INCOME TAX (EXEMPTION) (NO. 53) ORDER 2000

INCOME TAX (EXEMPTION) (NO. 53) ORDER 2000

IN exercise of the powers conferred by paragraph 127(3) (b) of the Income Tax Act 1967 [Act 53], the Minister makes the following order:
Citation and commencement
1. (1) This order may be cited as the Income Tax (Exemption) (No. 53) Order 2000.
(2) This Order shall be deemed to have effect from the year of assessment 1997.
Interpretation
2. For the purpose of this Order-
"statutory income derived from organising conferences held in Malaysia" means fees and other payments received by a company, an association or an organisation in performing its duties as a conference promoter less allowable expenses for tax purposes and capital allowances, if any;
"conference promoter" means a company incorporated under the Companies Act 1965 [Act 125], or an association or organisation registered under the Societies Act 1966 [Act 335] performing the duties of promoting and organising conferences including the arranging of accomodation, tours and sightseeing for foreign participants;
"foreign participants" means individuals who are non-Malaysian citizens participating in conferences held in Malaysia, but does not include individuals who are non-Malaysian citizens who reside in Malaysia.
Exemption
3. (1) The Minister exempts a conference promoter resident in Malaysia from the payment of income tax in respect of the statutory income derived from organising conferences held in Malaysia.
(2) The exemption in subparagraph (1) shall not apply if the total number of foreign participants brought in by that conference promoter for conferences held in Malaysia is less than five hundred in the basis period for a year of assessment.
(3) Nothing in subparagraph (1) shall absolve or be deemed to have absolved the conference promoter from complying with any requirement to submit any return or statement of accounts or to furnish any other information under the provisions of the Act.
Keeping of separate accounts
4. A conference promoter seeking exemption under paragraph 3 shall maintain a separate account for the income derived from organising conferences held in Malaysia.
Application of paragraphs 5 and 6 of Schedule 7A
5. In relation to a company, paragraphs 5 and 6 of Schedule 7A to the Act shall apply, mutatis mutandis, to the amount of income exempted under paragraph 3.

Made 14 December 2000.
[Perb. 0. 3865/73 (SJ. 39) ; LHDN. 01/35/(S) /42/51/231-2; PN(PU2) 80/XXIX]

On behalf and in the name of the Minister of Finance;
CHAN KONG CHOY
Deputy Minister of Finance
[To be laid before the Dewan Rakyat pursuant to subsection 127(4) of the Income Tax Act 1967]