Stamp duty is the single biggest line item in a Singapore property transaction after the price itself, and the rules are layered enough that even experienced buyers miss things. This guide covers BSD, ABSD, and SSD with current 2026 rates and the legitimate ways to reduce what you pay.
The three stamp duties
- Buyer's Stamp Duty (BSD) — paid by every property buyer, regardless of nationality or property count. Tiered.
- Additional Buyer's Stamp Duty (ABSD) — extra duty based on buyer profile and property count. The big one.
- Seller's Stamp Duty (SSD) — paid by sellers who dispose of property within 3 years of acquisition. Designed to deter flipping.
All three are payable to IRAS within 14 days of the relevant trigger event (typically OTP exercise for BSD/ABSD, sale completion for SSD).
Buyer's Stamp Duty (BSD)
BSD is tiered on the higher of purchase price or market value. The schedule changed in February 2023 to add higher tiers for high-value transactions.
| Price band | BSD rate (residential) |
|---|---|
| First SGD 180,000 | 1% |
| Next SGD 180,000 | 2% |
| Next SGD 640,000 | 3% |
| Next SGD 500,000 | 4% |
| Next SGD 1,500,000 | 5% |
| Anything above SGD 3,000,000 | 6% |
Worked example, SGD 2,000,000 residential purchase:
- 1% × 180k = SGD 1,800
- 2% × 180k = SGD 3,600
- 3% × 640k = SGD 19,200
- 4% × 500k = SGD 20,000
- 5% × 500k = SGD 25,000
- Total BSD: SGD 69,600
Non-residential property (commercial, industrial) uses a flatter schedule maxing at 5%.
Additional Buyer's Stamp Duty (ABSD)
ABSD rates are set by buyer profile, and the rates jumped sharply in April 2023. Current 2026 rates:
| Buyer profile | 1st property | 2nd property | 3rd+ property |
|---|---|---|---|
| Singapore Citizen | 0% | 20% | 30% |
| Singapore PR | 5% | 30% | 35% |
| Foreigner | 60% | 60% | 60% |
| Entity (corporate / trust) | 65% | 65% | 65% |
ABSD is computed on the full purchase price, no tiering. A foreigner buying a SGD 2M condo pays SGD 1.2M in ABSD alone — on top of the SGD 69,600 BSD.
Joint buyers pay the highest applicable rate. A citizen buying jointly with a foreign spouse pays foreigner rate (60%) on the whole transaction. There are remission paths for Singaporean spouses (see below) and treaty-based exemptions.
ABSD remission paths
Three main ways to legitimately reduce or eliminate ABSD:
- Married couple, one citizen + one foreigner/PR, buying first jointly-owned property: may apply for full ABSD refund if they sell their first matrimonial home within 6 months of completion (or the new property's TOP for new launches). Strict conditions; talk to your lawyer.
- Free Trade Agreement nationals: citizens of the US, Switzerland, Iceland, Norway, and Liechtenstein qualify for the same ABSD rate as Singapore citizens under their respective FTAs. This is the largest single optimisation most foreigners miss. Full guide here.
- Decoupling: spouse A transfers their share of an existing property to spouse B, making spouse A a "first-time buyer" for the next purchase. Saves the 20% ABSD on the second property. See decoupling vs ABSD for the maths.
Seller's Stamp Duty (SSD)
SSD applies to residential property sold within 3 years of purchase (the rule changed; properties bought before specific dates use different schedules). For residential properties bought from 11 March 2017 onwards:
| Holding period | SSD rate |
|---|---|
| Up to 1 year | 12% |
| 1 to 2 years | 8% |
| 2 to 3 years | 4% |
| 3+ years | 0% |
SSD is calculated on the higher of sale price or market value. For industrial property bought after 12 January 2013, separate schedules apply (15%/10%/5%/0%).
The 3-year line is the most important date in any seller's mental calendar. If you bought in March 2023, the SSD-free date is March 2026. Selling one day early costs you 4% of sale price.
Mortgage stamp duty (small but real)
A flat 0.4% of the loan amount, capped at SGD 500. Forgettable in the absolute sense but listed for completeness.
The four most common stamp duty mistakes
- Foreigners not checking FTA eligibility. American buyers in particular often pay 60% ABSD they didn't have to. The FTA paperwork has to be filed correctly; your conveyancing lawyer should know how, but verify.
- Couples buying jointly when one is a foreigner. Joint purchase = highest rate on the whole property. Sometimes it's cheaper to buy in the citizen spouse's name alone and gift later.
- Decoupling without modelling the all-in cost. Decoupling triggers BSD on the transferred share, plus legal fees. Sometimes the savings don't justify the cost — run the maths first.
- Selling at the 2-year-11-month mark. Four weeks of patience saves 4% of sale price (SGD 80k on a SGD 2M sale). If the market won't tolerate the wait, fine, but at least be deliberate about the decision.
The bottom line
Stamp duty is the most asymmetric line item in any Singapore purchase: knowing the rules saves you tens to hundreds of thousands; not knowing them costs the same. For most buyers, the largest single optimisation is structural (who buys, in what name, with what holding entity) rather than tactical. Decide your structure before you sign the OTP, not after.
For a personalised stamp duty assessment on a specific property and buyer profile, request a consultation.