Malaysia Master Tax Guide 2020 launched!

Our latest Malaysia Master Tax Guide 2020 is up for sale! Thanks to our Consultant editor, Mr K. Sandra Segaran and our technical advisor, Dr Veerinderjeet Singh, our latest Master Tax Guide, updated for all law changes up till 1 February 2020 would be able to assist readers on the following:-

• Preparation on income tax return 
• Gives readers a clear understanding of their tax liabilities and entitlements 
• Helps to understand and mitigate the risk of non-compliance and unnecessary penalty exposure
• Helps to understand current tax laws and incorporates the latest tax changes made in the 2020 Budget
• Gives readers an understanding on investment incentives in detail with specific examples. 

Buy your copy today! https://lnkd.in/fssdJgQ

Lochana Nanthacumar

Content Management Analyst

Wolters Kluwer Malaysia 

Covid-19 and Malaysia's Economic Stimulus Package

Malaysia has confirmed a total of 22 cases as of 25 February 2020 and so far 20 patients have recovered. In order to treat Covid-19 suspected and positive cases, The Ministry of Health had expedite Covid-19 screening at 48 hospitals and announced 26 referral hospitals. The Government started taking stricter control measures after discovering the 14th case which occurred through a human-to-human transmission. 

The most affected sectors in Malaysia are the Travel and Tourism and associated sectors such as accommodation (Hotels) as they have been getting a lot of cancellations from tourists ever since the outbreak. Bank Negara Malaysia announced that the Covid-19 outbreak will affect Malaysia's economic growth in Q1 2020. 

Analyst and industry players hopes that the Government will introduce a stimulus package to stimulate Malaysia's economy and lighten any adverse repercussions from the Covid-19 outbreak. A stimulus package is soon to be announced and the followings are some of the proposed measures by experts: 

 * EPF contribution rate reduction for affected sectors. 

 * Incentives and Tax rebates for affected sectors. 

 * Discounts for affected sectors. 

 * Stimulus package for the services and manufacturing sector to boost economic growth. 

 * Reduction in borrowing cost.

Let's hope for some exciting measures to be announced in the upcoming stimulus package. 

Lochana Nanthacumar

Content Management Analyst

Wolters Kluwer Malaysia 

Taxation On Digital Services

This article is written by Lee Hishamuddin and Gledhill (LHAG) and was first published in their SST e-Alert in October 2019. Reproduced with permission from LHAG.

Effective from January 2020, there will be a 6% of service tax imposed on digital services in Malaysia  for both local and foreign service providers in order to comply with Malaysia's new Sales and Service tax. The Royal Malaysian Customs Department (Customs) recently issued a Guide on Digital Service Tax (Guide) to assist FSPs. This alert highlights some of the key points that FSPs should consider in assessing their liability prior to the implementation.The service tax is also applicable to online platforms that carry out transactions on behalf of overseas service providers but do issue invoice or any other document under their name.