Question

Home Financing

I understand that stamp duty can be paid by CPF. However, I also heard that stamp duty must be paid upfront in cash first, followed by a refund from CPF. Is this true and if yes, how long does it take to be refunded?

Asked by mojo Jun 10, 2009 • 24636 views

4 Answers

Jo Tan

Replied Jun 11, 2009

Hi Mojo,

Yes you heard right - stamp duty must be paid by cash first before being refunded from your CPF account. It usually takes 1-2 weeks to effect the withdrawal.

Hope it helps. Please feel free to prompt me if you should need any further clarifications or advise.

Thank you!
Best regards,
Jo Tan
Tel: 900 100 45
Email: jo.property@ymail.com
Website: www.jo.myweb.sg

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Lester T.

Replied Jun 15, 2009

Stamp-duty can actually be paid by CPF.

But as part due to the anti-speculation measures introduced by our government, it is now required to be paid at the point of exercising the contract (which is usually 2 weeks' time) instead of the past 2-3mths.

As drawing down funds from CPF is a lengthy process, this really depends on your lawyer and CPF's response speed.

So usually to play safe, in case the draw-down is not fast enough, you are to have the equivalent cash amount ready to handle this.

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Lester T.

Replied Jun 15, 2009

Stamp-duty can actually be paid by CPF.

But as part due to the anti-speculation measures introduced by our government, it is now required to be paid at the point of exercising the contract (which is usually 2 weeks' time) instead of the past 2-3mths.

As drawing down funds from CPF is a lengthy process, this really depends on your lawyer and CPF's response speed.

So usually to play safe, in case the draw-down is not fast enough, you are to have the equivalent cash amount ready to handle this.

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PropertyGuru · Accepted Answer · 2020-08-25T12:07:10+0800

Hi mojo, thanks for writing to us on AskGuru.

You will need to use cash to pay the stamp duty within 2 weeks of exercising the sale and purchase agreement or the Option to Purchase (OTP). Subsequently, you can apply for a one-time reimbursement from your CPF account together with your application to use your CPF savings to buy a property. Depending on the response time from your lawyer and the CPF board, drawing funds from your CPF account can be a lengthy process. More details here: https://www.cpf.gov.sg/members/FAQ/schemes/housing/housing-scheme/FAQDetails?category=housing&group=Housing+Scheme&ajfaqid=2185416&folderid=11314

Hope this answers your question.

Best Regards,

Team PropertyGuru