Penang keeps up penalty exemption over land tax arrears until May 31

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KUALA LUMPUR, Feb 28 — The Penang state government has extended the full exemption on overdue land tax and parcel tax penalties until May 31, 2025. This decision was made during a state executive council meeting earlier this week following an initial announcement in December 2024. “With this, the state government hopes that all landowners and parcel owners in Penang will be able to settle the payments,” Penang Chief Minister Chow Kon Yeow said in a statement.According to the Penang Land and Mines Office, there are 86,337 accounts with outstanding parcel tax, totalling RM13.9 million in arrears. The Northeast District recorded the highest number of defaulters, with 37,400 parcel owners still owing tax payments. The exemption is automatically applied to all land and parcel taxpayers, including those who have received Penalty Notice 6A (land tax) or Notice 11 (parcel tax). However, the exemption does not apply to taxpayers who opt for instalment payments or those who settled their penalties before the exemption period. From January 2 to February 21, the number of taxpayers who settled their dues increased by 14 per cent, totalling 17,168 accounts compared to the same period last year. During the same time frame, tax collection rose by 25 per cent (RM4.4 million), while penalty waivers surged by 46 per cent, amounting to RM88,637. Taxpayers can settle their dues at district land offices or online via the PgLAND portal.