In November 2021, the Malaysian Inland Revenue Board (“MIRB”) introduced a Special Income Remittance Programme (“SIRP”) for the remittance of foreign sourced income into Malaysia from 1 January 2022 to 30 June 2022. Subsequently, the Ministry of Finance (“MOF”) has made an announcement to provide certain exemptions for foreign source income received by resident persons in Malaysia effective from 1 January 2022.
Following the above, the MIRB has issued a media release to terminate the SIRP, effective from 11 March 2022. Nonetheless, taxable foreign sourced income remitted during the first half of year 2022 will still be taxed at 3% on the gross amount, and is required to be reported in the tax return for the relevant Year of Assessment.
The earlier KPMG Tax Whiz on the introduction of SIRP and the MOF’s announcement as well as the MIRB’s media release, can be accessed via the above links.
Should you have any questions or require further clarification, please do not hesitate to email or contact any of our Executive Directors, Directors, Associate Directors or Managers whom you are accustomed to dealing with or who are responsible for the tax affairs of your organization.
