Tenancy Agreement
Stamp Duty Calculator
for KL Office Leases

Stamp duty on a tenancy agreement in Malaysia is charged on the annual rent: RM1 for every RM250 (or part of it) on a term of one year or less, RM3 for more than one and up to three years, RM5 for more than three and up to five years, and RM7 beyond five years. The old RM2,400 exemption no longer applies. Since 1 January 2026, the duty is self-assessed and paid through LHDN’s e-Duti Setem on MyTax.

For an office lease, the rent in that calculation is the total rent: base rent plus service charge. Enter the monthly figure or a psf rate and the size, choose the term, and the calculator shows every step of the working.

Stamp duty rates on tenancy agreements in 2026

The rate depends only on the length of the term. It applies to every RM250 of annual rent, and any remainder counts as a full RM250. Thus, an annual rent of RM480,100 is 1,921 units, not 1,920.4.

The first RM2,400 of annual rent used to be exempt. That deduction has been removed, so older calculators and templates that still subtract it understate the duty. Where the rent changes during the term, the duty is calculated on the average annual rent across the whole term.

Service charge counts as rent for office stamp duty

For an office tenancy, stamp duty is calculated and paid on the total rent, meaning base rent plus service charge. This is the single largest difference from a residential calculation, where there is usually one flat rent and nothing else.

Many KL towers already quote rent inclusive of service charge. Menara Maxis, Permata Sapura and Vista Tower are examples, so the quoted figure is the base for the duty. Where a building quotes the two separately, add them together before calculating. SST at 6% is a separate charge on top of rent and service charge; see SST on office rental in KL.

Worked examples for a 5,000 sq ft office

Three-year term at RM40,000 a month

The annual rent is RM480,000 (RM40,000 × 12). Divided by RM250, that is 1,920 units. At RM3 for a term over one and up to three years, the duty is RM5,760, plus RM10 for one duplicate copy: RM5,770 in total.

Stepped rent: RM40,000 for two years, RM42,000 in year three

The rent over the term totals RM1,464,000, so the average annual rent is RM488,000. That is 1,952 units at RM3, or RM5,856, plus RM10 for the copy. A step-up late in the term therefore adds less duty than the headline increase suggests.

Term length matters: three years plus an option, or six years

On the same RM40,000 a month, a straight six-year term falls in the RM7 band: 1,920 units × RM7 = RM13,440. A three-year term with an option to renew is stamped on the first fixed term only, so it stays in the RM3 band: RM5,760. The renewal term is not part of the calculation. The term structure you agree in the heads of terms changes the upfront duty, so it is worth deciding before the agreement is drafted.

Deadline, penalties and who pays

A tenancy agreement must be stamped within 30 days of signing. Stamping within three months after the deadline costs RM50 or 10% of the duty, whichever is higher. After three months, the penalty is RM100 or 20%, whichever is higher. On the three-year example above, a late payment adds at least RM576.

Under the Stamp Act 1949, the tenant pays the duty on the original agreement and the landlord pays the RM10 on the duplicate. The lease can allocate this differently, so check the stamp duty clause at heads of terms stage. An unstamped agreement cannot be used as evidence in court until it is stamped and the penalty paid. LHDN explains the self-assessment process on its Stamp Duty Self-Assessment System page.