By Chan Wei Chao (REN 39846), Team Leader, Bricksmen Team · IQI Realty Sdn. Bhd. · Updated 10 November 2026
Former Chief Minister Lim Guan Eng has again urged the Penang government to review its new quit rent (cukai tanah) rates, saying the state’s reserves are strong enough to avoid steep increases. Speaking at a press conference on 7 November 2026, Lim said quit rent can go up, “but the increase must at least be reasonable”.
What Lim said
- Reserves: the state’s consolidated revenue account reserves stood at about RM616 million, higher than two years ago, so the state does not need such steep increases.
- Review and pause: he asked the state to review the new rates, suspend the new policy during the review, and set an adjustment mechanism that considers owners’ ability to pay.
- Non-profit land: he asked for charities, temples and schools, which often rent out land next to their buildings to fund their work, to get the RM50 symbolic rate.
- Appeals: his office has received about 3,000 quit rent appeals and handled more than 2,000.
The state’s position
| Item | Details |
|---|---|
| Timing | The state has postponed the increase to the end of next year |
| How quit rent is set | Chief Minister Chow Kon Yeow said it depends on the land’s use category, title conditions and type of ownership |
| RM50 symbolic rate | Not automatic for all land. 8,707 titles already enjoy it, and 628 appeals are pending, the Chief Minister told the state assembly |
Lim questioned why the 628 pending cases could not be approved when 8,707 titles already receive the symbolic rate. The quit rent revision has been debated since early 2026, after some owners reported very large increases.
What it means for property owners
Quit rent is a yearly cost of owning land in Penang, for both landed homes and strata properties. How much you pay depends on the land’s size, use category and title conditions.
- Check your new quit rent bill against last year’s, and check the land use category on your title.
- Appeal if the amount looks wrong. Contact the land office for your district.
- Buying land or landed property? Ask the seller for the latest quit rent bill and include it in your yearly holding costs, together with assessment tax and maintenance.
Frequently asked questions
Has Penang’s quit rent increase taken effect?
The state has postponed the increase to the end of next year.
Who qualifies for the RM50 symbolic rate?
It depends on the land’s use, title conditions and ownership. It is not automatic. 8,707 titles currently enjoy it.
What is Lim Guan Eng asking for?
A review of the new rates, a pause while the review takes place, and the symbolic rate for land owned by charities, temples and schools.
Questions about holding costs?
I can help you estimate the yearly costs of a property before you buy. WhatsApp or call +60 10-313 9113.
Sources
This article is general information based on published reports as of 10 November 2026. Quit rent depends on each title; check with your district land office. It is not legal or tax advice.