Closure of e-filing system for years of assessment 2008 & 2009

Please be informed that the Inland Revenue Board (IRB) has informed the Institute on 2 October that

(i)         The e-filing of forms e-E, e-B, e-BE, e-M, e-P, e-C, and e-R for the year of assessment (YA) 2008 will be closed from 8 October 2009 permanently.

(ii)        The e-filing of forms e-C, e-R and e-CP 204 for the YA 2009 will be temporarily closed from 9 October 2009 till 22 October 2009 (14 days) for maintenance.

CTIM has requested the IRB to defer the “closure” (in (ii) above) to November to allow companies with financial year ended 31March 2009 to do their filing (Form e-C).  However, the IRB has informed the Institute that, due to time constraint (the Budget date, 23 October, being later than usual) and the fact that the system is operating at full capacity, the system has to be shut down for maintenance to prepare for the proposals for the 2010 Budget.  Otherwise, it will too late for the IRB to work on the 2010 Budget amendments.

Members may view the IRB letter at the Institute’s website at http://ctim.org.my/technical_techdev_direct.asp.

List Of Taxable And Non-Taxable Services For The Purposes Of Service Tax

The Royal Customs Malaysia (RCM) has, on 14 September 2009, issued a “List of Taxable and Non-taxable Services for the Purposes of Service Tax”.  The list indicates the types of taxable and non-taxable services for the various industries/service providers such as  accountants, private hospitals, hotels, parking operators, lawyers, consultants, restaurants, telecommunications companies, etc.

The RCM has indicated that the list is to be used only as a guide and should not be taken as conclusive when making decisions.  You may obtain further clarification/details from the RCM at 03-8882 2100 (telephone), 03-8889 5869 (fax) or e-mail cd@customs.gov.my. 

Members may view the detailed guide at the RCM’s website at http://www.customs.gov.my/documents/Bahagian%20CD/Senarai%20perkhidmatan%20bercukai%20dan%20tidak%20bercukai.pdf or the Institute’s website at http://www.ctim.org.my/technical_techdev_indirect.asp

  

Customs (Amendment)(No.4) Regulations 2009 [P.U.(A) 313-2009]

Regulation 11A and Part I of Second Schedule of Customs Regulations 1977 have been amended and are effective from 27 August 2009.  Form Customs No. 1A (Value Declaration Form) is to be completed and submitted together with form Customs No. 1 if the invoice value of imported goods for any one consignment is RM 20,000 or more, the imported goods are for commercial purposes and the import duty is levied on the goods.

Joint Tax Working Group on Financial Reporting Standards (JTWG-FRS)

Following our e-CTIM No.43/2009 dated 16 September 2009, please be informed that the JTWG-FRS has further reviewed the following Financial Reporting Standards (FRS) and would like to circulate the draft write-ups on major tax implications related to the implementation of the FRS for your comments:

FRS 102	Inventories
FRS 140	Investment Property

Please be informed that the above write-ups as attached can also be downloaded from the Institute’s website at http://ctim.org.my/technical_pracstatement.asp .

Members are invited to review the above write-ups and submit their comments to the JTWG-FRS.  Comments should be submitted in writing to the CTIM’s Secretariat or email to kslim@ctim.org.my or technical@ctim.org.my by 21 October 2009 for the deliberation of the JTWG-FRS.  You may also fax your comments to the Institute at 03-2162 8990.

Comments may refer to any specific principles, paragraphs or group of paragraphs and suggestions for alternative solutions or wordings with supporting reasons.  These comments will be collated and, where appropriate, incorporated into the write-ups before finalisation.

The Institute looks forward to receiving your comments on the above matter.

Thank you.

ANN VONG

Executive Director

Click HERE for printer-friendly version of the circular

Joint Tax Working Group on Financial Reporting Standards (JTWG-FRS)

Following our e-CTIM No.20/2009 dated 24 April 2009, please be informed that the JTWG-FRS has reviewed the following Financial Reporting Standards (FRS) and would like to circulate the draft write-ups on major tax implications related to the implementation of the FRS for your comments:

FRS 2	Share-based Payment
FRS 5	Non-current Assets Held for Sale and Discontinued Operations

Please be informed that the above write-ups as attached can also be downloaded from the Institute’s website at http://ctim.org.my/technical_pracstatement.asp .

Members are invited to review the above write-ups and submit their comments to the JTWG-FRS.  Comments should be submitted in writing to the CTIM’s Secretariat at technical@ctim.org.my or email to kslim@ctim.org.my by 23 September 2009 for the deliberation of the JTWG-FRS.  You may also fax your comments to the Institute at 03-2162 8990.

Comments may refer to any specific principles, paragraphs or group of paragraphs and suggestions for alternative solutions or wordings with supporting reasons.  These comments will be collated and, where appropriate, incorporated into the write-ups before finalisation.

The Institute looks forward to receiving your comments on the above matter.

Thank you.

ANN VONG (MS)

Executive Director

Click HERE for printer friendly version of this circular

Income Tax (Exemption) (No.3) Order 2009 [P.U.(A) 262/2009]

Effective from 30 August 2008 until 31 December 2012, income received by a non-resident person under Section 4A(ii) of the Act in relation to the following  training conducted by him for the purpose of upgrading and developing the technical skills of any employee of a person resident in Malaysia, shall be exempt and Section 109B of the Act shall not apply.

The eligible training are training approved by the Minister and under the programme of

(a)    post graduate course in information technology and communication, electronics or life sciences;

(b)    post basic course in nursing or allied healthcare; or

(c)    aircraft maintenance engineering course.

Income Tax (Deduction for Cost of Training for Employees) Rules 2009 [P.U.(A) 261/2009]

Effective from year of assessment 2009 until year of assessment 2012, the cost of the following training incurred by a person for the purposes of upgrading and developing the technical skills of his employees shall be allowed a deduction in addition to any deduction allowable under Section 33 of the Income Tax Act 1967 (the Act). 

The eligible training are training approved by the Minister and under the programme of

(a)     post graduate course in information technology and communication, electronics or life sciences;

(b)     post basic course in nursing or allied healthcare; or

(c)     aircraft maintenance engineering course.

The Rules shall not apply to person who has made a claim to HRDF.