Ukraine: Parliament approves ratification of DTA with Malaysia
On 18 August 2017 the Ukrainian Government approved the ratification of the Double Taxation Agreement (DTA) with Malaysia. The agreement was signed on August 4, 2016 during Ukrainian President Petro Poroshenko's official visit to Malaysia. Under the
See MoreMalaysia to impose tourism tax from September 2017
The Malaysian government is going ahead with its tourism tax to be imposed from 1 September at a flat rate of MYR10 (USD2.33). Earlier it had been expected that the levy would apply from either July 1 or August 1; that it would be a progressive
See MoreMalaysia: IRBM updates the guidelines for transfer pricing
The Inland Revenue Board of Malaysia (IRBM) had recently announced new updates and changes to the Transfer Pricing Guidelines 2012 (“TPG 2012”). The Malaysian Transfer Pricing Guidelines explain the provision of Section 140A in the Income Tax
See MoreMalaysia plans to impose Tourism Tax from July 2017
The Malaysian government is going ahead with its tourism tax to be imposed from July 1, 2017. Under the new tax, hotel guests will be charged between RM2.50 and RM20 for every night’s stay, depending on the classification of the hotel. According
See MoreMalaysia: IRBM issues amended tax audit framework for 2017
The Inland Revenue Board of Malaysia (IRBM) issued an amended tax audit framework on 1 May 2017. The aim the amended framework is to ensure that tax audits are carried out in a fair, transparent and impartial manner. The framework outlines the
See MoreMalaysia: IRBM proposes to impose 100% penalty for undeclared income and incorrect information
The Malaysian Inland Revenue Board (MIRB) published a media statement on 16 May 2017 regarding clarification of imposing 100% penalty for failure to declare income and correct information which will be implemented with effect from 1 January
See MoreMalaysia: Government releases income tax exemption order for 2017-2018
The government released an Exemption Order (the Order) on 10 April 2017 providing a temporarily reduction in corporate income tax rates based on incremental taxable income compared to the preceding year of assessment. The “Income Tax (Exemption)
See MoreMalaysia: IRB issues guideline for submission on e-Filing of Form CP204 AND CP204A
The Inland Revenue Board of Malaysia (IRBM) has recently announced that mandatory e-filing is required for companies which furnish their estimated tax payable (Form CP204) and Revised Estimation (Form CP204A) for the year of assessment 2018 and
See MoreMalaysia joins BEPS global implementation frameworks
According to a statement of the Ministry of Finance released on 27 January 2017, Malaysia joined the inclusive framework for the global implementation of the Base Erosion and Profit Shifting (BEPS) Project. The inclusive framework was proposed by
See MoreMalaysia: IRBM issues rules on country-by-country reporting rules (CbCR Rules)
The Inland Revenue Board of Malaysia issued the income tax (Country-by-Country Reporting) rules (“CbCR Rules”) on 23 December 2016 which came into effect on 1 January 2017. The CbC rules apply to Malaysian-parented multinational corporate groups
See MoreMalaysia: Penalty for failure to furnish country-by-country report (CbCR)
The Finance Act 2016, which was gazetted on 16 January 2017, introduced penalty provision for failure to furnish country-by-country report. A new Section 112A of the Income Tax Act 1967 is introduced to address the implications on person who fails
See MoreMalaysia: Corporate tax proposals under the finance act 2016
The Finance Act 2016, which was gazetted on 16 January 2017, introduces new corporate tax proposals to the Malaysian Income Tax Act (MITA). The highlighted area of the proposals is as given below; Special classes of income are subject to withholding
See MoreMalaysia: IRBM issues rules on automatic exchange of financial account information
Inland Revenue Board of Malaysia (IRBM) issued rules on automatic exchange of financial account information on 23 December 2016. The several legislations were introduced on that date including the Income Tax (Multilateral Competent Authority
See MoreMalaysia: Finance Act 2017 enacted
The Finance Bill 2016 was enacted as Finance Act 2017 on 16 January 2017. The enacted Finance Act 2017 reduces the corporate tax for the year of assessment 2017 and 2018. The reduced tax rate will be between 1 and 4 percentage points for companies
See MoreChina, Malaysia exchange of letters to DTA enters into force
On 1 November 2016, the exchange of letters to Double Taxation Agreement (DTA) between China and Malaysia entered into force and this exchange of letters was applied as of 1 November
See MoreMalaysia: Budget for 2017
The Malaysian Prime Minister announced Malaysia’s 2017 budget on 21 October 2016 highlighting some tax measures including corporate and personal income taxation changes. Highlighting proposals include important changes to the withholding tax
See MoreMalaysia: Government plans to reduce corporate tax rate in Budget 2017
The Budget for 2017 proposed to reduce the corporate tax for the year of assessment 2017 and 2018. As per the proposal, the reduce tax rate will be between 1 and 4 percentage points for companies with significant increase in taxable income for year
See MoreMalaysia: Tax incentives regarding ventures capital industry
The Inland Revenue Board of Malaysia has issued Public Ruling No. 2/2016 (PR 2/2016) on 9 May 2016 regarding tax incentives in relation to the venture capital industry in Malaysia. A venture capital company (VCC) that invests in a venture company is
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