S$2bil tax bill in Singapore land sale no issue, says TMJ

 Tunku Ismail Sultan Ibrahim says he is 'more than happy to contribute to both countries'.

Bloomberg reported that the land sale would incur a ‘land betterment charge’ of over S$2 billion, and that this was hindering negotiations between Johor regent Tunku Ismail Sultan Ibrahim and potential buyers. (Bernama pic)

PETALING JAYA:

Johor regent Tunku Ismail Sultan Ibrahim has dismissed a Bloomberg report claiming that a tax bill of over S$2 billion is impeding his plan to sell 16.6ha of land in Singapore.

The Tengku Mahkota of Johor, also known as TMJ, said he was willing to pay the amount as part of the deal.

“As a regular taxpayer, this is normal. There are no complications and I’m more than happy to contribute to both countries.

“Should make it double,” he quipped in a post on X.

Bloomberg reported that the land sale would incur a “land betterment charge” of over S$2 billion, and that this was hindering negotiations between Tunku Ismail and potential buyers.

The tax is imposed when Singapore gives planning permissions or other approvals that raise the land’s value, and is aimed at ensuring that economic benefits from the land’s development returns to the local community.

The 16.6ha of land involved reportedly includes a plot that Tunku Ismail obtained through a land swap with the Singaporean government in 2025.

In March, Singapore’s Urban Redevelopment Authority said the Johor regent had applied to develop the land for the construction of homes, including low-rise housing and mansions known as “Good Class Bungalows”.

Property analyst Nicholas Mak estimated that the land could be worth between S$3.8 billion and S$4.7 billion once rezoned for residential use. - FMT