GEORGE TOWN, May 9 -- The penalty for late payment of quit rent and parcel rent will now be based only on the annual tax amount instead of the total arrears, said Penang Chief Minister Chow Kon Yeow.

He said the state executive council decided in a meeting on February 7 this year to review the calculation of late payment penalties for quit rent and parcel rent in Penang as it previously involved penalties being imposed arrears owed.

"The late payment penalties in Penang will be calculated based on the annual tax and will not involve the total arrears owed and overall late penalty arrears," he said in a statement issued today.

Therefore, landowners who pay their quit rent and parcel rent after June 1 will only be imposed a penalty of 10...