Income Tax (Deductions for Promotion of Export of Higher Education) Rules 2001

P.U. (A) 185...............28 June 2001

Income Tax (Deductions for Promotion of Export of Higher Education) Rules 2001

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 (Deductions for Promotion of Export of Higher Education) Rules 2001.

(2)     These Rules shall have effect for the year of assessment 1996 and subsequent years of assessment.

Interpretation

2.  For the purpose of these Rules, "a company" means a company incorporated under the Companies Act 1965 [Act 125] with the primary purpose of establishing, managing and owning a private higher educational institution which is registered with the Ministry of Education Malaysia.

Company eligible for deduction

3.  (1)     Every company which carries on the business of providing higher education in Malaysia and resident in Malaysia for the basis year for a year of assessment shall be eligible for the deduction under these Rules for that year of assessment.

(2)     A company which is eligible for a deduction under these Rules shall not be eligible for a deduction under the Income Tax (Deductions for Promotion of Export of Services) Rules 1999 [P. U. (A) 193/99].

Deductions

4.  (1)     Subject to these Rules, for the purpose of ascertaining under the Act the adjusted income of a company from its business for the basis period for a year of assessment, there shall be allowed as a deduction any outgoings and expenses of the kind described in subrule 4(2) which were incurred-

(a)  by that company during that basis period with respect to that business; and

(b)  primarily and principally for the purpose of promoting the export of higher education.

(2)     The outgoings and expenses referred to in subrule 4(1) are-

(a)  expenses incurred in respect of market research for the purpose of the export of higher education;

(b)  the cost of tender preparations for the purpose of the export of higher education;

(c)  the cost of preparing technical information for the export of higher education;

(d)  expenses by way of fares in respect of travel to a country outside Malaysia by a representative of the company being a travel necessarily undertaken for the promotion of export of higher education or participating in education fairs for the purpose of promoting the export of higher education which are held outside Malaysia and approved by the Ministry of Education Malaysia and actual expenses subject to a maximum of two hundred ringgit per day for accommodation and a maximum of one hundred ringgit per day for sustenance for the whole of the period commencing with the representative's departure from Malaysia and ending with his return to Malaysia;

(e)  expenses directly incurred for participating in education fairs for the purpose of promoting the export of higher education approved by the Ministry of Education Malaysia other than those expenses specified in paragraph 4(2) (d) ;

(f)   expenses for the cost of maintaining sales office overseas for the purpose of promoting the export of higher education; and

(g)  expenses incurred in respect of publicity and advertisement in any media outside Malaysia for the promotion of the export of higher education.

(3)     The deduction allowed under these Rules shall be in addition to any deduction allowable under section 33 of the Act.

(4)     No deduction shall be allowed under these Rules in respect of any outgoings, expenses or other payments which are-

(a)  of the kind mentioned in subsection 39(1) of the Act; or

(b)  incurred by a company having a place of business and subject to tax in the country where such outgoings and expenses were incurred.

(5)     Where the amount of any outgoings and expenses, the whole of which would have been allowable as a deduction under these Rules but for this paragraph, exceed the amount which in the opinion of the Director General would reasonably be expected to be incurred in the ordinary course of the business with respect to which those outgoings and expenses were incurred, the Director General may to the extent of that excess disallow that amount as a deduction under these Rules.

(6)     For the purpose of subrule 4(1) , where two basis periods overlap, the period common to both shall be deemed to fall in the first basis period only.

Made 7 June 2001.

[Per. 0. 3865/73(SJ14) (Vol. 3) ; LHDN. 01/35/(S) /42/51/82-11. 2; PN(PU2) 80/XXX]

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]

INCOME TAX (DEDUCTIONS FOR OVERSEAS EXPENSES FOR PROMOTION OF TOURISM)

INCOME TAX (DEDUCTIONS FOR OVERSEAS

EXPENSES FOR PROMOTION OF TOURISM)

RULES 1991

 

PU (A) 412

 

 

IN exercise of the powers conferred by section 154(1)(b) of the Income Tax Act 1967, the Minister makes the following rules :

 

RULE 1           CITATION AND COMMENCEMENT

 

1.      These Rules may be cited as the Income Tax (Deductions for Overseas Expenses for Promotion of Tourism) Rules 1991 and shall have effect for the year of assessment 1991 and subsequent year of assessment.

 

RULE 2           INTERPRETATION

 

2.      For purposes of these Rules –

 

”hotel business” means the carrying on of a business in a hotel including a motel, chalet or hostel, where such business provides sleeping accommodation and may include providing of food, drinks and other services or facilities and the granting of concessions of any part of such hotel for purposes connected with and incidental to the promotion of tourism;

 

“tour operating business” has the meaning assigned to it under the Tourist Development Corporation (Tour Operating Business and Travel Agency Business) Regulations 1985.

 

RULE 3           COMPANY RESIDENT IN MALAYSIA ELIGIBLE FOR DEDUCTION

 

3.      Every company resident in Malaysia for the basis year of a year of assessment and is carrying on –

 

(a)     a hotel business in a hotel registered with the Tourist Development Corporation of Malaysia; or

 

(b)     a tour operating business registered with the Tourist Development Corporation of Malaysia.

 

Shall be eligible for the deductions under these Rules for that year of assessment.

 

RULE 4           DEDUCTIONS

 

4(1)   Subject to these Rules, for the purpose of ascertaining under the Act the adjusted income of a company from its business for the basis period for a year of assessment, there shall be allowed as a deduction any outgoings and expenses of the kind described in paragraph (2) which –

 

(a)     were incurred by that company during that basis period with respect to that business; and

(b)     were incurred primarily and principally for the purpose of promoting tourism to Malaysia.

 

4(2)   The outgoings and expenses referred to in paragraph (1) are -

(a)     expenses incurred in respect of publicity and advertisements in any media outside Malaysia;

(b)     expenses directly attributable to the provision of brochures, magazines and guidebooks without charge of prospective tourists outside Malaysia including the cost of delivery of the brochures, magazines and guidebooks;

(c)     expenses directly attributable to carry out, with the prior approval of the Minister of Culture, Arts and Tourism, market research outside Malaysia;

(d)     expenses by way of fares in respect of travel to a country outside Malaysia by a representative of the company, being a travel necessarily undertaken for the purpose of negotiating or concluding contracts for overseas advertisements or for the purpose of participating in trade fairs, conferences or forums approved by the Minister of Culture, Arts and Tourism, and actual expenses subject to a maximum of two hundred ringgit per day for accommodation and a maximum of one hundred ringgit per day for sustenance for the whole of the period commencing with the representative's departure from Malaysia and ending with his return to Malaysia;

(e)     expenses directly attributable to the holding of overseas trade fairs, conferences or forums approved by the Minister of Culture, Arts and Tourism; and

(f)     expenses for the cost of maintaining sales office overseas for the purpose of promoting tourism to Malaysia.

 

4(3)   The deduction allowed under this rule shall be in addition to any deduction allowable under section 33 of the Act.

 

4(4)   No deduction shall be allowed under this rule in respect of any outgoings, expenses or other payments which are -

(a)     of the kind mentioned in section 39(1) of the Act; or

(b)     incurred by a company having a place of business and subject to tax in the country where such outgoings or expenses were incurred.

 

4(5)   Where the amount of any outgoings and expenses, the whole of which would have been allowable as a deduction under these Rules but for this paragraph, exceeds the amount which in the opinion of the Director General would reasonably be expected to be incurred in the ordinary course of the business with respect to which those outgoings and expenses were incurred, the Director General may to the extent of that excess disallow that amount as a deduction under these Rules.

 

4(6)      For the purpose of paragraph (1), where two basis periods overlap, the period common to both shall be deemed to fall in the first basis period only.

INCOME TAX (DEDUCTIONS FOR FREIGHT CHARGES) RULES 1990

INCOME TAX (DEDUCTIONS FOR FREIGHT CHARGES) RULES 1990

 

PU (A) 422

 

 

IN exercise of the powers conferred by section 154(1)(b) of the Income Tax Act 1967, the Minister makes the following rules:

 

RULE 1      CITATION AND COMMENCEMENT

 

1.      These Rules may be cited as the Income Tax (Deductions for Freight Charges) Rules 1990 and shall have effect for the year of assessment 1991 and subsequent years of assessment.

 

RULE 2      DEDUCTIONS

 

2(1)   Subject to these Rules, for the purposes of ascertaining the adjusted income of a person from a business under this Act, there shall be allowed as a deduction any freight charges incurred by him in respect of rattan and wood-based products exported by him.

 

2(2)   The deduction under these Rules shall be in addition to any deduction allowable under section 33 of the Act.

 

RULE 3      SATISFACTION OF CONDITION TO QUALIFY FOR DEDUCTION

 

3.      In order to qualify for a deduction under Rule 2, the person claiming the deduction must be engaged in the manufacture of rattan and wood-based products referred to in that Rule.

 

RULE 4      INTERPREATATION

 

4.         For purposes of these Rules rattan and wood-based products exclude sawn timber and veneer.

INCOME TAX (DEDUCTIONS OF INSURANCE PREMIUMS FOR EXPORTERS)

INCOME TAX (DEDUCTIONS OF INSURANCE PREMIUMS FOR EXPORTERS)

RULES 1995

 

PU (A) 79

 

IN exercise of the powers conferred by subsection 154(1) of the Income Tax Act 1967, the Minister makes the following rules :

 

PARAGRAPH 1         CITATION AND COMMENCEMENT

 

1          These Rules may be cited as the Income Tax (Deductions of Insurance Premiums for Exporters) Rules 1995 and shall have effect for the year of assessment 1995 and subsequent years of assessment.

 

PARAGRAPH 2         DEDUCTION

 

2(1)      For the purposes of ascertaining the adjusted income of a person from a business under the Act, there shall be allowed a deduction any premium allowable under section 33 of the Act payable in respect of insurance of cargo exported by that person provided the risks are insured with any insurance company incorporated in Malaysia.

 

2(2)      The deduction under these Rules shall be in addition to any deduction allowable under Section 33 of the Act.

 

 

Made the 22nd February 1995.

INCOME TAX (DEDUCTIONS FOR PARTICIPATION IN AN APPROVED INTERNATIONAL TRADE FAIR) RULES 1991

INCOME TAX (DEDUCTIONS FOR PARTICIPATION IN AN APPROVED INTERNATIONAL TRADE FAIR) RULES 1991

 

PU (A) 361

 

 

IN exercise of the powers conferred by section 154(1)(b) of the Income Tax Act 1967, the Minister makes the following rules :

 

RULE 1           CITATION AND COMMENCEMENT

 

1   These Rules may be cited as the Income Tax (Deductions For Participation In An Approved International Trade Fair) Rules 1991 and shall have effect for the year of assessment 1992 and subsequent years of assessment.

 

RULE  2          DEDUCTIONS

 

2(1)   Subject to rule 3, for the purpose of ascertaining the adjusted income of a company under the Act, there shall be allowed as a deduction any expenditure incurred by the company for participating in an approved international trade fair held in Malaysia for the promotion of exports.

2(2)   The deduction under these Rules shall be in addition to any deduction allowable under section 33 of the Act.

 

RULE 3           SATISFACTION OF CONDITIONS TO QUALIFY FOR DEDUCTION

 

3   In order to qualify for a deduction under rule 2, the company claiming the deduction must satisfy the following conditions :

(a)     the trade fair must be an international trade fair approved by the Minister of International Trade and Industry;

(b)     the company must be approved by the Minister of International Trade and Industry to participate in the international trade fair; and

(c)     the expenditure incurred in participating in the international trade fair must be of a kind allowable under section 33 of the Act but excludes the cost of exhibits.

 

Made the 23rd September 1991.

INCOME TAX (DEDUCTIONS FOR THE EMPLOYMENT OF DISABLED PERSONS ) RULES 1982

INCOME TAX (DEDUCTIONS FOR THE EMPLOYMENT OF DISABLED PERSONS ) RULES 1982

 

PU (A) 73

 

IN exercise of the powers conferred by subsection (1) of section 154 of the Income Tax Act 1967, the Minister makes the following Rules:

 

RULE 1           CITATION AND COMMENCEMENT

 

1          These Rules may  be cited as the Income Tax (Deduction for the Employment of Disabled persons) Rules 1982 and shall have effect for the year of assessment 1982 and subsequent years of assessment.

 

RULE 2           DEDUCTIONS

 

2(1)   Subject to Rule 3, for the purpose of ascertaining the adjusted income of a person under the Act, there shall be allowed as a deduction the remuneration of a kind allowable under section 33 of the Act payable by him to each employee who is physically or mentally disabled.

2(2)   The deduction allowed under these Rules shall be in addition to any deduction allowable under section 33 of the Act.

 

RULE 3           SATISFACTION OF CONDITION TO QUALIFY FOR DEDUCTIONS

 

3          In order to qualify for a deduction under paragraph (1) of Rule (2), the person claiming the deduction shall prove to the satisfaction of the Director-General that the employee is physically or mentally disabled and is not able to perform the work of a normal person.

 

 

Made the 2nd March 1982.

INCOME TAX (DEDUCTIONS OF INSURANCE PREMIUMS FOR IMPORTERS) RULES 1982

INCOME TAX (DEDUCTIONS OF INSURANCE PREMIUMS FOR IMPORTERS) RULES 1982

 

PU (A) 72

 

IN exercise of the powers conferred by subsection (1) of section 154 of the Income Tax Act 1967, the Minister makes the following Rules:

 

RULE 1           CITATION AND COMMENCEMENT

 

1   These Rules may be cited as the Income Tax (Deductions of Insurance Premiums for Importers) Rules 1982 and shall have effect for the year of assessment 1982 and subsequent years of assessment.

 

RULE 2           DEDUCTIONS

 

2(1)   For the purpose of ascertaining the adjusted income of a person from a business under the Act, there shall be allowed as a deduction any premium of a kind allowable under section 33 of the Act payable in respect of insurance of cargo imported by that person provided the risks are insured with any insurance company incorporated in Malaysia.

2(2)   The deduction under Rules shall be in addition to any deduction allowable under section 33 of the Act.

 

 

Made the 2nd March, 1982.

INCOME TAX (PROMOTION OF EXPORTS) (AMENDMENT) RULES 2001

INCOME TAX (PROMOTION OF EXPORTS) (AMENDMENT) RULES 2001

 

 

In exercise of the powers conferred by subsection 41(3) of the Promotion of Investments Act 1986 [Act 327], the Minister makes the following rules:

                                                                                                                                                                                                                                   

Citation and commencement

 

1.      These rules may be cited as the Income Tax (Promotion of Exports) (Amendment) Rules 2001 and shall be deemed to have come into operation on 1 January 2001.

 

Amendment of paragraph 4(2)

 

2.      The Income Tax (Promotion of Exports) Rules 1986, contained in the Schedule to the Act, are amended in paragraph 4(2) -

 

(a)     by substituting for the full stop at the end of subparagraph (j) a semicolon; and

 

(b)     by inserting after subparagraph (j) the following subparagraph:

 

"(k) professional fees incurred in packaging design on condition that the goods are of export quality and the company employs local professional services. ".

 

Made 24 May 2001.

[CR(8. 20) 116/1-138 (2001) Vol. 3 (Sk. 1) (3) ; PN(PU2) 451/V]

 

              On behalf and in the name of the Minister of Finance,

 

CHAN KONG CHOY

Deputy Minister of Finance

INCOME TAX (DEDUCTIONS FOR PROMOTION OF EXPORT OF SERVICES) RULES 1999

 

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 (Deductions for Promotion of Export of Services) Rules 1999.

(2)     These Rules shall have effect for the year of assessment 1996 and subsequent years of assessment.

Company eligible for deduction

2.  Every company resident in Malaysia for the basis year for a year of assessment shall be eligible for the deduction under these Rules for that year of assessment.

Deductions

3.  (1)     Subject to these Rules, for the purpose of ascertaining under the Act the adjusted income of a company from its business for the basis period for a year of assessment, there shall be allowed as a deduction any outgoings and expenses of the kind described in subparagraph (2) which-

(a)  were incurred by that company during that basis priced with respect to that business; and

(b)  were incurred primarily and principally for the purpose of promoting the export of services.

(2)     The outgoings and expenses referred to in subparagraph (1) are-

(a)  expenses incurred in respect of market research for the purpose of the export of services;

(b)  the cost of tender preparations for the purpose of the export of services;

(c)  the cost of preparing technical information for the export of services;

(d)  expenses by way of fares in respect of travel to a country outside Malaysia by a representative of the company being a travel necessarily undertaken for the promotion of export of services and actual expenses subject to a maximum of two hundred ringgit per day for accommodation and a maximum of one hundred ringgit per day for sustenance for the whole of the period commencing with the representative's departure from Malaysia and ending with his return to Malaysia;

(e)  expenses for the cost of maintaining sales office overseas for the purpose of promoting the export of services; and

(f)  expenses incurred in respect of publicity and advertisement in any media outside Malaysia for the promotion of the export of services.

(3)   The deduction allowed under these Rules shall be in addition to any deduction allowable under section 33 of the Act.

(4)   No deduction shall be allowed under these Rules in respect of any outgoings, expenses or other payments which are-

(a)  of the kind mentioned in subsection 39(1) of the Act; or

(b)  incurred by a company havings a place of business and subject to tax in the country where such outgoings or expenses were incurred.

(5)     Where the amount of any outgoings and expenses, the whole of which would have been allowable as a deduction under these Rules but for this paragraph, exceed the amount which in the opinion of the Director General would reasonably be expected to be incurred in the ordinary course of the business with respect to which those outgoings and expenses were incurred, the Director General may to the extent of that excess disallow that amount as a deduction under these Rules.

(6)     For the purpose of subparagraph (1), where two basis periods overlap, the period common to both shall be deemed to fall in the first basis period only.

 

Made 20 April 1999

[Perb. 0.3865/73 (SJ 14) (Vol. 2); LHDN. 01/35/(S)/42/51/82-36.1; PN(PU2)80/XXVI]

 

DATO' MUSTAPA BIN MOHAMED

Second Minister of Finance

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

Income Tax (Deduction For Freight Charges From Sabah Or Sarawak To Peninsular Malaysia) Rules 2000

Income Tax (Deduction For Freight Charges From Sabah Or Sarawak To Peninsular Malaysia) Rules 2000

 

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 Freight Charges from Sabah or Sarawak to Peninsular Malaysia) Rules 2000.

(2)     These Rules shall have effect for the year of assessment 2000 in respect of the basis period ending in the year 2000 and subsequent years of assessment.

Interpretation

2.  In these Rules, "freight charges" means ship freight charges incurred by manufacturers for the shipment of their manufactured goods from Sabah or Sarawak to any port in Peninsular Malaysia.

Deduction

3.  For the purposes of ascertaining the adjusted income of a person from his business for the basis period for a year of assessment, there shall be allowed, in addition to any deduction allowable under section 33 of the Act, a further deduction equal to the amount of any freight charges incurred in that basis period.

Made 26 January 2000.

[Perb. R(8. 20) 116/1-138 (2000) (SK. 11) ; LHDN. 01/35/(S) /42/51/82-35. 1; PN(PU2) 80/XXVII]

 

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)