23/05/2026
99-1 Property Arrangement in Singapore
What is 99-1 ?
It is when a property is bought with one person owning 99% and the other 1% (as tenants-in-common). Many use it to try to reduce Additional Buyer’s Stamp Duty (ABSD).
[Big Risks]
• High chance of IRAS audit - They actively check these arrangements.
• Relationship disputes - If you break up, the 1% owner may fight for more share (as seen in this case).
• Court may not help - If the main reason was to avoid tax, the court may reject your claims.
• Financing & future problems - Banks and future sales can become complicated.
[Tax Evasion Risks & Penalties]
• IRAS sees many 99-1 deals as tax avoidance.
If caught:
• Pay the full ABSD you tried to avoid (can be 20% or more of property price).
◦ +50% surcharge.
◦ Possible fines and jail time (recent cases sent convicts to prison).
• Even if you win in court against your ex, you can still lose to IRAS.
[Genuine Legal Ways]
99-1 is not automatically illegal if done properly:
[Legitimate reasons]
• One person really paid 99% of the money (with clear proof).
• Honest estate planning or family arrangements.
[Safer options]
1 Buy fully under one person’s name (the one with lower ABSD rate).
2 Do a real decoupling later - properly transfer ownership and pay correct duties.
3 Use a proper family trust (set up by a lawyer).
4 Pay full ABSD upfront if buying jointly.
[Important Advice]
• Always document real financial contributions.
• Get advice from a lawyer and tax advisor before doing anything.
• Never do it just to save on ABSD.
[Bottom line]
99-1 is risky and often backfires. Many people regret using it. Always follow the law properly to avoid big losses and legal trouble.
This is general information only - not legal advice. Rules can change. Consult professionals for your situation.
