Penang allows quit rent payments in instalments for struggling ratepayers

2026-03-12 - 08:44

Penang chief minister Chow Kon Yeow explaining the quit rent rates during a press conference in Komtar. GEORGE TOWN: Penang ratepayers struggling to pay this year’s quit rent in a lump sum can now opt to do so in instalments, says chief minister Chow Kon Yeow. Chow said the instalment option is available upon approval by the state land administrator. Applications for this year’s payment plan must be submitted by May 31, while applications for subsequent years must be filed before April 30 annually. “The period and rates of the instalment payments will be decided by the land administrator based on the merits of the applications,” Chow told a press conference. He added that although ratepayers can pay in instalments, all payments must be completed within the year to ensure the state’s cash flow for government operations is not affected. The instalment option was among the measures approved by the state executive council yesterday, after deliberating on 1,025 appeals submitted to district and land offices across Penang following this year’s quit rent hikes. The exco also decided that owners of land lots allotted for housing projects that have yet to begin could appeal to the land administrator for possible tax reductions. It also agreed that tax rates would be based on actual land size rather than the minimum tax rate for cases involving multiple land lots. For schools, non-profit organisations, and religious and welfare bodies that submitted appeals, the exco decided that nominal tax rates imposed before the 2026 review would remain at RM50, subject to changes in current land use or the latest state government decision. Chow also announced a significant reduction for durian plantations, lowering the quit rent rate from RM800 per ha to RM80 per ha for 730 land lots covering 2,265ha, resulting in RM1.6 million in relief. “I once again urge all landowners affected (by the rate hike) to file their appeals to all land offices for consideration,” he added.