• IP addresses are NOT logged in this forum so there's no point asking. Please note that this forum is full of homophobes, racists, lunatics, schizophrenics & absolute nut jobs with a smattering of geniuses, Chinese chauvinists, Moderate Muslims and last but not least a couple of "know-it-alls" constantly sprouting their dubious wisdom. If you believe that content generated by unsavory characters might cause you offense PLEASE LEAVE NOW! Sammyboy Admin and Staff are not responsible for your hurt feelings should you choose to read any of the content here.

    The OTHER forum is HERE so please stop asking.

Taxation issues

wuqi256

Moderator - JB Section
Loyal
Quick recap and posting for the benefit of others to the new thread:

No capital gains tax
Real gains tax if a property is sold within 5 years.
10% rate if sold within first 2 years
5% rate if sold from 2nd year to 5th year
0% if sold after 5 years

This 5-10% is based on the profit difference between the buy and sale price.
This is can be deducted based on many items including repairs, renovation, etc.

Corporate tax:
25% flat for most type of organization

Personal income tax
1-26% and can deduct personal computer, books, courses, insurance, parents, wife, kids, internet, etc for tax resident (staying at least 182 days a year, those with MACS, go figure :wink: )

26% flat rate for non tax residents with no deductions given
 
Last edited:

2bFree

Alfrescian
Loyal
No problem, at least you know some one reads the post in detail :biggrin:

This is an example provided by fellow forumer austin_hts that I am repeating verbatim:

Property price - RM 500K
Annual rental - RM 25K (5% yield)
Expenses (incl interests, maintenance..etc) - RM 15K
Net income - RM 10K (25 - 15)
Tax - RM 2,600 (26% of 10K)

For non resident... Hope this helps.
 

2bFree

Alfrescian
Loyal
I would like to amend the example provided with the following instead which should be clearer in the terms used:

Property purchase price - RM 500K
Annual rental - RM 25K (5% per annum yield)
Expenses (incl bank interest, conservancy fees, repairs, maintenance, renovation etc; non-claimable) - RM 15K
Gross profit/income - RM 10K (25 - 15)
Tax - RM 2,600 (26% of 10K)
Nett profit/income - RM7,400
 
Top