Direct Taxation
LHDNM RESPONSES TO CTIM CLARIFICATION SOUGHT ON P.U. (A) 274/2019, PN NO. 2/2020, FAQ ON SPECIAL DEDUCTION ON RENTAL REDUCTION AND MUTUAL EXCLUSION IN P.U. (A) 117/2017
The Institute has sought clarification in its letter dated 15 July 2020 to the Inland Revenue Board of Malaysia (“LHDNM”) on the following:
1. Issues arising from the claiming of capital allowance on development cost for customised computer software [P.U. (A) 274/2019 and LHDNM’s Practice Note (“PN”) No. 2/2020];
2. LHDNM frequently asked questions (“FAQ”) on special deduction for corporate taxpayers and other taxpayers on rental reduction offered to small and medium enterprise (“SME”) tenants (updated 28 April 2020); and
3. LHDNM response dated 21 May 2021 on mutual exclusion provision of Income Tax (Exemption) (No. 2) Order 2017 [P.U. (A) 117/2017] – Exemption in respect of the increase in chargeable income from business.
The LHDNM has provided its response in its letter dated 3 September 2020 to the Institute.