ABSD Explained Singapore (2026): Current Rates & Buyer Profile Rules

Last updated: 7 Mar 2026

The Additional Buyer’s Stamp Duty (ABSD) is a property tax levied on top of standard Buyer's Stamp Duty (BSD). This guide acts as your macro rulebook for ABSD rates, buyer profile classifications, and statutory exemptions.

(If you are a married couple upgrading to a new home using a buy-first-sell-later strategy and need to claim a refund, please jump directly to our ABSD Remission Process & Timeline Playbook.)

1. What is ABSD and Who Pays It?

ABSD is a tax levied strictly on the purchase of residential properties in Singapore. It depends on two critical factors:

1. Your Residency Profile: Are you a Singapore Citizen (SC), Singapore Permanent Resident (SPR), Foreigner (FR), or an Entity (Company/Trust)?
2. Property Count: How many residential properties do you already own globally at the time of purchase? (IRAS assesses property ownership globally).

2. ABSD Rates by Buyer Profile

The following provides the structural breakdown of how ABSD scales based on your profile:

• Singapore Citizens (SC):
  • First Property: 0% ABSD.
  • Second Property: Heavy taxation (historically 20%).
  • Third and Subsequent: Punitive taxation (historically 30%).
• Singapore Permanent Residents (SPR):
  • First Property: Base ABSD applies (historically 5%).
  • Second Property: Very heavy taxation (historically 30%).
  • Third and Subsequent: Punitive taxation (historically 35%).
• Foreigners (FR):
  • Any Property: Extremely punitive flat rate (historically 60%).
• Entities & Trusts:
  • Any Property: Subject to the highest possible ABSD tier (65%+).

Mixed Profiles: If a property is purchased jointly by buyers of different profiles (e.g., an SC and an SPR), the highest applicable ABSD rate among the buyers will apply to the entire purchase price.

3. Exemptions to the ABSD Rule

The FTA Exemption

Under respective Free Trade Agreements (FTAs), Nationals and Permanent Residents of Iceland, Liechtenstein, Norway, Switzerland, and Nationals of the United States of America are accorded the exact same stamp duty treatment as Singapore Citizens (0% on first property).

Decoupling (Private Property Only)

If a married couple jointly owns a resale condo as "Tenants in Common," they can execute a "part-purchase" where one spouse buys out the other’s share. The exiting spouse now officially owns zero properties and can purchase as a "first-time buyer" without incurring ABSD.

4. Frequently Asked Questions (Rates & Exemptions)

1. Does ABSD apply to commercial or industrial properties? No. ABSD is strictly levied on residential properties. If you purchase a shophouse (fully commercial), you are only liable for standard Buyer’s Stamp Duty (and potentially GST). Note: If the shophouse has a residential component, ABSD applies to that portion's value.

2. I am inheriting a property. Do I pay ABSD on the inheritance? If you inherit a residential property according to a valid will, ABSD is generally not payable on the transfer. However, this inherited property now counts towards your global property count. If you decide to buy another home, it will be treated as your second property.

3. What if I own a commercial property and want to buy a residential home? Commercial properties do not count toward your residential property quota. You will be treated as a first-time homebuyer for ABSD purposes.

4. How is ABSD calculated if the purchase price is lower than the market value? Like BSD, ABSD is calculated on the higher of the purchase price or the officially assessed market value.

Sources

• Inland Revenue Authority of Singapore (IRAS) - ABSD Rates & Exemptions: www.iras.gov.sg

Related Guides

• Stamp Explained Duty
• Stamp Absd