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What happened? A married couple — Singapore Permanent Residents Patil Prafulla Vasudeo and Patil Chitra Prafulla — are suing a PropNex subsidiary salesperson, a PropNex Realty agent, and Anthony Law Corporation for S$367,405. They allege all three parties breached their duty of care by advising them to use a 99-1 property arrangement that turned out to be illegal stamp duty avoidance. What is a 99-1 arrangement? A 99-1 deal is a two-step property purchase structure where one buyer initially purchases 99% of a property, then sells 1% to a second buyer. It was marketed as a way to reduce the Additional Buyer's Stamp Duty (ABSD) payable. •At the time of purchase (2022), Singapore PRs buying a second property paid 25% ABSD on the full price. •Under the 99-1 scheme, the first buyer paid 25% ABSD on only 1% of the purchase price (as it was treated as their second property), while the second buyer paid only 5% ABSD (treated as a first property purchase). •The couple claimed the agent told them this was legal, legitimate, and commonly used by other clients. How did the couple get caught? •In April 2023 — nine months after purchase — news articles appeared about IRAS investigating 99-1 arrangements. •They approached their agent Chin, who allegedly reassured them the arrangement was legal and would only be pursued in cases occurring after the news articles. •In January 2026 — more than three years after purchase — IRAS notified them that their transaction was considered illegal stamp duty avoidance. •In December 2025, just a month before the IRAS notice, they received an email from Anthony Law Corporation flagging the potential stamp duty implications and attaching an indemnity document. How much did they owe? •Total tax bill: S$367,405 •This comprised: 25% ABSD liability of S$312,100, less S$67,163 already paid, plus stamp duty from the second step, and a 50% surcharge of S$122,468. Who are they suing and why? •Salesperson Chin Ming Min — for misrepresenting that the 99-1 deal was legal and not informing them it could be construed as illegal stamp duty avoidance. •PropNex (agency) — for failing to ensure the agent was well-versed in property law, and for not having proper systems to supervise agents and provide ongoing training. •Anthony Law Corporation — for failing to advise at the time of the 2022 transaction that the 99-1 arrangement might constitute illegal stamp duty avoidance. ⚠️ BUYER ALERT: IRAS has the authority to investigate and assess any attempt to reduce or avoid stamp duties, even years after the transaction. Sum It All This case is a wake-up call for every property buyer in Singapore. A deal that seems to save you money on stamp duty can come back years later with a hefty bill plus surcharges — and those who advised you may not be held fully responsible. Always get independent legal advice before any unconventional property structure, and never rely solely on your agent's word that something is 'legal and commonly done'.