Guideline on Tax Treatment in Relation to Income from Abroad (Amendment)
Following the issuance of the Income Tax (Exemption) (No. 6) Order 2022 (Amendment) Order 2024, the Malaysian Inland Revenue Board of Malaysia has issued the above on 20 June 2024 to reflect the changes pursuant to the Amendment Order as well as the policy decision made by the Ministry of Finance. The Guideline also provides further clarifications on the qualifying conditions for the exemption on foreign dividend income. Amongst others, economic substance requirement is relaxed to allow outsourcing of specified economic activities with conditions to be met, which are similar to that provided under the exemption for gains or profits from the disposal of foreign sourced capital assets.
In this respect, we have updated the monthly tax development alert for June 2024 previously issued on 13 June 2024, with updates indicated in red.
The updated alert can be accessed via the link above.
Petaling Jaya Office
Soh Lian Seng
Partner - Head of Tax and Tax Dispute Resolution
lsoh@kpmg.com.my
+ 603 7721 7019
Ng Sue Lynn
Partner - Head of Indirect Tax
suelynnng@kpmg.com.my
+ 603 7721 7271
Tai Lai Kok
Partner - Head of Corporate Tax
ltai1@kpmg.com.my
+ 603 7721 7020
Bob Kee
Partner - Head of Transfer Pricing
bkee@kpmg.com.my
+ 603 7721 7029
Long Yen Ping
Partner - Head of Global Mobility Services yenpinglong@kpmg.com.my
+ 603 7721 7018
Outstation Offices
Penang
Evelyn Lee
Partner
evewflee@kpmg.com.my
+603 7721 2399
Ipoh
Crystal Chuah Yoke Chin
Associate Director
ycchuah@kpmg.com.my
+603 7721 2714
Kuching & Miri
Regina Lau
Partner
reglau@kpmg.com.my
+603 7721 2188
Kota Kinabalu
Titus Tseu
Executive Director
titustseu@kpmg.com.my
+603 7721 2822
Johor
Ng Fie Lih
Partner
flng@kpmg.com.my
+603 7721 2514