In this paper, we present a technique that is known as Residual Sign Prediction in Transform Domain (TDRSP) and is aimed at increasing compression performance by reducing the bits overhead of residue sign. These signs are typically coded by entropy coders in bypass mode that results in the high cost of sign bins which require 1 bit per bin in a bitstream. TDRSP allows us to reduce this cost by predicting residue signs so that the probability of a guess is significantly higher than 50%. Hence, arithmetic coding with contexts becomes applicable to the signs. In contrast to Residual Sign Prediction (RSP) performed in spatial domain, TDRSP avoids switching between domains and carries out calculations completely in transform domain to efficiently decrease the computational complexity of RSP. Simulations performed on top of Versatile Video Coding test model reference software (VTM-1.0) in accordance with the Joint Video Experts Team common test conditions show that more than 2.0% and up to 1.8% of the Bjøntegaard Delta rate can be achieved for All Intra and Random Access configurations, respectively.