
49. The person liable to any penalty under section 43 or section 47A
shall be the person by whom the duty is payable in accordance with
Part IV.
Penalty, how recoverable
50. (1) All duties, penalties and other sums required to be paid under
this Act shall be debts due to the Government and shall be recoverable
by any of the ways and means in force for the time being for the
recovery of debts due to the Government.
(2) The Collector and any employee of the Inland Revenue Board of
Malaysia authorized by the Collector shall be deemed to be public
officers authorized by the Minister under subsection 25(1) of the
Government Proceedings Act 1956 [Act 359] in respect of all
proceedings under this section.
(3) In a suit under this section, the production of a certificate signed

by the Collector giving the name and address of the defendant and the
amount of the duty or penalty due from him shall be sufficient evidence
of the amount so due and authority for the court to give judgment for
that amount.
Stamp 61
Error in assessment, etc.
50A. No assessment shall be affected by—
(a) any erroneous or under assessment of the duty or penalty

by the Collector; or
(b) the failure to assess that duty or penalty by the Collector,
and the correct amount of duty or penalty due on the instrument shall
be debts due to the Government and shall be recoverable by any of the
ways and means in force for the time being for the recovery of debts
due to the Government.
PART VII
INSTRUMENTS NOT DULY STAMPED
Examination and impounding of instruments
51. (1) Every person having by law or consent of parties authority

to receive evidence, and every person in charge of a public office,
except an officer of police, before whom any instrument, chargeable,
in his opinion, with duty, is produced or comes in the performance of
his functions, shall, if it appears to him that such instrument is not duly
stamped, impound the same.
(2) For that purpose every such person shall examine every
instrument so chargeable and so produced or coming before him in
order to ascertain whether it is stamped with a stamp of the value and
description required by the law in force in Malaysia when such
instrument was executed or first executed:
Provided that—
(a) nothing herein contained shall be deemed to require any

Magistrate or Judge to examine or impound, if he does
not think fit to do so, any instrument coming before him
in the course of any criminal proceeding;
(b) in the case of a Judge of the High Court, the duty of

examining and impounding any instrument under this
section shall be performed by the Registrar.
Instruments not duly stamped inadmissible in evidence
52. (1) No instrument chargeable with duty shall be admitted in

evidence for any purpose by any person having by law or consent of
parties authority to receive evidence, or shall be acted upon, registered,
or authenticated by any such person or by any public officer, unless
such instrument is duly stamped:
Provided that—
(a) any such instrument shall, subject to all just exceptions,

be admitted in evidence on payment of the duty and the
penalty, if any, chargeable in respect thereof under
section 43 or 47A;
(b) nothing herein contained shall prevent the admission of

any instrument in evidence in any criminal court;
(c) nothing herein contained shall prevent the admission of

any instrument in evidence in any court when such
instrument has been executed by or on behalf of the
Government of Malaysia or of any State or of the
Government of any other country or where it bears the
certificate of the Collector as provided by this Act.
(2) No instrument executed outside Malaysia and relating to any

property situate, or to any matter or thing done or to be done, in any
part of Malaysia shall, except in the circumstances mentioned in
subsection (1), be given in evidence or referred to or used in any
manner in any proceedings in any Court or before any tribunal, board,
commission, committee or similar body by whatever name called,
established under any written law, unless it is duly stamped in
accordance with the law in force in that part of Malaysia at the time
when it was first executed relating to stamp duty which would have
been chargeable on any such instrument if it had been executed in that
part of Malaysia.
Stamp 63
(3) In subsection 2, “part of Malaysia” includes any territory which

is part of Malaysia at the time of the proceedings, notwithstanding that
it was not part of Malaysia when the instrument was executed.
Instruments impounded how dealt with
53. (1) When the person impounding an instrument under section

51 has by law or consent of parties authority to receive evidence and
admits such instrument in evidence on payment of duty and penalty, if
any, he shall, as soon as may be convenient, send such instrument,
together with the amount of the duty and penalty, if any, paid in respect
thereof, to the Collector; and the Collector shall stamp such instrument
in accordance with section 43 or 47A and shall return it to the person
who sent it to him.
(2) In every other case in which an instrument is impounded under

section 51, the person impounding the same shall send it forthwith to
the Collector; and the Collector, on payment of the duty and penalty,
if any, chargeable in respect thereof under section 43 or 47A, shall
stamp such instrument and shall return it to the person who sent it to
him, but if such duty and penalty, if any, be not paid, he shall retain
such instrument.
(3) Any penalty levied under this section may be reduced or

remitted in the manner provided for by subsection 47A(2).
Agreements evidenced by letters how stamped
55. (1) Where a contract or agreement of any kind is effected by

correspondence consisting of two or more letters and any one of the
letters bears the proper stamp the contract or agreement shall be
deemed to be duly stamped.
(2) Where an agreement is evidenced by one or more letters

between parties, which letters were not stamped before being used, it
shall be lawful for the Collector, on being satisfied that the omission
to have the letter or letters stamped did not arise from an intention to
evade the payment of stamp duty, to affix the proper stamp on the letter
or any one of the letters evidencing the contract on payment of the
duty.
(3) (Deleted by Act 831)
(4) Where a letter is so stamped all the letters forming together the
agreement may be used in evidence to prove the agreement stated or
partly stated in the letter so stamped.
Recovery of duty and penalty
56. When any duty or penalty has been paid in respect of any
instrument by any person, any by agreement or under this Act or of any
other written law in force at the time when such instrument was
executed or first executed some other person was liable to pay the duty
on such instrument, the first mentioned person shall be entitled to
recover from such other person the amount of the duty or penalty so
paid, and for the purpose of such recovery any certificate granted in
respect of such instrument by the Collector shall be conclusive
evidence as to the amount of the duty and penalty paid and the person
by whom they were paid.
PART VIII
ALLOWANCE FOR SPOILED STAMPS
Allowance for spoiled stamps
57. Subject to any rules which may be made under this Act and to
the production of such evidence by statutory declaration or otherwise
as the Collector may require, allowance shall be made by the Collector
for stamps spoiled in the following cases:
(a) the stamp on any paper inadvertently and undesignedly

spoiled, obliterated or by any means rendered unfit for the
purpose intended, before the paper bears the signature of
Stamp 65
any person or any instrument written thereon is executed

by any party;
(b) any adhesive stamp which has been inadvertently and

undesignedly spoiled or rendered unfit for use and has not
in the opinion of the Collector been affixed to any paper;
(c) (Deleted by Act 661);
(d) the stamp on any promissory note signed by or on behalf

of the maker which has not been made use of in any
manner whatever or delivered out of his hands;
(e) the stamp on any promissory note which from any

omission or error has been spoiled or rendered useless,
although the same, being a promissory note, may have
been delivered to the payee, provided that another
completed and duly stamped promissory note, is produced
identical in every particular except in correction of the
error or omission, with the spoiled note;
(f) the stamp used for any of the following instruments:
(i) an instrument executed by any party thereto, but

afterwards found to be absolutely void from the
beginning;
(ii) an instrument executed by any party thereto, but

afterwards found unfit, by reason of any error or
mistake therein, for the purpose originally intended;
(iii) an instrument executed by any party thereto, which

has not been made use of for any purpose whatever,
and which by reason of the inability or refusal of
some necessary party to sign the same or to
complete the transaction according to the
instrument is incomplete and insufficient for the
purpose for which it was intended;
(iv) an instrument executed by any party thereto, which

by reason of the inability or refusal of any person to
act under the same, or for want of registration

within the time required by law, fails of the intended
purpose or becomes void;
(v) an instrument executed by any party thereto, which

is inadvertently and undesignedly spoiled, and in
lieu whereof another instrument made between the
same parties and for the same purpose is executed
and duly stamped, or which becomes useless in
consequence of the transaction intended to be
thereby effected being effected by some other
instrument duly stamped;
(vi) in the case of an instrument executed by any party

implementing a sale under a duly stamped
agreement for sale and purchase but afterwards
became cancelled, annulled, rescinded or is
otherwise not performed:
Provided as follows:
(a) that the application for relief is made within twenty-four

months after the stamp has been spoiled or become
useless or in the case of an executed instrument after the
date of the instrument, or, if it is not dated, within
twenty-four months after the execution thereof by the
person whom it was first or alone executed or within
such further time as the Collector may prescribe in the
case of any instrument sent abroad for execution or
when from unavoidable circumstances any instrument
for which another has been substituted cannot be
produced within the said period;
(aa) that the application for relief is made within two months
from the date the instrument of transfer is rejected by the
Registrar of Titles; or
(b) that in the case of an executed instrument no legal

proceeding has been commenced in which the instrument
could or would have been given or offered in evidence,
and that the instrument is given up to be cancelled.
Stamp 67
Allowance for misused stamps
58. When any person has inadvertently used for an instrument liable
to duty a stamp of greater value than was necessary, or has
inadvertently used a stamp for an instrument not liable to any duty, the
Collector may, on application made within twenty-four months after
the date of the instrument, or, if it is not dated, within twenty-four
months after the execution thereof by the person by whom it was first
or alone executed, and upon the instrument, if liable to duty, being
stamped with the proper duty cancel and allow as spoiled the stamp so
misused.
Allowance, how to be made
59. In any case in which allowance is made for spoiled, unused or

misused stamps, the Collector shall give in lieu thereof the same value
in money.
Stamp to include official receipt
59A. For the purposes of paragraph 57(f), sections 58 and 59,

“stamp” includes an official receipt or a stamp certificate.
PART IX
OFFENCES AND PENALTIES
Not cancelling adhesive stamps
60. Any person who, being required by law to cancel an adhesive

stamp, neglects or refuses duly and effectually to do so in the manner
prescribed by subsection 7(4) shall be liable to a fine not exceeding
five hundred ringgit.
Failure to frank documents
60A. Any authorized person who, being required by law to frank any
instruments, fails to do so within thirty days from the date the
instrument is executed shall be liable to a fine of not less than two
hundred ringgit and not more than two thousand ringgit.
Penalty for not setting forth all the facts and circumstances
61. Any person who with intent to evade the payment of duty—
(a) executes any instrument in which all the facts and

circumstances are not truly and fully set forth as required
by section 5; or
(b) being employed or concerned in or about the preparation

of any instrument neglects or omits fully and truly to set
forth therein all the said facts and circumstances;
shall be liable to a fine not exceeding two thousand five hundred

ringgit.
Penalty for executing and signing documents not duly stamped
63. (1) Any person who—
(a) with intent to evade the payment of duty, draws, makes,

executes or signs, otherwise than as a witness, any
instrument whatsoever chargeable with duty without the
same being duly stamped;
(b) having drawn, made, executed or signed, otherwise than

as a witness, any instrument whatsoever chargeable with
duty without the same being duly stamped, fails, without
lawful excuse, to procure the due stamping thereof within
Stamp 69
the time within which such instrument may be stamped

without penalty under this Act; or
(c) issues, endorses, transfers or presents for acceptance or

payment or accepts, pays or receives payment of or in any
manner negotiates any cheque or promissory note without
the same being duly stamped;
shall be liable to a fine not exceeding one thousand five hundred

ringgit.
(2) When any penalty has been paid in respect of any instrument
under section 43, 47A, 52 or 53, the amount of such penalty shall be
allowed in reduction of the fine, if any, subsequently imposed under
this section in respect of the same instrument upon the person who paid
such penalty.
(3) Subsection (1) shall not apply in respect of any instrument

which has been indorsed as “stamped in due time” under section 40.
(4) Paragraph (1)(b) shall not apply to the person mentioned in the
second column hereunder in respect of the execution or signature of
such of the instruments appearing in the First Schedule as are specified
in the corresponding line of the first column—
Title of instrument as Persons not liable to penalty

described in Schedule A
Conveyance, assignment, transfer or Vendor, assignor or transferor

absolute bill of sale
Lease or agreement for lease The lessor
Charge, agreement for a charge, The chargee or obligee in the case of a

bond, debenture, covenant and bill of transfer or reconveyance the transferor,
sale by way of security assignor or disposer or the person giving
up the security
(5) For the purposes of this section a cheque issued in pursuance

of section 9 shall be deemed to be duly stamped.
Penalty for failure to execute and transmit contract note
64. Any person who, being required under section 32A to make and
execute a contract note and transmit the note as so required, refuses or
neglects to make and execute the contract note or to so transmit the note
shall be liable to a fine not exceeding one thousand five hundred ringgit.
Penalty for post-dating bills
65. Any person who with intent to evade the payment of duty—
(a) draws, makes or issues any promissory note bearing a date

subsequent to that on which such note is actually drawn or
made; or
(b) knowing that such note has been so postdated, endorses,

transfers, presents for acceptance or payment or accepts,
pays or receives payment of such note or in any manner
negotiates the same,
shall be liable to a fine not exceeding two thousand five hundred ringgit.
Penalty for not making out policy other than on sea insurance or
making one not duly stamped
67. Any person who—
(a) receives, or takes credit for any premium or consideration

for any insurance other than a sea insurance, and does not
within one month after receiving or taking credit for the
premium or consideration make out and execute a duly
stamped policy of insurance; or
(b) makes, executes, or delivers out, or pays or allows in

account, or agrees to pay or allow in account, any money
upon or in respect of any policy other than a policy of sea
Stamp 71
insurance which is not duly stamped, shall be liable to a

fine not exceeding one thousand ringgit.
Provided that on application and for good cause shown by any person
the Minister of Finance may extend the period mentioned in paragraph (a)
of this section to a period not exceeding three months in favour of such
person.
Penalty for assuring on sea insurance unless under policy duly

stamped
68. (1) Any person who—
(a) becomes an assurer upon any sea insurance or enters into

any contract for sea insurance, or directly or indirectly
receives or contracts or takes credit in account for any
premium or consideration for any sea insurance, or
knowingly takes upon himself any risk, or renders
himself liable to pay, or pays any sum of money upon any
loss, peril or contingency relative to any sea insurance,
unless the insurance is expressed in a policy of sea
insurance duly stamped;
(b) makes or effects or knowingly procures to be made or

effected any sea insurance, or directly or indirectly gives
or pays, or renders himself liable to pay, any premium or
consideration for any sea insurance, or enters into any
contract for sea insurance unless the insurance is
expressed in a policy of sea insurance duly stamped; or
(c) is concerned in any fraudulent contrivance or device, or

is guilty of any wilful act, neglect or omission with intent
to evade the duties payable on policies of sea insurance
or whereby the duties may be evaded,
shall for every such offence be liable to a fine not exceeding one
thousand ringgit.
Broker or agent
(2) Every broker, agent or other person negotiating or transacting

any sea insurance contrary to the true intent and meaning of this Act,
or executing any policy of sea insurance upon paper not duly stamped,
shall for every such offence be liable to a fine not exceeding one
thousand ringgit and shall not have any legal claim to any charge for
brokerage, commission or agency or for any money expended or paid
by him with reference to the insurance, and any money paid to him in
respect of any such charge shall be deemed to be paid without
consideration, and shall remain the property of his employer.
Penalty for making or issuing pretended copies
(3) If any person makes or issues, or causes to be made or issued,

any document purporting to be a copy of a policy of sea insurance and
there is not at the time of the making or issue in existence a policy duly
stamped whereof the said document is a copy, he shall for such offence,
in addition to any other fine or penalty to which he is liable, be liable
to a fine not exceeding one thousand ringgit.
Penalty for issuing share warrant, etc., not duly stamped
69. (1) If a share warrant or stock certificate to bearer is issued

without being duly stamped, the company issuing the same, and also
every person who, at the time when it is issued, is the managing
director or secretary or other principal officer of the company, shall be
liable to a fine not exceeding one thousand five hundred ringgit.
(2) If any person whose office it is to enrol, register, or enter in or

upon any rolls, books or records any instrument chargeable with duty,
enrols, registers or enters any such instrument not being duly stamped,
he shall be liable to a fine not exceeding one thousand five hundred
ringgit.

Stamp 73
Penalty for unauthorized dealing in stamps
71. Any person who, not being duly appointed in accordance with
rules made under section 82 to sell and distribute stamps, deals in any
way in stamps shall, for every such offence, be liable to a fine not
exceeding one thousand ringgit.
Penalty for hawking stamps
72. (1) Any person, who hawks or carries about for sale or
exchange any stamps shall, in addition to any other fine or penalty to
which he may be liable, be liable to a fine not exceeding one thousand
ringgit.
(2) All stamps which are found in the possession of the offender
shall be forfeited, and shall be delivered to the Collector to be disposed
of as he thinks fit.
Penalty relating to stamp certificates
72A. Any person who—
(a) sells or offers for sale a stamp certificate;
(b) fraudulently attaches a stamp certificate to an instrument

other than the instrument for which the stamp certificate
was issued;
(c) fraudulently detaches a stamp certificate or fraudulently

causes a stamp certificate to be detached from the
instrument;
(d) counterfeits, or knowingly performs any part of the

process of counterfeiting, any stamp certificate issued by
the Collector;
(e) sells or offers for sale any certificate which he knows or

ought reasonably to know to be a counterfeit of any stamp
certificate issued by the Collector;
(f) has in his possession any certificate which he knows to be

a counterfeit of any stamp certificate, intending to use or
dispose of it as a genuine stamp certificate in order that it
may be used as a genuine stamp certificate; or
(g) uses as a genuine stamp certificate knowing it to be a

counterfeit of any stamp certificate,
shall be guilty of an offence and shall be liable on conviction to a fine

not exceeding five thousand ringgit.
Postage stamps
73. Nothing in this Act shall prevent the sale of stamps at any post
office established under the *Post Office Act 1947 [Act 211], nor the
sale of stamps by any person licensed for that purpose under
regulations made under that Act, nor the sale or exchange of postage
or revenue stamps for philatelic purposes.
Fraud in relation to duty
74. Any person who practises or is concerned in any fraudulent act,

contrivance or device not specially provided for by law, with intent to
defraud the Government of any duty, shall be liable to a fine of five
thousand ringgit.
Recovery from persons leaving Malaysia
74A. (1) The Collector, where he is of the opinion that any person
is about or likely to leave Malaysia without paying any duties,
penalties or other sums required to be paid under this Act, may issue
to any Commissioner of Police or Director of Immigration a certificate
containing particulars of those duties, penalties or sums so payable
*
NOTE—The Post Office Act 1947 [Act 211] has since been repealed by the Postal Services Act 1991
[Act 465]–see subsection 50(1) of Act 465 which then has been repealed by the Postal Services Act 2012
[Act 741]─see subsection 110(1) of Act 741.
Stamp 75
with a request for that person to be prevented from leaving Malaysia

unless and until he pays all the duties, penalties or sums so payable or
furnishes security to the satisfaction of the Collector for their payment.
(1A) The certificate referred to in subsection (1) may be

issued to any Commissioner of Police or Director of Immigration
through an electronic medium or by way of electronic
transmission.
(2) Subject to any order issued or made under any written law
relating to banishment or immigration, any Commissioner of Police or
Director of Immigration who receives a request under subsection (1)
in respect of any person shall take or cause to be taken all such
measures as may be necessary to give effect to it.
(3) The Collector shall cause notice of the issue of the certificate
under subsection (1) to be served personally or by registered post on
the person to whom the certificate relates:
Provided that the non-receipt of the notice by that person shall not
invalidate anything done under this section.
(4) Where a person in respect of whom a certificate has been issued

under subsection (1)—
(a) produces a written statement signed on or after the date of

the certificate by the Collector to the effect that all the
duties, penalties or sums specified in the certificate have
been paid or that security has been furnished for the
payment; or
(b) pays all the duties, penalties or sums specified in the

certificate to the officer in charge of a police station or to
an immigration officer,
the statement or the payment, as the case may be, shall be sufficient
authority for allowing that person to leave Malaysia.
(5) No legal proceedings shall be instituted or maintained against
the Government, a State Government, a police officer or any other
public officer in respect of anything lawfully done under

subsection 74B(2).
(6) In this section—
“Commissioner of Police” includes a Chief Police Officer;
“Director of Immigration” means the Director of Immigration in

West Malaysia, Sabah or Sarawak;
“immigration officer” means a public officer having official duties

in connection with the control of immigration into Malaysia or any part
of Malaysia.
Leaving Malaysia without payment of duties, etc.
74B. (1) Any person, to whom a certificate has been issued in

respect of him under section 74A, voluntarily leaves or attempts to
leave Malaysia without paying all the duties, penalties or sums
specified in the certificate or without furnishing security to the
satisfaction of the Collector for the payment thereof shall be guilty of
an offence and shall, on conviction, be liable to a fine not exceeding
five thousand ringgit.
(2) A police officer or immigration officer may arrest without

warrant any person whom he reasonably suspects to be committing or
is about to commit an offence under this section.
(3) In this section, “immigration officer” has the same meaning as

in section 74A.
Institution and conduct of prosecution
75. (1) No prosecution in respect of any offence punishable under this

Act shall be instituted without the sanction of the Public Prosecutor.
(2) The Collector may compound any such offence.

Stamp 77
(3) The amount of any such composition shall be a debt due to the
Government and shall be recoverable by any of the ways and means in
force for the time being for the recovery of debts due to the Government.
PART X
MISCELLANEOUS
Books, etc., in the custody of public officers may be inspected

without fee
76. Every public officer having in his custody any registers, books,
records, papers, documents or proceedings the inspection whereof may
tend to secure any duty, or to prove or lead to the discovery of any
fraud or omission in relation to any duty, shall at all reasonable times
permit any person authorized in writing by the Collector to inspect for
such purpose the registers, books, records, papers, documents or
proceedings and to take such notes and extracts as he may deem
necessary without fee or charge.
Collector may administer oaths
77. The Collector is authorized to administer all affirmations and

oaths which may be necessary for the purposes of this Act.
Electronic medium
77A. (1) For the purposes of this Act, the Collector may by an
electronic medium allow a registered person, without the need for the
instrument to be presented to the Collector—
(a) to obtain an assessment of stamp duty and any penalty, if

any, on an instrument;
(b) to pay stamp duty and any penalty, if any, on an instrument
by electronic funds transfer or otherwise, in accordance
with the assessment;
(c) to obtain a stamp certificate in relation to the assessment;

(d) to obtain an indorsement of stamp duty in a case where

section 37 applies;
(e) to obtain a review of an assessment in a case where

section 38A applies; or
(f) to obtain a refund of duty paid in a case where section 57,

58 or 80B, or subsection 21(7), 39(4) or 80(3) applies.
(2) In this section, “registered person” means any person who

applies to the Collector to register to use the electronic medium.
(3) All conditions and specifications relating to the use of

electronic medium shall be determined by the Collector.
Electronic assessment and stamping of instruments
77B. (1) For the purposes of this Act, the issue of a stamp
certificate for an instrument shall state an assessment of a duty and any
penalty, if any, in relation to the instrument.
(2) A registered person must, on receipt of a stamp certificate

issued for the instrument by the Collector, immediately attach the
stamp certificate to the instrument.
Tax identification number
77C. For the purposes of this Act, every person shall use the tax
identification number assigned by the Director General under section
66A of the Income Tax Act 1967.
Revision of acts of Collector
78. All decisions, orders and acts of the Collector shall be open to
revision by the Minister of Finance and may by him be ordered to be
revised, altered or modified; and any instrument purporting to have
Stamp 79
been stamped or re-stamped by order of the Minister of Finance shall

be received as duly stamped under this Act.
Responsibility for loss or damage
79. The Government shall not be responsible for the loss of or for
damage to any instrument tendered for stamping whilst in the custody
of the Collector, nor shall any officer of the Stamp Office be
responsible for such loss or damage, unless he has caused it wilfully,
fraudulently or by gross negligence.
Power to exempt, reduce or remit duties
80. (1) The Minister of Finance may by order published in the

Gazette exempt from duty, which would otherwise be chargeable
under this Act, any class of instrument or any of the instruments
belonging to that class, or any instruments when executed by or in
favour of any particular class of persons, or by or in favour of any
members of that class.
(1A) The Minister of Finance may in any particular case—
(i) exempt from duty any instrument, or all instruments

in relation to any scheme, which would otherwise be
chargeable under this Act; or
(ii) reduce or remit the duties with which any instrument,

or all instruments in relation to any scheme, are
chargeable under this Act.
(2) The Minister of Finance may by order published in the Gazette

reduce or remit, in the whole or any part of Malaysia, the duties with
which any particular class of instruments, or any of the instruments
belonging to such class, or any instruments when executed by or in
favour of any particular class of persons, or by or in favour of any
members of such class, are chargeable.
(3) Any order made under subsection (1) or (2) or any exemption,
reduction or remission made under subsection (1A) may be made to
operate retrospectively to any date, whether before or after the

commencement of this Act, and may relate to duties chargeable under
any written law repealed by this Act as well as to duties chargeable
under this Act, and, in the case of any such exemption, remission or
reduction, any moneys paid in respect thereof shall be refunded.
Fund for Tax Refund
80A. (1) There shall be paid from time to time into the Fund
established under section 111B of the Income Tax Act 1967 such
amount of duty collected under this Act as may be authorized by the
Minister.
(2) The money of the Fund referred to in subsection (1), shall be

applied for the making of a refund of any duty or any other payment
required to be made by the Collector under this Act.
(3) Section 14A of the Financial Procedure Act 1957 shall not apply
to any refund of any duty or any other payment required to be made
under this Act.
(4) Where the Collector is authorized or required by this Act to

make any refund of any duty or any other payment required under this
Act, he shall certify the amount of the sum to be refunded or paid and
cause the refund or payment to be made forthwith.
Power of Collector to remit duties
80B. The duty paid or payable by any person may be remitted wholly
or in part on grounds of poverty by the Collector and, where the sum
remitted has been paid, the Collector shall repay the same.
Power to compound duties in case of issue of bonds, etc.
81. The Minister of Finance may by order published in the Gazette

provide for the composition or consolidation of duties in the case of
issues by any incorporated company or other body corporate of
debentures, bonds or other marketable securities.
Stamp 81
Rules
82. The Minister of Finance may make rules—
(a) to prescribe the revenue stamps to be issued under this Act

for the payment of stamp duty, to provide for matters relating
to the issue and validity of such stamps, and to regulate the
supply and sale of stamps, including revenue stamps, the
persons by whom alone such sale is to be conducted, and the
duties and remuneration of such persons;
(aa) to prescribe the stamp certificate and official receipt to be

issued under this Act for the payment of stamp duty, to
provide for matters relating to issue and validity of the
stamp certificate and official receipt;
(ab) to prescribe the means of digital stamping to be used under

this Act for the payment of stamp duty, to provide for
matters relating to the issuance and validity of the digital
stamping;
(b) providing for the payment by means of impressed stamps

of the duties chargeable upon any of the instruments
specified in the First Schedule and prescribing the manner
of denoting such payment;
(c) generally for carrying out the purposes of this Act.
Repeal
83. The Ordinance, Enactments and Proclamations mentioned in the

Fourth Schedule are hereby repealed to the extent specified in the third
column of such Schedule:
Provided that any subsidiary legislation, appointments and

exemptions made or granted under the written laws repealed by this
section shall continue in force and have effect as if they had been made
or granted under this Act until superseded by subsidiary legislation,
appointments and exemptions made or granted under this Act.
82
FIRST SCHEDULE
[Section 4]
INSTRUMENTS CHARGEABLE WITH STAMP DUTY
Item Description of Instrument Proper Stamp Duty
1 (Deleted by Act 274).
2 AFFIDAVIT, STATUTORY DECLARATION RM10.00

OR DECLARATION IN WRITING on oath or
affirmation, made before a person authorized by
law to administer an oath
Exemptions
Affidavit or Declaration in writing made—
(i) for the immediate purpose of being filed or

used in any court or before any Judge or
officer of any court;
(ii) for the sole purpose of enabling any

person to receive any pension or
charitable allowance;
(iii) by a surety for an officer of the

Government with regard to the surety’s
means;
(iv) by any person on acceptance of an

appointment in the service of the
Government;
(v) under section 8 of the *Post Office Act
1947;
(vi) for renewal of Bills of Sale;
(vii) by a public officer that he or she has

attained the appropriate age entitling such
officer to a pension;
(viii) for the Collector under section 57 of this

Act; or
*
NOTE—The Post Office Act 1947 [Act 211] has since been repealed by the Postal Services Act 1991
[Act 465]—see subsection 50(1) of Act 465 which then has been repealed by the Postal Services Act 2012
[Act 741]—see subsection 110(1) of Act 741.
Stamp 83
(ix) pursuant to any statute requirement or in

accordance with the directions of any
Government or Agency.
3 AGREEMENT for a lease…… See lease
4 AGREEMENT OR MEMORANDUM OF RM10.00

AGREEMENT made under hand only, and not
otherwise specially charged with any duty,
whether the same is only evidence of a contract or
obligatory on the parties from its being a written
instrument.
Exemptions
Agreement or Memorandum:
(a) for or relating to the sale of any goods,

wares or merchandise other than a hire-
purchase agreement;
(b) for service or personal employment where

the wages do not exceed RM300 per
month, and any agreement between the
master and mariners of any vessel or boat
for wages;
(c) the matter whereof is of a value of less than

RM300;
(d) for the reference of any matter to

arbitration;
(e) for the payment of interest on money

deposited in any bank or with any banker;
(f) for the repurchase of negotiable certificate

of deposit whose issue has been authorized
by Bank Negara Malaysia.
Note—An agreement for or relating to the supply

of goods on hire, whereby the goods in
consideration of periodical payments will or may
become the property of the person to whom they
are supplied, shall be charged with stamp duty as

an agreement, or, if under seal, as a deed
4A (Deleted by Act A723).
5 ANNUITY: See lease
Conveyance in consideration of, and instrument See Conveyance on

creating by way of sale or gift Sale and sections 19 and
22
Instrument creating by way of security The same duty as a

charge or mortgage for
the amount deemed to
be secured thereby.
6 APPOINTMENT of a RECEIVER under a RM10.00

mortgage
7 APPOINTMENT of a new TRUSTEE, and RM10.00

APPOINTMENT in execution of a Power, of any
property, or of any share or interest in any
property, by any instrument not being a Will
12 ASSIGNMENT:
By way of security or of any security See Charge
Upon a sale or otherwise ……… See Conveyance
13 ASSURANCE ……… See Policy of Insurance

Stamp 85
20 BILL OF SALE:
Absolute ……… See Conveyance
By way of security ……… See Charge
21 BOND for securing the payment or repayment of See Charge

money or the transfer or retransfer of stock
22 BOND, COVENANT, LOAN, SERVICES,

EQUIPMENT LEASE AGREEMENT OR
INSTRUMENT of any kind whatsoever:
(1) Being the only or principal or primary

security for any annuity (except upon the
original creation thereof by way of sale or
security, and except a superannuation
annuity), or for any sum or sums of money
at stated periods, not being interest for any
sum secured by a duly stamped instrument,
nor rent reserved by a lease or tack—
(a) for a definite and certain period The same ad valorem

so that the total amount to be duty as a charge or
ultimately payable can be mortgage for such total
ascertained amount.
(b) for the term of life or any other

indefinite period— RM 1.00
for every RM100 and also for

any fractional part of RM100 of
the annuity or sum periodically
payable
(2) Being a collateral or auxiliary or additional

or substituted security for any of the above
mentioned purposes where the principal or
primary instrument is duly stamped—
(a) where the total amount to be One-fifth of the duty on

ultimately payable be ascertained the principal or primary
security, but so as not to
exceed RM10.00.
(b) in any other case— 25 sen
For every RM100 and also for any

fractional part of RM100 of the
annuity or sum periodically payable.
(3) Being a grant or contract for payment of a RM10.00

superannuation annuity, that is to say a
deferred life annuity granted or secured to
any person in consideration of annual
premiums payable until he attains a
specified age, and so to commence on his
attaining that age—
(4) Being the security for payment or RM10.00

repayment of money made for the purpose
of pursuing higher education in higher
educational institutions.
(5) Being the security for securing the The same duty as a
payment for the provision of services or LEASE
facilities or to other matters or things in
connection with the lease of any
immovable property.
(6) Being the security for securing the RM10.00

payment or repayment of money for the
purchase of goods (within the meaning
given under the First Schedule of the
Hire-Purchase Act 1967) in accordance
with the conventional hire purchase and
Syariah principles.
Stamp 87
23 BOND, CHARGE, MORTGAGE or other RM10.00

INSTRUMENT executed by way of
INDEMNITY or of SECURITY for the due
execution of an office, or for the discharge of
liabilities, arising out of the execution thereof, or
to account for money received by virtue thereof
Exemptions
(a) Bond executed by an officer of the

Government or his surety to secure the due
execution of an office or the due
accounting for money or other payments
secured by virtue thereof.
(b) Bond for securing the refund to

Government of amounts overpaid to
persons appointed by Government officers
to receive their salary or allowance when
absent on leave.
(c) Bonds required to be executed under the

provisions of the Criminal Procedure
Code.
24 BOND on obtaining letters of administration RM10.00

where the estate exceeds RM50,000.00.
Exemptions
Bond given by any person when the estate to be

administered does not exceed RM50,000.00 in
value.
25 BOND of any kind whatsoever not specifically RM10.00

charged with any duty
27 CHARGE OR MORTGAGE, AGREEMENT

FOR A CHARGE OR MORTGAGE, (including
that under the Syariah) BOND, CONVENANT,
DEBENTURE (not being a marketable security)
BILL OF SALE by way of security and
WARRANT OF ATTORNEY to confess and

enter up judgment:
(a) Being the only or principal or primary

security (other than an equitable mortgage
or an assignment of receivables or the kind
mentioned in paragraph (d)) for the
payment or repayment of money—
(i) where the loan is to a small and

medium enterprise or financing is
provided to a small and medium
enterprise according to the
Syariah—
For an amount not exceeding RM0.50 for every

RM250,000 of the aggregate RM1,000 or fractional
loans or of the aggregate thereof
financing under the syariah in a
calendar year
For each additional RM1,000 RM2.50 for every

not exceeding RM1,000,000 RM1,000 or fractional
thereof
For each additional RM1,000 or RM5.00

part thereof
(ii) where the loans is a foreign RM5.00 for every

currency loan or the financing RM1,000 or part thereof
was made according to the but the total duty
syariah in currencies other than payable shall not
the ringgit exceed RM2,000
(iii) in any other case—
For each RM1,000 or part thereof RM5.00
(b) Being a collateral or auxiliary or additional One-fifth of the duty on

or substituted security (other than an the principal or security
equitable mortgage) or by way of further but so as not to exceed
assurance for the above-mentioned RM10.00
purpose where the principal or primary
security is duly stamped.
Stamp 89
(c) An equitable mortgage …… One-half of the duty

which would be
chargeable on a
mortgage for the
amount secured
(d) A charge or a mortgage on or an RM10.00

assignment by way of security of accounts
receivables to a bank, merchant bank or
finance company licensed under the
*
Banking and Financial Institutions Act
1989 [Act 372] or under the **Islamic
Banking Act 1983 [Act 276] or a scheduled
institution as defined under section 2 of the
*
1989, pursuant to an agreement for
discounting invoices or hire purchase
receivables
(e) Transfer, assignment or disposition of any Two-fifths of the duty

charge or mortgage, bond, covenant or which would be
debenture (not being a marketable chargeable on a charge
security) or of any money or stock or mortgage for the
secured) by any such instrument or by any amount transferred
warrant of attorney to enter up judgment or
by any judgment
And also where any further money is The same duty as a

added to the money already secured principal security for
such further money
(f) (Deleted by Act A723).
(g) Charge or mortgage executed in pursuance RM10.00

of a duly stamped agreement for the same,
on production of such agreement to the
Collector
(h) In any other case …… RM10.00
*
NOTE―The Banking and Financial Institutions Act 1989 [Act 372] was repealed by the Financial
Services Act 2013 [Act 758]—see section 271 of Act 758.
**
NOTE―The Islamic Banking Act 1983 [Act 276] was repealed by the Islamic Financial Services Act
2013 [Act 759]—see section 282 of Act 759.
29 CHEQUE (unless compounded for) 15 cent
29A CONSTITUTION OF A COMPANY RM 200.00
30 CONTRACT See Agreement.

31 CONTRACT NOTE:
Relating to the sale of any shares, stock or

marketable securities in companies incorporated
in Malaysia or elsewhere—
(a) For every RM1,000 or fractional part of RM1.50

RM1,000 of the value of any shares or
stock
(b) For every RM1,000 or fractional part of

RM1,000 of the value of any marketable RM1.00
securities
32 CONVEYANCE, ASSIGNMENT, TRANSFER OR

ABSOLUTE BILL OF SALE:
(a) On sale of any property (except stock, For every RM100 or

shares, marketable securities and accounts fractional part of
receivables or book debts of the kind RM100 of the amount
mentioned in paragraph (c)) of the money value of
the consideration or the
market value of the
property, whichever is
the greater—
(i) RM1.00 on the

first
RM100,000;
(ii) RM2.00 on any

amount in excess
of RM100,000
but not
exceeding
RM500,000;
Stamp 91
(iii) RM3.00 on any

amount in excess
of RM500,000
but not
exceeding
RM1,000,000;
(iv) RM4.00 on any

amount in excess
of
RM1,000,000.
(b) On sale of any stock, shares or marketable RM3.00

securities, to be computed on the price or
value thereof on the date of transfer,
whichever is the greater—
For every RM1,000 or fractional part of

RM1,000
(c) On the absolute sale of any accounts RM10.00

receivables or book debts to a bank,
merchant bank, or finance company
licensed under the *Banking and Financial
Institutions Act 1989 or under the
**
Islamic Banking Act 1983 or a scheduled
institution as defined under section 2 of the
1989, pursuant to a factoring agreement
(d) Of any property by way of security or any See Charge

security other than a marketable security
(e) Of any property as above where the

transaction is between trustees and
where—
(i) the beneficial interest in the Duty as in (a), (b), or (c)

property passes
*
NOTE―The Banking and Financial Institutions Act 1989 [Act 372] was repealed by the Financial
Services Act 2013 [Act 758]—see section 271 of Act 758.
**
NOTE―The Islamic Banking Act 1983 [Act 276] was repealed by the Islamic Financial Services Act
2013 [Act 759]—see section 282 of Act 759.
(ii) the beneficial interest in the RM10.00

property does not pass
(f) Of any property, for the purpose of RM10.00

effectuating the appointment of a new
trustee or the retirement of a trustee
although no new trustee is appointed
(g) Of any property by way of settlement See Settlement
(h) Of any property by way of gift (whether by See Gift and subsection
way of voluntary disposition or otherwise) 16(1)
(i) Of any kind not otherwise specially RM10.00

charged with duty
Exemptions
(a) Transfers on sale of land for the recovery

of land revenue;
(b) Transfers by endorsement—
(i) of a bill of exchange, cheque or

promissory note;
(ii) of a bill of lading, warrant for

goods or other mercantile
document of title to goods;
(iii) of a policy of insurance other than

a policy of life insurance;
(iv) of charges on rates and taxes

authorized by any written law for
the time being in force in Malaysia;
(v) of securities of the Government of

Malaysia or of any State;
(c) Transfer of units of a unit trust;

Stamp 93
(d) Transfer or assignment on sale of any

copyright, trade mark, patent or any
similar right.
34 COUNTERPART OR DUPLICATE of any

instrument chargeable with duty, and in respect of
which the proper duty has been paid—
(a) If the duty with which the original The same duty as the
instrument is chargeable does not exceed original
RM10.00
(b) In any other case RM10.00
35 COVENANT:
Any separate instrument or deed of covenant (not RM10.00

being an instrument or deed chargeable with ad
valorem duty as a conveyance or charge or
mortgage) made on the sale, charge or mortgage
of any property, or of any right or interest therein,
and relating solely to the conveyance or
enjoyment of or the title to the property sold,
charged or mortgaged, or to the production of the
documents of title relating thereto, or to all or any
of the matters aforesaid
36 DEBENTURE ………… See Marketable Security

and Charge
37 DECLARATION of any use or trust of or RM10.00

concerning any property by any writing, not being
a will, or an instrument chargeable with duty as a
settlement
38 DEED of any kind not described in this Schedule RM10.00
39 DISCHARGE OF CHARGE See Re-Conveyance,

etc.
40 DISSOLUTION OF PARTNERSHIP See Partnership.
41 DUPLICATE See Counterpart.

42 EQUITABLE MORTGAGE See Charge (or

Mortgage).
43 EXCHANGE. Any instrument whereby an (a) In the case

exchange of any property is effected. specified in
section 20A:
see that
section;
(b) In any other

case:
RM10.00.
45 FURTHER CHARGE See Charge.
46 GIFT See Subsection 16(1).
47 INDEMNITY BOND See Bond (Item 23).
48 INSURANCE See Policy of Insurance.
49 LEASE OR AGREEMENT FOR LEASE: of any

immovable property and for securing the payment
for the provision of services or facilities or to other
matters or things in connection with such lease:
(a) Without fine or premium when the When the Lease is for a period
average rent and other considerations Not Exceeding Exceeding
exceeding one but three or for
calculated for a whole year— one year not any indefinite
exceeding period
three years
(i) Does not exceed RM2,400 Nil Nil Nil
(ii) For every RM250 or part thereof in 1.00 2.00 4.00

excess of RM2,400
(b) In consideration of a fine or premium and The same duty as for a

without rent of other considerations conveyance for a sum
equal to the amount of
such consideration.
Stamp 95
(c) In consideration of a fine or premium and The same duty as for a

reserving a rent or other considerations conveyance on sale in
consideration of the fine
or premium and a lease
for the rent.
(d) Where a percentage or proportion, or the RM10.00

value of a percentage or proportion, of the
produce of the land is reserved or payable
to the lessor
Note—This duty is in addition to any duty

which may be chargeable under (a), (b) or
(c) above on account of any specified rent,
fine or premium
(e) In pursuance of a duly stamped agreement RM10.00

for the same on production of such
agreement to the Commissioner
(f) In any other case RM10.00
Exemption
Agricultural Lease or Agreement for Agricultural

Lease for any definite term not exceeding three
years when the rent reserved does not exceed two
hundred ringgit a year.
49A LEASE OR AGREEMENT FOR LEASE The same ad valorem

UNDER THE PRINCIPLES OF AL-IJARAH of duty as upon a charge or
the Syariah law for the purpose of financing or mortgage for such total
securing repayment of money. amount.
50 LETTER OF GUARANTEE RM10.00
50A LETTER OF HYPOTHECATION RM10.00
51 LETTER OF ALLOTMENT AND LETTER OF RM10.00

RENUNCIATION or any document having the
effect of a letter of allotment of shares in any
company or proposed company or in respect of
any loan raised or proposed to be raised by any
company or proposed company
52 MARKETABLE SECURITY:
(a) Not being a security transferable by The same ad valorem

delivery, for or in respect of the money duty according to the
thereby secured nature of the security
upon a mortgage.
(b) Being a security transferable by delivery 50 sen for every RM100

or fractional part of
RM100 of the nominal
value of the security.
(c) Transfer, assignment, or disposition of a See Conveyance

marketable security
56 (Deleted by Act A723).
57 PARTNERSHIP:
(a) Instrument of .. .. RM10.00
(b) Dissolution of .. .. RM10.00
58 POLICY OF INSURANCE:
(1) (a) Policy of Sea Insurance including RM10.00

time policies or policies for
covering a vessel or her machinery
or fittings whilst under
construction or repair or on trial,
whether the period exceeds twelve
months or not
(b) For policies containing a RM10.00

continuation clause, additional
duty
NOTE—When a policy of sea insurance is drawn

in a set according to the custom of marine insurers
Stamp 97
and one of the set is duly stamped, the other or

others of the set shall, unless issued or in some
manner negotiated apart from such duly stamped
policy, be exempt from duty; and, upon proof of
the loss or destruction of a duly stamped policy
forming one of a set, any other policy of the set
which has not been issued or in any manner
negotiated apart from such lost or destroyed policy
may although unstamped, be admitted in evidence
to prove the contents of such lost or destroyed
policy.
(2) FIRE POLICY—
For all policies and renewals irrespective RM10.00

of the sum insured or the term
(3) ACCIDENT POLICY and policy of RM10.00

Insurance for any payment agreed to be
made during the sickness of the insured
person or his incapacity from personal
injury, or by way of indemnity against loss
or damage of or to any property of the
insured person.
(4) LIFE POLICY— RM10.00
Exemption
Where the sum insured does not exceed RM5, 000.
(5) RE-INSURANCE BY AN INSURANCE RM10.00

COMPANY which has granted a Policy of
Sea Insurance or a Policy of Fire Insurance
with another Company by way of
indemnity or guarantee, against the
payment on the original insurance of a
certain part of the sum insured thereby
irrespective of the sum insured or the term
(6) THIRD PARTY POLICY—
(a) Covering liability of the insured RM10.00

towards others
(b) WORKMEN’S COMPENSATION

(EMPLOYER’S LIABILITY):
Policy covering the liability of the RM10.00

insured to pay compensation to a
workman or employee in regard to
sickness or personal injury
(7) COMPREHENSIVE POLICY—
Combining any two or more of the RM10.00

following risks—fire, personal injury, or
sickness of the insured, damage, loss, theft
and third party claims
(8) Any other Insurance Policy not RM10.00

specifically provided for—
General Exemption
Letter of cover or engagement to issue a

policy of insurance:
Provided that unless such letter or

engagement bears the stamp prescribed
by this Act for such policy nothing shall
be claimable thereunder, not shall it be
available for any purpose except to
compel the delivery of the policy
therein mentioned.
59 POWER OR LETTER OF ATTORNEY: RM10.00
Exemption
For the sole purpose of appointment or authorizing

any person to vote as proxy at a meeting of a
Company or Association
60 PROMISSORY NOTE:
(a) executed in favour of a bank, merchant RM10.00

bank or borrowing company in Malaysia
approved by the Minister of Finance
Stamp 99
(b) others RM10.00
61 PROTEST OF NOTE, that is to say, any RM10.00

declaration in writing made by a Notary Public, or
other person lawfully acting as such, attesting the
dishonour of a promissory note
65 RECONVEYANCE OF CHARGED OR Same duty as charge

MORTGAGED PROPERTY, RE ASSIGNMENT, itself but subject to a
RELEASE, DISCHARGE, SURRENDER OR maximum of RM10.00
RENUNCIATION of any security or of the benefit
thereof or of the money thereby secured:
66 RELEASE OR RENUNCIATION that is to say,

any instrument whereby a person releases any
property:
(a) If on sale………… The same duty as a

conveyance on sale
(b) If by way of security…… The same duty as a

charge or mortgage
(c) If by way of gift……… The same duty as a

conveyance by way of
gift
(d) In any other case not otherwise specially RM10.00

charged with duty
67 REVOCATION of Power or Letter of Attorney The same duty as is

payable on the Power or
Letter of Attorney
68 REVOCATION of any use or trust of any property RM10.00

by any writing not being a will.
69 SETTLEMENT being an Instrument of Settlement See section 16 and item

or Agreement for a settlement 32: Conveyance
71 SHARE WARRANT OR STOCK CERTIFICATE RM1.00 for every

to bearer RM100 or fractional
part of RM100 of the
nominal value of the
shares or stock
specified in the warrant
73 SUBSTITUTION UNDER OR IN VIRTUE OF A The same duty as is

POWER OF ATTORNEY and any such instrument payable on the Power or
cancelling or varying any such substitution Letter of Attorney
74 SURRENDER OF CHARGE See Reconveyance, etc.
75 SURRENDER OF LEASE:
(a) When the duty with which the lease is The duty with which
chargeable does not exceed RM10.00 such lease is chargeable
(b) In any other case RM10.00
76 TRANSFER See Conveyance
77 TRUST See Declaration and

Conveyance
78 TRUST RECEIPT granted on the occasion of a RM10.00

loan or overdraft on goods, if unattested
GENERAL EXEMPTIONS
[Section 35]
1. All instruments of any kind whatsoever, and all counterparts or duplicates of

such instruments, made or executed by or on behalf or in favour of a Ruler of a State
or the Government of Malaysia or of any State, where, but for this exemption, the
Stamp 101
Ruler or the Government would be liable to pay the duty chargeable in respect of
such instrument.
The above exemption does not extend to any instrument or writing signed or
executed by any officer as Official Administrator (or, in the case of Sabah, as
Administrator General) or Public Trustee or by a receiver appointed by the Court; or
to any instrument rendered necessary by any written law or order of Court; or to a
sale made for the recovery of an arrear of revenue or in satisfaction of a decree or
order of Court.
2. Any grant or lease made on behalf of the Government by virtue of the National
Land Code [Act 56 of 1965] or the National Land Code (Penang and Malacca Titles)
Act 1963 [Act 518] or the Land Ordinance of Sabah [Sabah Cap. 68] or the Land
Ordinance of Sarawak [Sarawak Cap. 81].
3. Any instrument for the sale, transfer or other disposition, either absolutely or by
way of charge or otherwise, of any ship or vessel or any part, interest, share or
property of or in any ship or vessel registered or licensed under the Merchant
Shipping Ordinance 1952 or under any law for the time being in force in any part of
Malaysia.
4. Any instrument relating exclusively to immovable property situated out of

Malaysia or relating exclusively to things done or to be done out of Malaysia.
5. All instruments relating solely to the business of any society registered under
any written law relating to co-operative societies, and executed by an officer or
member of such society, the duty on which would, but for the exemption hereby
granted, be payable by such officer or member.
6. An instrument executed pursuant to a scheme of financing approved by the

Central Bank, the Labuan Financial Services Authority, the Malaysia Co-operative
Societies Commission or the Securities Commission as a scheme which is in
accordance with the principles of Syariah, where such instrument is an additional
instrument strictly required for the purpose of compliance with those principles but
which will not be required for any other schemes of financing.

SECOND SCHEDULE
[Section 7]
PERSONS REQUIRED TO CANCEL ADHESIVE STAMPS
Item Nature of Instrument and the Item Persons required to cancel

Number thereto in First Schedule the adhesive stamp
1 AGREEMENT—No. 4 The person by whom the

instrument is first executed
1A AFFIDAVIT, STATUTORY The Commissioner for Oaths

DECLARATION, etc.—No. 2
5 CHEQUE (UNLESS COMPOUNDED See Bill of Exchange

FOR)—No. 29
6 CONTRACT NOTE—No. 31 The person by whom the note is

executed
6A DECLARATION of any use or trust Manager or Trust Executive of

of or concerning any property by Amanah Raya Bhd.
any writing, not being a will, or an
instrument chargeable with duty as a
settlement executed with Amanah
Raya Bhd.—No. 37
8 LETTER OF ALLOTMENT— The person by whom the letter is

No. 51 signed
9 LETTER OF RENUNCIATION— The person in whose favour the

No. 51 letter is executed
12 POLICY OF INSURANCE when The first holder in Malaysia

Stamp 103
Item Nature of Instrument and the Item Persons required to cancel

Number thereto in First Schedule the adhesive stamp
issued out of Malaysia— No. 58
14 PROMISSORY NOTE when drawn The first holder in Malaysia

or made out Malaysia—No. 60
15 PROTEST OF NOTE—No. 61 The Notary
18 REVOCATION OF POWER OF The person by whom the

ATTORNEY—No. 67 instrument is executed
19 ANY BOND furnished to the An immigration officer

Director General of Immigration in
connection with the grant of any
pass or permit issued under the
Immigration Act 1959/63 [Act 155]
19A EMPLOYMENT CONTRACT issued An immigration officer

to the Immigration Department for the
purpose of securing a pass
20 STUDENT LOAN AGREEMENT The lender

for the purpose of pursuing higher
education in colleges or universities
—No. 22
22 ARTICLES OF ASSOCIATION The Registrar of Companies

AND MEMORANDUM OF
ASSOCIATION OF A COMPANY
23 Memorandum of Sale Registrar of High Court

THIRD SCHEDULE
[Section 33]
DUTY BY WHOM PAYABLE
Item Nature of Instrument and the Item Number Person liable to pay
thereto in First Schedule Duty
1 AGREEMENT OR MEMORANDUM The person by whom the

OF AGREEMENT—No. 4 instrument is first executed
2 BOND—Nos. 21, 22, 23 and 25 The obligor or other person

giving the security
3 CHARGE OR MORTGAGE—No. 27 The chargor, mortgagor or

obligor
4 CONTRACT—No. 30 The person by whom the

instrument is first executed
4A CONTRACT NOTE—No. 31 The person on whose

account the purchase or sale
is made
5 CONVEYANCE—No. 32 The grantee or transferee
7 Exchange—No. 43 The parties in equal shares
8 LEASE OR AGREEMENT FOR

LEASE—No. 49:
(a) Lease or agreement The lessee

(b) Counterpart The lessor
10 RE-CONVEYANCE—No. 65 The transferee or assignee or

the person redeeming the
security
Stamp 105
FOURTH SCHEDULE
[Section 83]
REPEAL
No. Title Extent of Repeal
F.M.S. Cap. 135 The Stamp Enactment The whole
Johore Enactment The Stamp Enactment The whole

No. 137
Kedah Enactment Enactment No. 114 (Stamps) The whole in so far as it

No. 114 relates to stamp duties
Kelantan The Stamp Enactment 1937 The whole

Enactment No. 7 of
1937
Trengganu The Stamps Enactment The whole in so far as it

Enactment No. 19 relates to stamp duties
of 1356
S.S. Cap. 228 The Stamp Ordinance The whole
B.M.A. The Stamps Proclamation The whole

Proclamation
No. 37
B.M.A. The Powers of Attorney The whole

Proclamation (Stamping) Proclamation
No. 59
B.M.A. The Stamp Duties Proclamation The whole

Proclamation
No. 66
NOTE—The Stamp Ordinance of Sabah [Sabah Cap. 137] (except section 83), the Stamp Ordinance of
Sarawak [Sarawak Cap. 32] and the Stamp (Unnumbered Shares) Act 1962 [Act 26/62] were repealed by
the Stamp (Amendment and Extension) Act 1989 [Act A723].
FIFTH SCHEDULE
[Subsection 8(1)]
LIST OF INSTRUMENTS ON WHICH DUTY IS PAYABLE BY MEANS OF A

POSTAL FRANKING MACHINE OR DIGITAL FRANKING MACHINE.
1–6. (Deleted by P.U. (A) 472/1991).
8. Transfer of shares in public companies listed on the Bursa Malaysia.
9. Hire-Purchase Agreement and guarantee thereto.
10. Letter of indemnity.
11. Letter of guarantee.
12. Letter of allotment.
13. Education loan agreement.
14. Articles of Association of a company.
15. Memorandum of Association of a company.
16. Any other agreement approved by the Collector.
SIXTH SCHEDULE
[Subsection 15A(3)]
PROVISIONS RELATING TO SUBSIDIARY COMPANIES
PROVISIONS FOR DETERMINING AMOUNT OF CAPITAL HELD

THROUGH OTHER COMPANIES
1. Where, in the case of a number of companies, the first directly owns issued share
capital of the second and the second directly owns issued share capital of the third,
then, for the purposes of this Schedule, the first shall be deemed to own issued share
capital of the third through the second, and, if the third directly owns issued share
capital of a fourth, the first shall be deemed to own issued share capital of the fourth
Stamp 107
through the second and the third, and the second shall be deemed to own issued share
capital of the fourth through the third, and so on.
2. In this Schedule—
(a) any number of companies of which the first directly owns issued share
capital of the second and the second directly owns issued share capital
of the third and so on, and, if they are more than three, any three or more
of them, are referred to as a “series”;
(b) in any series—
(i) that company which owns issued share capital of another

through the remainder is referred to as “the first owner”;
(ii) that other company the issued share capital of which is so

owned is referred to as “the last owned company”;
(iii) the remainder, if one only, is referred to as an “intermediary”

or, if more than one, as “a chain of intermediaries”;
(c) a company in a series which directly owns issued share capital of another
company in the series is referred to as an “owner”;
(d) any two companies in a series of which one owns issued share capital of
the other directly, and not through one or more of the other companies
in the series, are referred to as being directly related to one another.
3. Where every owner in a series owns the whole of the issued share capital of the
company to which it is directly related, the first owner shall be deemed to own
through the intermediary or chain of intermediaries the whole of the issued share
capital of the last owned company.
4. Where one of the owners in a series owns a fraction of the issued share capital
of the company to which it is directly related, and every other ownerin the series
owns the whole of the issued share capital of the company to which it is directly
related, the first owner shall be deemed to own that fraction of the issued share capital
of the last owned company through the intermediary or chain of intermediaries.
5. Where—
(a) each of two or more of the owners in a series owns a fraction, and every
other owner in the series owns the whole, of the issued share capital of
the company to which it is directly related; or
(b) every owner in a series owns a fraction of the issued share capital of the
company to which it is directly related,
the first owner shall be deemed to own through the intermediary or chain of
intermediaries such fraction of the issued share capital of the last owned company as
results from the multiplication of those fractions.
6. Where the first owner in any series owns a fraction of the issued share capital of
the last owned company in that series through the intermediary or chain of
intermediaries in that series, and also owns another fraction or other fractions of the
issued share capital of the last owned company, either—
(a) directly;
(b) through an intermediary or intermediaries which is not a member or are

not members of that series;
(c) through a chain or chains of intermediaries of which one or some or all

are not in that series; or
(d) in a case where the series consists of more than three companies, through
an intermediary or intermediaries which is a member or are members of
the series, or through a chain or chains of intermediaries consisting of
some but not all of the companies of which the chain of intermediaries
in the series consists,
then, for the purpose of ascertaining the amount of the issued share capital of the last
owned company owned by the first owner, all those fractions shall be aggregated and
the first owner shall be deemed to own the sum of those fractions.
109
LAWS OF MALAYSIA
Act 378
STAMP ACT 1949
LIST OF AMENDMENTS
Amending law Short title In force from
F.M. Ord. 70/1950 Stamp (Amendment) Ordinance 1950 11-12-1950
L.N. 576/1954 Notification–Amendment of First 01-01-1955

Schedule
L.N. 254/1955 Notification–Amendment of First 04-05-1955

Schedule
F.M. Ord. 23/1955 Stamp (Amendment) Ordinance1955 05-12-1949

and
15-06-1955
L.N. 113/1956 Minister of Finance Order 1956–s 4 02-04-1956
L.N. 332/1958 Federal Constitution (Modification 13-11-1958

of Laws) (Ordinance and
Proclamations) Order 1958
Act 91 Courts of Judicature Act 1964 16-09-1963
Singapore Act Republic of Singapore Independence 09-08-1965

9/1965 Act 1965
Act 79/1965 Companies Act 1965 – First Schedule 15-04-1966
Act 5/1967 Stamp Duty (Special Provisions) 01-04-1967

(Malaysia) Act 1967
Act 60/1967 Stamp (Amendment) Act 1967 All provisions

other than section
2 and the First
Schedule (except
the amendment
of section 80 of
F.M. Ordinance
No. 59 of 1949)
01-04 1967;
Section 2 and the
First Schedule
(except as
aforesaid)
30-09-1967
P.U. (B) 391/1973 Resolution of Dewan Rakyat 31-08-1973

amending First Schedule
P.U. (B) 392/1973 Resolution of Dewan Negara 31-08-1973

amending First Schedule
Act A15 Stamp (Amendment) Act 1969 Not yet

in force
Act A160 Stamp (Amendment) Act 1973 29-02-1973
Act 241 Finance Act 1981 Chapter V;

01-01-1981
P.U. (A) 58/1982 Stamp Duty (Amendment) Order 1982 05-03-1982
Act 274 Finance (No. 2) Act 1982 Chapter IV;

01-01-1983

01-01-1984

01-01-1985
Stamp 111
Act A587 National Land Code (Amendment) Act 25-03-1985

1984
Act A723 Stamp (Amendment and Extension) 01-10-1989;

Act 1989 paragraph 5(b):
01-01-1990
Act 421 Finance (No. 2) Act 1990 Chapter V;

01-01-1990
P.U. (A) 470/1990 Revision of Laws (Stamp Act) Order 02-01-1990

1990
P.U. (A) 472/1991 Stamp Duty (Amendment) (No. 2) 01-01-1992

Order 1991
Act 476 Finance Act 1992 Chapter VI;

01-01-1992
Act 497 Finance Act 1993 Chapter III;

01-01-1993
Act 513 Finance Act 1994 Chapter IV;

01-01-1994

01-01-1995

01-01-1996
except s. 25:
01-07-1995

01-01-1998

30-10-1999;
section 20;
16-06-2000;
section 21
Act 608 Finance (No. 2) Act 2000 Chapter V;

01-01-2001

01-01-2002
Act 624 Finance (No. 2) Act 2002 Chapter IV;

01-01-2003

11-09-2004
Act 644 Finance Act 2005 s.51, 52, 53,

55 and 56:
01-01-2005;
s.54:
01-01-2006

02-09-2006

01-01-2008
Act 693 Finance Act 2009 Chapter III,

01-01-2009

01-01-2010
Act 719 Finance Act 2011 28-01-2011

First Schedule:
11-02-2010

10-02-2012
Act 755 Finance Act 2013 11-01-2013

Stamp 113
Act 761 Finance Act 2014 24-01-2014
Act 812 Finance Act 2018 1. Sections 64, 65,

66, 67 and
paragraphs 68(a),
(b), (c) and (e) ─
28-12-2018
2. Paragraph 68(d)
─ 01-01-2019

01-01-2020
Act 831 Finance Act 2020 01-01-2021
Act 833 Finance Act 2021 01-01-2022

114
LAWS OF MALAYSIA
Act 378
STAMP ACT 1949

LIST OF SECTIONS AMENDED
Section Amending authority In force from
2 L.N. 332/1958 13-11-1958

Act 79/1965 15-04-1966
Act 60/1967 30-09-1967
Act 293 01-01-1984
Act 309 01-01-1985
Act A723 01-10-1989
Act 476 01-01-1992
Act 513 01-01-1994
Act 608 01-01-2001
Act 661 02-09-2006
Act 683 01-01-2008
Act 693 01-01-2009
Act A1380 01-11-2010
Act 812 28-12-2018
Act 831 01-01-2021
3 Act A723 01-10-1989
3A Act 60/1967 30-09-1967
4 Act 309 01-01-1985
5A Act 241 01-01-1981

Act A723 01-10-1989
Act 661 02-09-2006
7 F.M. Ord.70/1950 11-12-1950

F.M. Ord. 23/1955 05-12-1949
L.N. 332/1958 13-11-1958
Act A723 01-10-1989;
01-01-1990
Act 608 01-01-2001
Act 661 02-09-2006
Act 693 01-01-2009
Act 831 01-01-2021
Stamp 115
8 Act 60/1967 30-09-1967

Act A408 02-09-1977
Act 719 28-01-2011
Act 755 11-01-2013
9 F.M. Ord. 70/1950 11-12-1950

Act A723 01-10-1989
Act 497 01-01-1993
Act 513 01-01-1994
Act 608 01-01-2001
Act 619 01-01-2002
Act 624 01-01-2003
Act 661 02-09-2006
Act 742 10-02-2012
Act 755 11-01-2013
Act 761 24-01-2014
Act 812 28-12-2018
Act 831 01-01-2021
11A Act 693 01-01-2009
12 Act 60/1967 30-09-1967

Act 497 01-01-1993
Act 693 01-01-2009
Act 831 01-01-2021
12A Act 60/1967 01-04-1967

Act A723 01-10-1989
Act 497 01-01-1993
13 Act A723 01-10-1989
14A Act A723 01-10-1989
15 F.M. Ord. 15/1953 30-04-1953

Act 79/1965 15-04-1966
Act 293 01-01-1984
Act A723 01-10-1989
Act 812 28-12-2018
15A Act A723 01-10-1989

Act 812 28-12-2018
16 Act 60/1967 30-09-1967

Act 274 01-01-1983
17 Act A723 01-10-1989
19 Act 309 01-01-1985

20 Act 309 01-01-1985
20A Act 274 01-01-1983
20B Act 309 01-01-1985

Act 531 01-01-1995
21 F.M. Ord. 70/1950 11-12-1950

Act 309 01-01-1985
Act A723 01-10-1989
Act 644 01-10-2005
27 Act A723 01-10-1989
29 Act 309 01-01-1985

Act A723 01-10-1989
29A Act 309 01-01-1985

Act A723 01-10-1989
30 Act A723 01-10-1989
32A Act A723 01-10-1989

Act 608 01-01-2001
33 F.M. Ord. 67/1953 24-12-1953

Act A723 01-10-1989
Act 608 01-01-2001
34 Act A723 01-10-1989

Act 476 01-01-1992
36 Act A723 01-10-1989

Act 544 01-01-1996
Act 693 01-01-2009
36A Act 683 01-01-2008
36AA Act A1380 01-11-2010
36B Act 683 01-01-2008

Act A1380 01-11-2010
Stamp 117
36C Act A1380 01-11-2010
36D Act 833 01-01-2022
37 Act 683 01-01-2008

Act 693 01-01-2009
Act A1380 01-11-2010
Act 833 01-01-2022
38 Act 683 01-01-2008

Act A1380 01-11-2010
39 Act 619 01-01-2002

Act 683 01-01-2008
Act 833 01-01-2022
40 Act A723 01-10-1989

Act 693 01-01-2009
42 Act 476 01-01-1992
43 Act 476 01-01-1992

Act A723 01-10-1989
Act 644 01-10-2005
44 Act 476 01-01-1992

Act A723 01-10-1989
45 Act 476 01-01-1992
46 Act A723 01-10-1989
47 Act 476 01-01-1992

Act A723 01-10-1989
47A Act A723 01-10-1989

Act 608 01-01-2001
Act 619 01-01-2002
Act 624 01-01-2003
Act 761 24-01-2014
48 Act A723 01-10-1989

Act 693 01-01-2009
Act 831 01-01-2021
49 Act A723 01-10-1989
50 Act 831 01-01-2021
50A Act 693 01-01-2009
51 Act A723 01-10-1989
52 Act 60/1967 30-09-1967

Act A723 01-10-1989
53 Act A723 01-10-1989
54 Act 476 01-01-1992
55 Act 578 01-01-1998

Act 831 01-01-2021
57 Act A723 01-10-1989

Act 661 02-09-2006
Act 693 01-01-2009
Act 833 01-01-2022
58 Act A723 01-10-1989

Act 833 01-01-2022
59 Act A723 01-10-1989
59A Act A723 01-10-1989

Act 693 01-01-2009
60 Act A723 01-10-1989
60A Act 755 11-01-2013
61 Act A723 01-10-1989
62 Act 476 01-01-1992

Act A723 01-10-1989
63 Act 476 01-01-1992

Act A723 01-10-1989
64 Act A723 01-10-1989

Stamp 119
65 Act 476 01-01-1992

Act A723 01-10-1989
66 Act A723 01-10-1989
67 Act A723 01-10-1989

69 Act A723 01-10-1989
70 Act A723 01-10-1989
71 Act A723 01-10-1989
72 Act A723 01-10-1989
72A Act 702 01-01-2010
74 Act A723 01-10-1989
74A Act A1380 01-11-2010

Act 831 01-01-2021
74B Act A1380 01-11-2010
75 Act A723 01-10-1989
77A Act 693 01-01-2009

Act 833 01-01-2022
77B Act 693 01-01-2009
77C Act 833 01-01-2022
80 L.N. 332/1958 13-11-1958

Act 60/1967 01-04-1967
Act 513 01-01-1994
Act 608 01-01-2001
Act 644 01-10-2005
Act 661 02-09-2006
Act 831 01-01-2021
80A Act 644 01-01-2006
80B Act 831 01-01-2021
82 L.N. 332/1958 13-11-1958

Act A723 01-10-1989

Act 693 01-01-2009
Act 831 01-01-2021
82A Act 644 01-01-2006
First Schedule F.M. Ord. 70/1950 11-12-1950

L.N. 576/1954 01-01-1955
L.N. 254/1955 F.M. 04-05-1955
Ord. 23/1955 15-06-1955
L.N. 332/1958 13-11-1958
Act 79/1965 15-04-1966
P.U. (B) 391/1973 31-08-1973
P.U. (B) 392/1973 31-08-1973
Act A15 Not yet in force
Act A160 29-02-1973
Act 274 01-01-1983
Act 293 01-01-1984
Act 309 01-01-1985
Act A723 01-10-1989
Act 421 01-01-1990
P.U. (A) 470/1990 02-01-1990
Act 476 01-01-1992
Act 497 01-01-1993
Act 513 01-01-1994
Act 544 01-07-1995
Act 600 30-10-1999
Act 608 01-01-2001
Act 619 01-01-2002
Act 624 01-01-2003
Act 639 11-09-2004
Act 644 01-10-2005
Act 661 02-09-2006
Act 693 01-01-2009
Act 702 01-01-2010
Act 719 11-02-2010
Act 742 10-02-2012
Act 755 11-01-2013
Act 812 28-12-2018;
01-01-2019
Act 823 01-01-2020
Act 833 01-01-2022
Second Schedule Act 274 01-01-1983

Stamp 121
Act A723 01-10-1989

Act 476 01-01-1992
Act 513 01-01-1994
Act 600 16-06-2000
P.U. (A) 511/2000 01-01-2001
Act 702 01-01-2010
Act 742 10-02-2012
Act 755 11-01-2013
Third Schedule F.M. Ord. 67/1953 24-12-1953

Act A723 01-10-1989
Act 274 01-01-1983
Fifth Schedule Act A408 02-09-1977

P.U. (A) 58/1982 05-03-1982
P.U. (A) 40/1991 01-02-1991
P.U. (A) 472/1991 01-01-1992
Act 513 01-01-1994
Act 644 01-10-2005
Act 719 28-01-2011
Sixth Schedule Act A723 01-10-1989

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LAWS OF MALAYSIA

ONLINE VERSION OF UPDATED

STAMP ACT 1949

STAMP ACT 1949

First Enacted … … … … 1949 (F.M. Ordinance No.

Revised … … … … 1989 (Act 378 w.e.f. 2

Latest amendment made by

First Reprint … … … 2001

STAMP ACT 1949

1. Short title and application

PROVISIONS APPLICABLE TO INSTRUMENTS

Liability of Instruments to Duty

4. Instruments chargeable with duty

5. All facts and circumstances to be set out

7. Mode of paying and denoting duty

Valuation for Duty

12A. Assessment of the value of property under transfer or settlement

PROVISIONS APPLICABLE TO PARTICULAR

15. Relief from stamp duty in case of reconstructions or amalgamations of

21. Certain contracts to be chargeable as conveyances on sale

LIABILITY FOR PAYMENT OF DUTY

33. Duty by whom payable

36. Mode of adjudication as to proper stamp

36D. Finality of assessment

OF THE TIME OF STAMPING INSTRUMENTS

41. Instruments executed in Malaysia

INSTRUMENTS NOT DULY STAMPED

51. Examination and impounding of instruments

ALLOWANCE FOR SPOILED STAMPS

57. Allowance for spoiled stamps

OFFENCES AND PENALTIES

60. Not cancelling adhesive stamps

72. Penalty for hawking stamps

STAMP ACT 1949

An Act relating to stamp duties.

[Peninsular Malaysia— 5 December 1949;

Short title and application

1. (1) This Act may be cited as the Stamp Act 1949.

(2) This Act shall apply throughout Malaysia.

2. In this Act, unless the context otherwise requires—

(b) any person licensed under the Islamic Financial Services

(c) a development financial institution prescribed under the

(a) any instrument whereby a person obliges himself to pay

(b) any instrument, attested by a witness and not payable to

“charge” means any instrument whereby, for the purpose of securing

“cheque” means a bill of exchange drawn on a specified banker and

“Collector” includes the Collector of Stamp Duties and every Deputy

“continuation clause” in a policy of sea insurance made for time

“contract note” means the note sent by a dealer or agent to his

“conveyance on sale” includes every instrument and every decree or

“dealer” means any person licensed under the *Securities Industry

“die” includes any plate, type, tool or implement whatever used

“duly stamped”, as applied to an instrument, means —

(a) the instrument bears an adhesive or impressed stamp of not

(c) a stamp certificate for the proper amount or the amount of

(d) the instrument is stamped by means of digital stamping for

“equitable mortgage” means an agreement or memorandum, under

“executed” and “execution”, used with reference to instruments not

“foreign currency loan” means any loan denominated wholly in