The Inland Revenue Board has issued a press release, clarifying its position on stamp duty treatment for employment contracts ahead of the phased roll-out of the Self-Assessment System for Stamp Duty (STSDS) from 1 January 2026.
The key points are set out below:
| Date Contract Finalised | Stamp Duty | Late-stamping Penalty |
| Before 1 January 2025 | Exempt | Remitted |
| 1 January – 31 December 2025 | Payable | Remitted, if stamped on or before 31 December 2025 |
| From 1 January 2026 | Payable | Applies, if not stamped within 30 days |
What employers should do now:
- Review all existing employment contracts to identify those signed but never stamped.
- Stamp contracts finalised in 2025 by 31 December 2025 to enjoy penalty remission.
- Put procedures in place so that any contract signed on or after 1 January 2026 is stamped within 30 days to avoid penalties.
- Review other related or ancillary employment documents and establish if they are subject to duty and whether the abovesaid treatment applies.
In view of the upcoming STSDS commencing 1 January 2026, businesses are strongly encouraged to undertake a comprehensive review of all executed instruments, especially those potentially subject to ad valorem stamp duty, and systems should be established to identify, assess, and stamp dutiable instruments on a timely basis moving forward.
Read the full media release here:
If you have any questions, please contact our Tax Practice Group.