1. What is Tenancy Agreement Stamping Fee?

The Tenancy Agreement Stamping Fee is a mandatory fee charged by the Malaysian government for stamping tenancy agreements. This legal requirement validates the agreement and makes it admissible as evidence in court.

2. How Does the Calculator Work?

The calculator uses the stamping fee formula:

Where:

• \( \text{Annual Rent} \) — Total annual rental amount (RM)
• \( 250 \) — RM threshold for calculation
• \( \text{Rate} \) — Rate per 250 RM (RM)
• \( 10 \) — Duplicate fee (RM)

Explanation: The formula calculates the stamp duty based on the annual rental value, with a fixed duplicate fee added to the calculated amount.

3. Importance of Stamping Fee Calculation

Details: Proper calculation of stamping fees ensures legal compliance, prevents disputes, and provides legal protection for both landlords and tenants under Malaysian law.

4. Using the Calculator

Tips: Enter the annual rent in RM and the applicable rate per 250 RM. Ensure all values are positive numbers for accurate calculation.

5. Frequently Asked Questions (FAQ)

Q1: Why is stamping necessary for tenancy agreements?
A: Stamping makes the agreement legally enforceable in court and is required by the Stamp Act 1949 in Malaysia.

Q2: What happens if I don't stamp my tenancy agreement?
A: Unstamped agreements cannot be used as evidence in court and may incur penalties including fines and late payment charges.

Q3: When should I stamp my tenancy agreement?
A: Tenancy agreements must be stamped within 30 days of execution to avoid penalty charges.

Q4: Are there different rates for different rental periods?
A: Yes, stamp duty rates may vary based on the rental period and agreement type. Always check current LHDN rates.

Q5: Can I calculate stamping fees for commercial properties?
A: This calculator is designed for residential tenancy agreements. Commercial properties may have different calculation methods.