Commencement of amendments to the Stamp Act 1949
s 63
(1) Sections 64, 65, 66, 67 and paragraphs 68(a), (b), (c) and (e) commence on the coming into operation of this Act. (2) Paragraph 68(d) comes into operation on 1 January 2019.
Finance Act 2018 chapter IV — AMENDMENTS TO THE STAMP ACT 1949
Amendment of section 2
s 64
The Stamp Act 1949, which is referred to as the “principal Act” in this Chapter, is amended in section 2— (a) by substituting for the definition of “banker” the following definition: ‘ “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];’; and (b) by substituting for the definition of “small and medium enterprise” the following definition: ‘ “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;’.
Amendment of section 9
s 65
Section 9 of the principal Act is amended— (a) by subsituting for subsection (1) the following subsection: “(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.”; and (b) in subsection (6), by substituting for the words “as mentioned under paragraph 1(a), (b) or (c)” the words “under subsection (1)”.
Amendment of section 15
s 66
Section 15 of the principal Act is amended— (a) by substituting for the words “nominal share capital” wherever appearing the words “issued share capital”; (b) by deleting subsection (2); (c) in subsection (5)— (i) in paragraph (b), by substituting for the words “two years” the words “three years”; and (ii) in paragraph (c), by substituting for the words “two years” the words “three years”; and (d) by inserting after subsection (6) the following subsection: “(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.”.
Amendment of section 15a
s 67
Section 15a of the principal Act is amended— (a) by substituting for subsection (2) the following subsection: “(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 per cent 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.”; (b) in subsection (4)— (i) in paragraph (c)— (A) by inserting after the word “company” the words “within the period of three years from the date of the conveyance or transfer,”; and (B) by substituting for the comma at the end of paragraph (c) the words “; or”; and (ii) by inserting after paragraph (c) the following paragraph: “(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,”; and (c) by inserting after subsection (4) the following subsections: “(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.”.
Amendment of First Schedule
s 68
The First Schedule to the principal Act is amended— (a) by deleting item 10; (b) in item 22— (i) by substituting for subitem (1) the following subitem: “(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 The same ad period so that the valorem duty as a total amount to be charge or mortgage ultimately payable can for such total be ascertained amount. (b) for the term of life or any other indefinite period— for every RM100 RM1.00 and also for any fractional part of RM100 of the annuity or sum periodically payable ”; and (ii) in subitem (6), by inserting after the words “in accordance with the” the words “conventional hire purchase and”; (c) by inserting after item 29 the following item: “29a CONSTITUTION OF A RM200.00”; COMPANY (d) in subitem 32(a), in the column Proper Stamp Duty— (i) in item (iii), by substituting for the words “RM500,000.” the words “RM500,000 but not exceeding RM1,000,000;”; and (ii) by inserting after item (iii) the following item: “(iv) RM4.00 on any amount in excess of RM1,000,000.”; and (e) by deleting item 53.
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Provisions on this page are reproduced verbatim from official open data. See the attribution line.
Source: Laws of Malaysia, Attorney General's Chambers of Malaysia (lom.agc.gov.my). Not a copy of the Gazette printed by the Government Printer (Interpretation Acts 1948 and 1967, s 61).
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