MALAYSIA DIGITAL TAX INCENTIVE TO ATTRACT INVESTMENT

SMI FUNDING is home to a skilled team of tax consultants in Malaysia, dedicated to providing valuable tax relief to clients through various tax incentives. With in-depth knowledge of Malaysia's tax landscape, they expertly calculate tax incentives on the spot, ensuring clients benefit from all possible tax deductions and allowances. Whether you are an individual seeking tax advice near you or a business looking to reduce tax liabilities, SMI FUNDING is committed to delivering comprehensive support for all tax-related matters.

Tax incentives designed to boost economic growth

In Malaysia, the government offers a range of tax incentives designed to boost economic growth, encourage investment, and promote qualifying activities. These include tax deductions, tax credits, and income tax exemptions. SMI FUNDING’s tax consultant Malaysia team is adept at helping clients navigate the complexities of these incentives, such as investment tax allowances, reduced tax rates, and exemptions for promoted tech enablers and services sectors. Additionally, they assist with calculating tax exemptions and deductions related to qualifying capital expenditure, statutory income, and IP income, which can significantly reduce the overall tax burden for businesses.

Pioneer status

For companies, understanding how to leverage tax incentives like pioneer status or qualifying activities can lead to substantial savings. SMI FUNDING’s tax consultants are experts in applying Malaysia’s tax rules to reduce corporate tax rates and maximize deductions, whether through tax deductible expenses Malaysia, allowances, or import duty reliefs. Using a Malaysia income tax calculator, SMI FUNDING helps businesses optimize their tax position by accurately assessing the impact of various tax benefits. Whether you're in manufacturing, services sectors, or digital industries, SMI FUNDING provides tailored advice for businesses to benefit from tax exemptions, lower tax rates, and even IP income deductions.

Tax advice

At SMI FUNDING, clients benefit from tax advice that is both accurate and actionable. By helping businesses and individuals navigate complex tax laws and ensure they qualify for applicable tax incentives, the team plays an essential role in helping clients grow and thrive in a competitive market. Whether you need advice on your company's status, investment allowances, or want to understand how to use the latest Malaysia digital initiatives for tax relief, SMI FUNDING is your trusted partner in securing long-term financial success.

Tax exemptions, allowances, and improved tax deductions are just a few of the many tax incentives that Malaysia provides. Companies that are tax residents are typically eligible for tax advantages.

Pioneer Status

Pioneer Status (PS) is a tax exemption incentive given to businesses who produce promoted goods or engage in promoted activities for a duration of five or ten years.

Investment tax allowance (ITA) is typically used as a substitute for the PS incentive. An incentive known as an ITA is given out in accordance with the capital expenditures made on industrial structures, machinery, and plant that are utilized for the manufacture of promoted goods or for promoted activities. Usually, this incentive is offered for a duration of five or ten years.

PS and ITA are mutually exclusive. Where income is exempted under the PS incentive, tax exempt dividends may be paid out of the exempted income. Unutilised ITA can be carried forward until fully utilised. However unutilised PS losses can only be carried forward for a maximum period of 7 consecutive YAs after the end of the pioneer period. For unutilised PS losses accumulated as at YA 2018, where the incentive has already expired, these losses can be carried forward for another 7 YAs until YA 2025.