31 October, 2019
Income tax
The Income Tax (Capital Allowance) (Development Cost for Customised Computer Software) Rules 2019 were gazetted on 3 October 2019 and were stated to have have effect from the year of assessment 2018.
The Inland Revenue Board of Malaysia (“IRB”) has recently issued Operational Guideline No. 5/2019 on “Pengenaan Penalti Di Bawah Subseksyen 112(3) Akta Cukai Pendapatan 1967, Subseksyen 51(3) Akta Petroleum (Cukai Pendapatan) 1967 dan Subseksyen 29(3) Akta Cukai Keuntungan Harta Tanah 1976” (available in Malay language only) on 16 October 2019 to replace Operational Guideline No. 1/2015 dated 5 March 2015.
Service tax
The following regulations and order have been gazetted on 30 September 2019:
- Service Tax (Digital Service) Regulations 2019 – Parts II and V as well as Regulations 17 and 18 have come into operation on 1 October 2019 while Parts III, IV and VI except for Regulations 17 and 18 shall come into operation on 1 January 2020; and
- Service Tax (Rate of Digital Services Tax) Order 2019 – this Order shall come into operation on 1 January 2020.
Finance Bill 2019
The Finance Bill 2019 was tabled for first reading in Parliament on 15 October 2019. More details on the same will be set out in our next Tax Update.
For further information, please contact:
Abhilaash Subramaniam, Shearn Delamore & Co
abhi@shearndelamore.com
