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Govt to double real property gains tax to rein in house prices
KOTA KINABALU: The government will double the real property gains tax (RPGT) from the current 15% as a last resort to rein in house prices nationwide, Urban Wellbeing, Housing and Local Government Minister Datuk Abdul Rahman Dahlan said.
He said any decision towards this direction would however be done after detailed discussions with Bank Negara.
“We will impose the increase if it is found to be really needed,” said Rahman, the Kota Belud MP, after breaking fast with Taun Gusi villagers in the northern district on Sunday.
He said the government had at one time fixed the RPGT at 30% and those who bought and sold a property within two years were required to pay a tax of that amount.
Rahman said any increase in the RPGT would help control speculators who were contributing to the steep hikes in property prices.
“It is obvious this is happening when you see a newly launched housing project sold out but there are numerous advertisements for the units when construction is completed,” he noted.
Rahman said his ministry was organising a one-day workshop after Hari Raya to formulate ways to keep house prices in check.
Silence the flippers? Typical Malaysian just talk not action.