Income Tax (Deduction for Benefit and Gift from Employer to Employee) Rules 2009

Income Tax (Deduction for Benefit and Gift from Employer to Employee) Rules 2009

In exercise of the powers conferred by paragraph 154(1)(b) of the Income Tax Act 1967 [Act 53], the Minister makes the following rules:

Citation and commencement

1. (1) These rules may be cited as the Income Tax (Deduction for Benefit and Gift from Employer to Employee) Rules 2009.

(2) These Rules shall have effect from the year of assessment 2008 and subsequent years of assessment except for paragraph 2(1)(b).

(3) Paragraph 2(1)(b) shall have effect from the year of assessment 2008 until the year of assessment 2010.

Deduction

2. In ascertaining the adjusted income of a person resident in Malaysia from its business in the basis period for a year of assessment, there shall be allowed as deduction expenses incurred by such person in respect of the following benefit and gift to his employees:

(a) payment of monthly bill for subscription of broadband, fixed line telephone, mobile phone or pager issued in the name of the employee or in the name of such person as the employer;

(b) travelling allowance, petrol card or petrol allowance provided for employees from home to place of work and from place of work to home; and

(c) personal digital assistant, telephone, mobile phone or pager.


Made 6 April 2009

[Perb. CR(8.09)294/6/4-9 (Sj. 9)(2009)(Sk. 7); LHDN 01/35/(S)/42/51/231-17.10; PN(PU2)80/LVI]

Tan Sri Nor Md bin Yakcop
Second Minister of Finance

[To be laid before the Dewan Rakyat pursuant to subsection 154(2) of the Income Tax Act 1967]