13/08/2026
【BUSINESS ALERT|Latest Update on Employment Contract Stamp Duty 📢】
Attention Business Owners & HR! When does an Employment Contract require Stamp Duty?
If an employee later receives a salary increase, promotion, or allowance adjustment, does every change need to be stamped again?
Following HASiL’s latest media statement issued on 7 August 2026, businesses should take note of the updated treatment. 👇
📌 Key Points:
✅ Monthly salary of RM3,000 or below
Generally, no Stamp Duty payment or Endorsement is required.
✅ Monthly salary above RM3,000
The main focus is whether the Main / Master Employment Contract between the parties is subject to Stamp Duty requirements.
📄 What happens when an employee receives a salary increase or promotion later on?
If the relevant document is simply a subsequent adjustment to the existing employment relationship, such as:
▪️ Salary Revision Letter
▪️ Promotion Letter
▪️ Addendum
▪️ Variation Letter
▪️ Allowance Adjustment Letter
Subject to the applicable conditions, it may not be necessary to carry out Stamp Duty / Endorsement again for every subsequent employment-related change.
⚠️ HR & Business Owners, please take note!
❌ Not every employee document needs to be stamped again.
❌ Not every salary increase or promotion document can automatically be treated as exempt.
✅ The key is to consider the nature and contents of the document, and whether it is an ancillary or variation document under the original Employment Contract.
👉 Therefore, when handling Employment Contracts, businesses are advised to first determine the nature of the document and the applicable Stamp Duty requirements. This can help avoid unnecessary repeated processing and reduce compliance risks.
📌 Source:
The above information is compiled based on the media statement issued by HASiL on 7 August 2026 and is provided for general business information only. Actual tax treatment should be determined based on the applicable laws, regulations, and the latest requirements issued by HASiL.
📩 Contact us today for more information:
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