Category: Taxation
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Taxation on Foreign Source Income
BackgroundPrior to 31 December 2021, foreign source income (“FSI”) received in Malaysia by an individual or company carrying out business other than banking, insurance, or sea or air transport was exempt from income tax. However, the Malaysian government amended the tax law in December 2021 to restrict this exemption to only apply to non-residents. With…
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New Corporate Tax Rates (Year of Assessment 2023)
Finance Bill 2023 had its first reading in Parliament recently. If it passes the second reading and becomes law, these corporate tax rates will apply: a. The statutory tax rate for companies will remain at 24%. b. Companies that meet the definition of micro, small and medium enterprises (MSME) or commonly known as SMEs would…
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Budget of Malaysia 2023
Key Points for SMEs 1. Small and medium enterprises in YA2023 will save up to RM3,000 with a reduced tax rate of 15% on the first RM150,000 of their income. Here is the new tax table for SMEs in YA2023: Chargeable Income Tax Rate First RM150,000 15% RM 150,001 to RM 600,000 17% RM600,001 and…
SH Chin & Co 