Additional Buyer’s Stamp Duty (ABSD) for foreigners — Eligibility and requirements checklist
Additional Buyer’s Stamp Duty is the single largest cost most foreigners face when buying Singapore residential property. Additional Buyer’s Stamp Duty for foreigners is charged at 60 per cent of the purchase price or market value, on top of the ordinary Buyer’s Stamp Duty. This checklist explains who pays, the current rates by residency, the exemptions, and the documents you need to get the calculation right.
Little Big Employment Agency (EA Licence 19C9790) works with a panel of corporate and employment law firms; this article is general information, not legal advice.
What ABSD is
ABSD is a stamp duty levied in addition to Buyer’s Stamp Duty on the acquisition of residential property, introduced as a property-cooling measure. It is administered by the Inland Revenue Authority of Singapore under the Stamp Duties Act 1929, and the amount depends on the buyer’s residency status and the number of residential properties already owned.
Current rates by residency
Singapore citizens pay no ABSD on a first residential property, 20 per cent on a second, and 30 per cent on a third and subsequent. Permanent Residents pay 5 per cent on a first property, 30 per cent on a second, and 35 per cent on a third and subsequent. Foreigners pay 60 per cent on any residential property purchase. Entities pay 65 per cent, and housing developers face a further layer. These figures reflect the rates in force since the April 2023 revision.
Who this is for
It is for foreign buyers budgeting a purchase, couples of mixed residency working out whose name to use, and new PRs timing their first home. Because ABSD turns on status at the date of the transaction, planning the sequence of events can materially change the bill.
Eligibility, exemptions and the FTA relief
Under Singapore’s free-trade agreements, nationals and Permanent Residents of the United States, and nationals of Iceland, Liechtenstein, Norway and Switzerland, are accorded the same stamp-duty treatment as Singapore citizens. Married couples may qualify for an ABSD refund where a jointly-owned first property is sold within the prescribed period after buying a replacement. Section 4 of the Stamp Duties Act 1929 is the charging provision for duty on instruments, and the ABSD rates sit in the subsidiary legislation made under that Act.
Documents required and the numbers to check
Prepare your passport and residency documentation, the Option to Purchase, and evidence of any existing property holdings. To estimate the duty, apply Buyer’s Stamp Duty on the tiered scale (up to 6 per cent) and then add the ABSD percentage for your status. On a S$2,000,000 condominium, a foreigner would face roughly S$69,600 in Buyer’s Stamp Duty plus S$1,200,000 in ABSD — a total of about S$1,269,600 in duties alone, which is why the calculation must be done before signing.
Common mistakes and gotchas
Buyers frequently forget that ABSD is assessed on the higher of price or market value, misjudge their status on the transaction date, or miss the tight window for the married-couple refund. Purchasing through a company does not avoid ABSD and usually increases it — see additional conveyance duties for property-holding entities. If you are considering a Singapore company for other reasons, our colleagues explain Pte Ltd registration for foreigners, and if you are relocating, sequence the move with our relocation playbook.
FAQs
How much ABSD does a foreigner pay? 60 per cent of the purchase price or market value, whichever is higher, on residential property.
Are any foreigners exempt? Nationals and PRs of the US, and nationals of Iceland, Liechtenstein, Norway and Switzerland are treated as Singapore citizens under the relevant free-trade agreements.
Does ABSD apply to commercial property? No. ABSD applies to residential property; commercial property is not subject to ABSD.
Can I claim an ABSD refund? A married couple may qualify for a refund where the first property is sold within the prescribed period after buying a replacement.
Where is the official rate table? On the Inland Revenue Authority of Singapore website; residency status is administered by the Immigration and Checkpoints Authority, and public-housing rules by the Housing and Development Board.
Need help with this? Call, SMS or WhatsApp +65 8501 7133, or email [email protected]. Little Big Employment Agency (EA Licence 19C9790) works with a panel of corporate and employment law firms; this article is general information, not legal advice.