What You Need To Know About Malaysia's Incoming Capital Gains Tax

Malaysia’s Capital Gains Tax: Wider Scope For Foreign Assets, Impact on Corporate Restructuring, Tax Rate Determination, and More.

On the back of the Dewan Rakyat approving the Finance Bill, on this episode of Enterprise BizBytes we break down and clarify the Capital Gains Tax (CGT) component with Thenesh Kannaa, Executive Director at Tratax, a firm of independent tax advisers registered with the Malaysian Institute of Accountants (MIA) as a non-audit firm.

The Capital Gains Tax is applicable to both domestic and foreign assets of businesses, but has more broad implications on foreign assets. Thenesh shares insights into the tax regime, its implementation timeline, implications for corporate restructuring, possible tax planning strategies, and also how Malaysia's Capital Gains Tax compares to those in other countries.

01:39 Understanding the Finance Bill

03:18 Impact of the Bill on Businesses

04:52 Explaining the Capital Gains Tax

07:15 Implications of the Capital Gains Tax

09:34 Comparing Domestic and Foreign CGT

16:28 Understanding the Calculation of CGT

28:41 Impact of CGT on Corporate Restructuring

30:05 Comparing Malaysia's CGT with Other Countries

32:25 Advice for Businesses Regarding CGT

33:53 Other Tax Changes in 2024

35:05 Conclusion and Wrap-up