“The stamp duty tax hike could impact sentiment on Bursa Malaysia in the near term and dampen its global competitiveness. Local and foreign institutions as well as retail investors will be hard hit resulting from the proposed increase in the rate of stamp duty from 0.1% to 0.15% and the complete removal of the stamp duty cap. The association has proposed to retain the stamp duty rate at 0.1%, with a slightly higher cap above the current cap of RM200, instead of a complete abolishment. It is not possible to expect the industry to implement the stamp duty hike with no cap,” he adds. Another industry player opines that ASCM should send an official letter to the Ministry of Finance to request the reinstatement of the stamp duty cap.

Source: The Edge Markets December 20, 2021 14:04 UTC