Singapore: IRAS releases 8th edition guide on additional conveyance duties

This guide outlines the Additional Conveyance Duties (ACD) introduced on 11 March 2017, covering their treatment and calculation for acquiring or disposing of equity interests in property-holding entities (PHEs) primarily owning Singapore residential properties.

The Inland Revenue Authority of Singapore (IRAS) has released the eighth edition of its e-Tax Guide, titled “Stamp Duty: Additional Conveyance Duties on Property-Holding Entities,” on 4 July 2025.

This guide explains the Additional Conveyance Duties (“ACD”) that came into effect on 11 March 2017, detailing the treatment of ACD and how to calculate ACD on the acquisition or disposal of equity interest in property-holding entities (“PHEs”) whose primary tangible assets are Singapore residential properties.

The Additional Conveyance Duty (ACD) applies to qualifying acquisitions and disposals of equity interest in property-holding entities (PHEs) on or after 11 March 2017. Its purpose is to address the stamp duty rate difference between direct and indirect acquisition or disposal of residential properties through an entity. Under the ACD rules, a qualifying acquisition or disposal of equity interest in a PHE is treated as a transfer of interest in the underlying residential properties. As a result, ACD is charged in addition to any share duty that may apply on the acquisition or disposal of equity interest in a company.

ACD does not apply if you and your associates do not hold a significant interest in the PHE after the acquisition.

For acquisitions or disposals of equity interest in PHEs held on trust, ACD applies just as it does for any other acquisition or disposal of equity interest in a PHE. Since 10 May 2022, if the equity interest is held in trust for a beneficiary who is not a bare trust beneficiary (a “non-bare trust beneficiary”), the trustee is considered the beneficial owner of the equity interest. This means the equity interests owned by the trustee’s associates are counted when determining whether the trustee holds a significant interest. When the trustee later distributes or transfers the equity interest to the non-bare trust beneficiary, that transfer will be subject to ACD and share duty if it qualifies as a qualifying acquisition or disposal on the date of the transfer.