Extension of Additional Buyer’s Stamp Duty Deadline to Developers

Mr Chua Kheng Wee Louis asked the Deputy Prime Minister and Minister for Finance (a) whether an Additional Buyer's Stamp Duty (ABSD) deadline extension was granted to the developer of the Cuscaden Reserve and, if so, what is the reason for the extension and the terms and conditions associated with it; and (b) what is the number of residential projects with ABSD deadline extensions granted since the implementation of the remission of ABSD rules for developers, excluding that granted to all developers during the COVID-19 pandemic

My response will cover Oral Question 33 by Mr Louis Chua and Written Question 8 by Mr Sitoh Yih Pin on today's Order Paper. [Please refer to "Extension of Additional Buyer’s Stamp Duty Deadline to Developers", Official Report, 2 April 2024, Vol 95, Issue 133, Written Answers to Questions for Oral Answer not Answered by End of Question Time section; and "Criteria to Grant Deadline Extension for Additional Buyer's Stamp Duty for Cuscaden Reserve and Other Projects", Official Report, 2 April 2024, Vol 95, Issue 133, Written Answers to Questions section.]

Today, housing developers purchasing residential sites can qualify for an upfront remission of Additional Buyer's Stamp Duty (ABSD), if they meet the specified timelines for commencement and completion of the housing development and the sale of units within the residential development. These conditions for ABSD remission for housing developers ensure the timely commencement and completion of development and sale of residential units and encourage housing developers to bid for land prudently.

Requests for extensions to the specified timelines are considered by the Government on a case-by-case basis. I would not comment on individual cases, as the details include confidential taxpayer-specific information.

The vast majority of housing developers have met the sale timeline for ABSD remission, after taking into account the extension provided under the COVID-19 Temporary Relief Measures. A small group of developers have applied for an extension.

Excluding generally available extensions provided under the COVID-19 Temporary Relief Measures, 44 projects or 12% of projects with a sale deadline within 2021 to 2023, received an extension to their specified sale timeline. These appeals were approved as they involved extenuating circumstances, such as the developer facing site-specific delays that were unforeseen and beyond its control.