Allowable loss in RPGT TPC =E2=80=93 General Q6=
10/08/2018= 10/08= /2018 Thomas Sim PEA2066
What is allowable loss in RPGT?<= /span>

When a property is sold, real property= gains tax is a taxation on the gains for the transaction. On the other han= d, if a property is sold with a loss, this loss is allowable loss.

Take for example,

Disposal price =3D RM550,000

Acquisition price =3D RM600,000=

Allowable loss =3D RM550,000 - RM600,0= 00 =3D RM50,000.

What do you do with this allowable los= s in RPGT? This loss can be used to offset other transactions in the same y= ear, or carried forward to the future year.

Take for example,

Property A =3D Gains RM80,000

Property B =3D Loss RM50,000

Net Gains =3D RM80,000 - RM50,000 =3D = RM30,000.

This gains will be levied with RPGT.

Hence, if you have one property which = is sold at a loss, plan for this offset when you can make profits with othe= r properties. This is to take advantage of the available means under the RP= GT Act, 1976.