Property Hunter Magazine October Issue 2014 | Page 80
52 53 |
Contributor
/// Banking and Investment News
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BANKING &
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INVESTMENT
How Will the GST Affect Rental Income?
“Look at the tenancy agreement, its resident or
user, and activities. If purely residential, then there
is no charge,” Yong says. “But if the unit is used as
an office, the owner is responsible for declaring
for GST if his rental income from commercial
properties exceed RM500,000.”
Serviced apartments, which bear either residential
or commercial title, will also be assessed based on
their usage.
This is due to the fact that serviced apartments
are naturally a dwelling place. Even the sale of a
serviced apartment that is used as a residence will
not incur GST.
NEWS
Ultimately, it helps to remember the direct corelation between the rental and sale of real estate
when it comes to GST.
The banking and investment industry has a crucial role
t