FIXED DEPOSITS

Participants are not allowed to withdraw the fixed deposit for the whole duration of the one year period, unless for emergency cases and with prior approval from the Ministry of Tourism.

No. The fixed deposit account must be opened in any Malaysian bank or financial institution located in Malaysia.

No. Participants are required to fulfill the fixed deposit requirement or monthly off-shore income for those age 50 years and above as the purchase of a house is not compulsory for participants under this programme.

No. Participants are not allowed to do this, unless for an emergency purpose and with prior approval from the Ministry of Tourism.

After a period of one year, the participant may withdraw his/her fixed deposit for approved expenses relating to house purchase, education for children in Malaysia and medical purposes OR when he/she decides to terminate his/her stay in Malaysia by first informing the Ministry of Tourism of his/her intention at Malaysia My Second Home Centre. Participants can apply to withdraw part of their fixed deposit for emergency cases such as medical purposes, etc. with prior approval of the Ministry of Tourism.

INVESTMENT

Yes. Participants under this programme are allowed to have their own businesses as a Director/Sharehiolder of the company, terms apply.

EMPLOYMENT & EDUCATION

Under Malaysia My Second Home Programme, participants are NOT allowed to work. However, you can apply to the Human Resources Ministry seeking special approval for you to work in Malaysia because of your special expertise.

Children below the school going age (that is 7 years old) are not required to apply for a Student Visa. They need only apply for a Social Visit Visa.

Not necessary. They can apply for a Student Visa once they have obtained places of study in Malaysia.

HOUSE PURCHASE

All participants are allowed to purchase residential properties at more than RM 1,000,000 each.

No, you are only allowed to purchase residential properties except for companies.

Yes.

Yes, provided he/she has a Will which indicated clearly to whom the properties are to be given. If not the next of kin of the participant will have to apply to the Government to have his properties released to them as the rightful heirs.

Participants can purchase any type of housing properties provided that it has been issued with CF (Certificate of Fitness).

Yes. 30% within 5 years of selling house & 5% thereafter.

CAR PURCHASE

Second hand cars are transacted on a willing buyer, willing seller basis and the government do not levy any sales tax and excise duty on such transactions. As such tax exemptions do not arise. However, second hand cars which are imported are subject to sales tax and import duty at the point of entry.

Given the following situations:

  • If car is written off, taxes will be waived.
  • If the participant wishes to buy another car, their application will be processed on the merit of each case. Under normal circumstances a participant of this program is allowed tax exemption for a car on a one time basis.
  • If the car is repaired and sold it will be subject to the applicable tax/duty according to the prevailing rates.

Cars that have been exempted from taxes and duties under this program can be sold or its ownership transferred provided the prevailing taxes and duties on the car have been paid prior to the transaction. However, for imported cars the condition stipulated in the AP should be complied before any sale or transfer can be permitted.

INCOME TAX

Income tax is imposed on income earned from investments in local companies and local share market. Please refer to www.hasilnet.org.my for more details on the tax structure.

Interest earned by an individual from fixed deposit account is exempted in the following situations:-

Before year of assessment 2004 income remitted from abroad to Malaysia (apart from pension) is subject to tax. However, from year of assessment 2004 all income remitted from abroad is not subject to tax.

Yes.

They will only be taxed on the income earned in Malaysia after taking into account the personal tax allowances. The income will be taxed according to a progressive tax rate structure.

They will only be taxed on the income earned in Malaysia after taking into account the personal tax allowances. The income will be taxed according to a progressive tax rate structure.

×
×

Cart