Additional Buyer’s Stamp Duty (ABSD) for foreigners — Complete 2026 guide
Additional Buyer’s Stamp Duty is a tax charged on top of Buyer’s Stamp Duty when you acquire residential property in Singapore, and for foreigners the rate is a flat 60% on any purchase. It is computed on the higher of price or market value and must be paid within days of the agreement. This 2026 guide sets out the rates by buyer profile, the Free Trade Agreement exemptions, the remissions, and the traps to avoid.
Little Big Employment Agency (EA Licence 19C9790) works with a panel of corporate and employment law firms; this article is general information, not legal or financial advice.
What Additional Buyer’s Stamp Duty is
Additional Buyer’s Stamp Duty (ABSD) is imposed under the Stamp Duties Act 1929 in addition to Buyer’s Stamp Duty (BSD) on the purchase of residential property. It is a cooling measure that scales with the buyer’s residency status and the number of residential properties already owned. ABSD is calculated on the higher of the purchase price or the market value.
ABSD rates by buyer profile in 2026 (numerical specifics)
The rates have held since 27 April 2023 and no change was announced in Budget 2026:
- Foreigner — 60% on any residential property, first or otherwise.
- Singapore Permanent Resident — 5% on the first, 30% on the second, 35% on the third and subsequent.
- Singapore Citizen — 0% on the first, 20% on the second, 30% on the third and subsequent.
- Entity (company or trust) — 65%, with an additional non-remittable charge for housing developers.
ABSD sits on top of BSD, which itself rises from 1% to 6% across the residential price tiers — the full BSD ladder is set out in our cross-site companion on stamp duty for foreigners.
Free Trade Agreement exemptions
Certain nationals receive the same stamp-duty treatment as Singapore Citizens by virtue of Free Trade Agreements: nationals of the United States (under the US-Singapore FTA), and nationals and Permanent Residents of Iceland, Liechtenstein, Norway and Switzerland (under the EFTA-Singapore FTA). A qualifying buyer therefore pays 0% on a first property, 20% on a second and 30% on a third — not the 60% foreigner rate.
Payment timeline
ABSD is payable within 14 days of the date of the document if it is executed in Singapore, or within 30 days if executed overseas. Late payment attracts penalties from IRAS. Buyers should hold the ABSD in cash and cleared funds before exercising an option, because the duty cannot be financed by the housing loan.
Remissions worth knowing
A married couple with at least one Singapore Citizen spouse buying a second residential property may apply for ABSD remission if they sell their first residential property within six months of the purchase (or of the issue of the temporary occupation permit for an uncompleted property). Trust purchases attract the 65% entity rate, though ABSD (Trust) remission may apply where conditions on identifiable beneficial owners are met. These remissions are conditional and time-bound; confirm eligibility before relying on them.
Step-by-step: planning for ABSD
- Confirm your residency status and FTA position to fix your rate.
- Count your existing Singapore residential properties.
- Compute ABSD on the higher of price or valuation, and add BSD.
- Set aside the combined duty in cash before exercising the option.
- Pay within the 14 or 30-day window and keep the stamp certificate.
Common mistakes and gotchas
The biggest errors are budgeting on price rather than the higher valuation, assuming a first-property foreigner escapes ABSD (they do not — it is 60% regardless), missing the payment window, and using “99-to-1” or decoupling structures that IRAS may treat as avoidance and claw back with surcharges. Relocating buyers weighing whether to hold via an entity should note the 65% rate and the ongoing compliance — our cross-site notes on Singapore Budget 2026 and nominee director services for foreigners are useful background.
FAQs
How much ABSD does a foreigner pay in 2026? 60% on any residential property purchase, on the higher of price or market value.
Is ABSD payable on a foreigner’s first home? Yes. The 60% rate applies regardless of how many properties the foreigner owns.
Which nationals are exempt from the 60% rate? US nationals and nationals and PRs of Iceland, Liechtenstein, Norway and Switzerland are treated as Singapore Citizens under FTAs.
When must ABSD be paid? Within 14 days if the document is signed in Singapore, or 30 days if signed overseas.
Can ABSD be remitted? In limited cases — for example, a citizen couple buying a second home and selling the first within six months, subject to conditions.
Related guides and authorities
Stamp duty is administered by the Inland Revenue Authority of Singapore (IRAS); residency status is governed by the Immigration and Checkpoints Authority (ICA).
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.