Massive tax bill clouds sale of Singapore land by Malaysian king’s son
The tax owned is estimated to be over S$2 billion
A Malaysian royal's attempt to sell a prime plot of land in Singapore faces significant financial hurdles due to a potentially massive tax bill. The son of Malaysia's billionaire king, Ismail Ibrahim, wants to sell 16.6 hectares of land, including property obtained through a 2025 land swap with Singapore. The land, situated near the UNESCO World Heritage Site Botanic Gardens, is earmarked for residential development.
However, the Singapore Land Authority has imposed a land betterment charge that could exceed US$1 billion, potentially reaching S$2.5 billion to S$2.7 billion, depending on estimates. This tax is levied when the government grants planning permissions that boost land value. The current owner insists that buyers must cover this cost, creating a major obstacle for potential purchasers.
Property analysts estimate the land's value could range from S$3 billion to S$4.7 billion if rezoned for development. While Ismail's representatives are actively seeking buyers globally, the uncertainty surrounding government approval timelines adds to the complexity.
Written by urgent.news from The Business Times - Singapore's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
