Finance (No. 2) Act 2014 chapter iV — AMENDMENTs TO ThE REAL PROPERTY GAiNs TAx AcT 1976

commencement of amendments to the real Property Gains tax act 1976

s 27

sections 28 and 29 come into operation on 1 January 2015. amendment of section 21b

s 28

The Real Property Gains Tax Act 1976, which is referred to as the “principal Act” in this chapter, is amended in subsection 21b(1) by substituting for the word “two” the word “three”. amendment of schedule 2

s 29

schedule 2 to the principal Act is amended— (a) i n s u b p a r a g r a p h 4 ( 3 ) , b y s u b s t i t u t i n g f o r subsubparagraph (d) the following subsubparagraph: “(d) the market value of the asset as at the date of the death of the deceased person referred to in subparagraph 19(3)”; and (b) by substituting for paragraph 12 the following paragraph: “Gifts 12. (1) subject to subparagraph (2), where a donor disposes an asset by way of a gift to a recipient, the disposal shall be deemed to be a disposal at the market value of the asset. (2) Where the donor and recipient referred to in subparagraph (1) are husband and wife, parent and child, or grandparent and grandchild— (a) the donor shall be deemed to have received no gain and suffered no loss on the disposal; (b) in the case of a donor who is not a citizen or permanent resident, the recipient shall be deemed to acquire the asset at an acquisition price equal to the acquisition price paid by the donor plus the permitted expenses incurred by the donor; and (c) in the case of a donor who is a citizen or permanent resident and the gift is made within five years after the date of acquisition by the donor, the recipient shall be deemed to acquire the asset at an acquisition price equal to the acquisition price paid by the donor plus the permitted expenses incurred by the donor.”. DICETAK OLEH PERCETAKAN NASIONAL MALAYSIA BERHAD, KUALA LUMPUR BAGI PIHAK DAN DENGAN PERINTAH KERAJAAN MALAYSIA