Amarjeet Singh Serjit Singh J:

Introduction

[1] In this judgment, the sections or schedules mentioned refer to the Stamp Act 1949.

[2] The issue in this case was whether the Novation Agreement ("the Agreement") dated 1 January 2022 is to be assessed for nominal duty under Item 4 or ad valorem duty under Item 32 of the First Schedule.

[3] On 25 September 2025, I allowed the plaintiff's, Mesra Retail & Cafe Sdn Bhd, stamp duty appeal under s 39(4) allowing a declaration that the Notice of Stamp Duty Assessment (ad valorem duty) dated 14 September 2023 (the Notice") is null and void and an order that RM7,468.00 being the excess stamp duty paid to the defendant, the Collector of Stamp Duties ("Collector"), is refunded with interest at the rate of 3% on the said sum from the date the payment was made to the Collector. I held that the applicable stamp duty is RM10.00 under item 4 of the First Schedule.

[4] My reasons for the decision are as stated below.

Background

[5] The facts are not in dispute and are as follows:

(a) Petronas Dagangan Berhad ("PDB") is the owner of the petrol station building, structures, equipment, and other ancillary facilities. PDB had entered into 4 operating agr