Sec 4(e) Pension

Represent contractual or voluntary payments made to an individual who has retired or ceased to hold an office

Pension is derived where:

a. payment is by the government

b. a person has a right to a pension

c. the person paying a voluntary pension is resident in Malaysia.

Exemption of pension

- Subject to the following conditions:

a. the pension is derived from Malaysia

b. the recipient is resident in the basis year

c. the retirement was due to ill health

d. the retirement was due on attaining the age of 55

- Pension paid to:

a. president, deputy president

b. Speaker, deputy speaker

c. member of the state legislative assembly

d. wound and disability pensions paid to members of Malaysia armed forces

e. pensions grated to widows and orphans under written law or an approved.