INCOME TAX (ACCELERATED CAPITAL ALLOWANCES) (RECYCLING OF WASTES) RULES 2000

INCOME TAX (ACCELERATED CAPITAL ALLOWANCES) (RECYCLING OF WASTES) RULES 2000

IN exercise of the powers conferred by paragraph 154(1) (b) and section 42 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 (Accelerated Capital Allowances) (Recycling Of Wastes) Rules 2000.
(2) These Rules shall have effect from the year of assessment 2001.
Application
2. These Rules shall apply in respect of the qualifying plant expenditure incurred on the provision of plant or machinery for the purposes of the business of a manufacturing company which are used exclusively or otherwise for the recycling of wastes or for the further processing of the wastes into a finished product.
Interpretation
3. For the purposes of these Rules, "qualifying plant expenditure" means capital expenditure incurred under paragraph 2 Schedule 3 to the Act.
Initial allowance
4. The initial allowance under paragraph 10 of Schedule 3 to the Act shall be equal to two-fifths of the qualifying plant expenditure.
Annual allowance
5. The annual allowance under paragraph 15 of Schedule 3 to the Act shall be equal to one-fifth of the qualifying plant expenditure.
Non-application
6. These Rules shall not apply to a company -
(a) for the period during which the company has been granted any incentives (except for deductions for promotion of exports) under the Promotion of Investment Act 1986 [Act 327];
(b) for the period during which the company has been given reinvestment allowance under Schedule 7A to the Act.

Made 29 December 2000.
[Perb. CR (8. 20) 116/1-138 (2001) Vol. 3 (SK. 1) ; LHDN. 01/35/(S) /42/51/231-19; 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 154(2) of the Income Tax Act 1967]