The Income Tax (Deduction for Expenditure Incurred for Provision of Approved Internship Programme) (Amendment) Rules 2023 [P.U. (A) 188/2023] (Amendment Rules) was gazetted on 23 June 2023 and amends the Income Tax (Deduction for Expenditure Incurred for Provision of Approved Internship Programme) Rules 2019 [P.U. (A) 398/2019] (Principal Rules) with effect from the year of assessment 2022.
The amendments are listed in the table below under “Amendment Rules”.
| Rule | Principal Rules [P.U.(A) 398/2019] |
Amendment Rules |
| 2(b) | an approved internship programme for a student in the year of assessment 2017 until the year of assessment 2021. | an approved internship programme for a student in the year of assessment 2017 until the year of assessment 2025. |
| 3 | "higher education institution" means an institution in Malaysia, established under the Universities and University Colleges Act 1971 [Act 30], Universiti Taknologi MARA Act 1976 [Act 173] or the Private Higher Educational Institutions Act 1996 [Act 555] and registered with the Ministry of Education, Malaysia; | "higher education institution" means an institution in Malaysia, established under the Universities and University Colleges Act 1971 [Act 30], Universiti Taknologi MARA Act 1976 [Act 173] or the Private Higher Educational Institutions Act 1996 [Act 555] and registered with the Ministry of Higher Education, Malaysia or educational institution outside Malaysia which is recognized by the Ministry of Higher Education, Malaysia; |
| 3 | " qualified course" means a vocational programme (minimum Malaysian Skill Certificate Level 3) recognized by the Malaysian Qualifications Agency or the Department of Skills Development; | " qualified course" means a technical vocational education and training progtamme (minimum Malaysian Skills Certificate Level 1) or its equivalent which is offered in or outside Malaydia and is recognized by the Malaysian Qualifications Agency or the Department of Skills Development; |
| 3 | "student"means一 (b) in relation to一 (i) a higher educational institution,an individual一 (A) who is pursuing a diploma or degree programme on full-time basis in a higher educational institution; and (B) who completes the approved internship programme before completion of the final semester ofhis diploma or degree programme; or |
"student"means一 (b) in relation to一 (i) a higher educational institution, an individual一 (A) who is pursuing a diploma,Bachelors degree or Masters degree or its equivalent, or a professional certificate programme on full-time basis in a higher educational institution; and (B) who completes the approved internship programme before completion of the final semester of his diploma, Bachelors degree or Masters degree or its equivalent, professional certificate programme; or |
| 3 | "approved internship programme” means a structured internship programme in Malaysia conducted for a minimum period of ten weeks as approved by the Talent Corporation Malaysia Berhad in collaboration with the Ministry of Education, Malaysia which provides practical experience and emphasizes the development of specific knowledge or skill, which includes but not limited to technical, communication or business, for students;and | “approved internship programme” means a structured internship programme in Malaysia conducted for a minimum period often weeks as approved by the Talent Corporation Malaysia Berhad in collaboration with the related Ministry which provides practical experience and emphasizes the development of specific knowledge or skill, which includes but not limited to technical, communication orbusiness, for students; and |
| 4(2) | The expenses referred to in subrule (1) are as follows: (a) the internship monthly allowance of not less than five hundred ringgit paid to the students; (b) the expenditure incurred for the provision of training for the students; and (c) the expenditure incurred on meal， travelling and accommodation for the students during the internship programme. |
The expenses referred to in subrule (1) are as follows: (a) payment of the internship monthly allowance to一 (i) a student of Malaysian Skills Certificate Level 1 until 4 or diploma level or its equivalent, of not less than five hundred ringgit; or (ii) a student of Malaysian Skills Certificate Level 5 or Bachelors degree or Masters degree or its equivalent, or professional certificate level, of not less than six hundred ringgit; (b) the expenditure incurred for the provision of training for the students; (c) the expenditure incurred on meal, travelling and accommodation for the students during the internship programme; and (d) expenditure incurred for digital and communication costs. |
| 4(3) | The total amount of expenses under paragraphs (2)(b) and (c) which is allowed for each student shall not exceed five thousand ringgit for a year of assessment. | The total amount of expenses under paragraphs (2)(b), (c) and (d) which is allowed for each student shall not exceed five thousand ringgit for a year of assessment. |
Tag / Keywords:
