The Court of Final Appeal (TUI) has ruled against an appeal made by a claimant for a stamp duty refund relating to a real estate transaction nullified by agreement.
As explained by the verdict, in 2008, the claimant filed an ownership transfer document with the Financial Services Bureau (DSF). The transfer cost was MOP300,000.
The land concerned was on a long-term lease and had not been used before the transaction. However, the transfer had not been approved by the government either.
At the time of the transaction, the claimant paid MOP9,450 as stamp duty. After valuation of the land, the DSF deemed that the claimant should pay additional stamp duty of MOP125,000.
Because the land has not been used since then, both parties nullified the agreement. As such, the claimant requested the DSF waive the additional stamp duty. Both the DSF and the Secretary for Economy and Finance refused the request.
The claimant then filed an appeal to the Court of Second Instance, which ruled in favor of the government, leading to the final appeal to Macau’s top court.
In addition to ruling against the claimant, the Court of Final Appeal said that the parties should have gone through judicial procedures to nullify the transaction in the first place.