Secretarial fee and tax filling fee

From YA 2006 - YA2014, secretarial fee and tax fee disallowed for a claim of the tax deduction.

Tax deduction allowed for:

a. YA 2015 onwards, secretarial fee incurred and paid in respect of secretarial services provided by a registered company secretary to comply with statutory requirements under the Companies Act 1965 (up to RM5,000 per year);

b. YA 2016 onwards, tax fee incurred and paid for preparation and submission of return in the prescribed forms for the purposes of S. 77, S.77A, S. 77B, S.83 and S.86 of the ITA 1967.

c. YA 2015 onwards, tax fee incurred and paid for preparation and submission of forms prescribed for the purposes of S. 41 of the Goods and Services Tax Act 2014 (GST Act 2014).

Note: The combined deduction limit for (b) and (c) is up to RM10,000 per YA.

For more detail, kindly refer to your tax agent or LHDN website.

Exemptions of Real Property Gains Tax (RPGT)

RGPT Rates

With effect from 1 Jan 2019, a. Company - 10% will be imposed for a holding period exceeding 5 years.

b. Individual (Malaysian citizens or PR) - 5% for a holding period exceeding 5 years.

c. Individual (not Malaysian or PR) - 10% for a holding period exceeding 5 years.

RPGT exemptions are available in the following circumstances which under the RPGT Act 1976:

1. An individual will be given an exemption equal to RM10,000 or 10% of the chargeable gain, whichever is greater.

2. An individual who is a Malaysian citizen or a PR will be given a once in a lifetime exemption on any chargeable gain arising from the disposal of his private residence if he elects in writing for the exemption to apply to that private residence.

3. Transaction in which the disposal price is deemed equal to acquisition print (No gain no loss transaction).

a. Devolution of a deceased person's assets to his trustee or legatee.

b. Transfer between spouse provided that the disposer is a citizen.

c. Transfer of assets owned by an individual, his wife or by an individual jointly with his wife or with a connected person to a company controlled by the individual, his wife or by an individual jointly with his wife or with a connected person, for a consideration consisting substantially (more than 75%) of shares in that company, provided that thew disposers are citizen.

d. Transfer between an individual and a nominee who has no vested interest in the assets.

e. Transfer by way of security in or over an asset.

f. Gifts to the Government, local authority or charity exempt from income tax.

g. Disposal due to compulsory acquisition.

h. Disposal of chargeable assets pursuant to an approved financing scheme which is in accordance with Syariah principles.

4. Gifts between husband and wife, parent and child or grandparent and grandchild are deemed to be "No gain no loss" transaction, provided that the donor is a citizen of Malaysia.

5. Transfer between companies

a. Transfer within the same group to bring about greater efficiency and for a consideration consisting substantially of shares in the transferee company.

b. Transfer between companies for the purposes of reorganisation, reconstruction or amalgamation where the transfer company is being restructured to comply with the Government's policy on capital participation in the industry.

c. Assets distributed by a liquidator under a scheme of reorganisation, reconstruction or amalgamation where the transfer company is being restructured to comply with the Government's policy on capital participation in the industry.

For more detail, please refer to LHDN Malaysia website.