According to the Office of the Tax Commissioner, stamp duty represents a charge on legal instruments as specified under the various Heads of Charge in the Stamp Duties Act 1976 (“the Act”).
Leased contracts will not hold up in a court of law unless they have been duly stamped. Real estate agencies thereby require that all Landlords and Tenants have their leases stamped. Although the norm is for both parties to share the cost of stamp duty equally, alternative payment options can be agreed to between Landlord and Tenant.
The amount of stamp duty on a rental lease is based on the monthly rental amount. The rates that are currently in effect are summarized in the table below: