Tax in Motion Issue 12/2026

Determining chargeable income from a limited liability partnership’s (LLP) profits

​The Income Tax (Determination of Chargeable Income of an Individual in respect of Limited Liability Partnership’s Profit) Rules 2026 have been issued and is effective from year of assessment 2026.​

Extension of foreign-sourced income exemption​

The following gazette orders have been issued to extend the exemption for foreign-sourced income:​​

• The Income Tax (Unit Trust in relation to Income Received in Malaysia from Outside Malaysia) (Exemption) 2024 (Amendment) Order 2026​
• Income Tax (Exemption) (No. 3) Order 2024 (Amendment) Order 2026 ​

Further 50% tax deduction for employers providing additional caregiving leave benefit​

Following the Budget 2025 announcement, the Income Tax (Deduction for Payment of Additional Paid Leave for the Care of Child or Sick or Disabled Immediate Family Member) Rules 2026 has been gazetted.

Income tax deduction for contributions to anti-corruption education and prevention programmes ​

The Ministry of Finance has issued the Guidelines on Income Tax Deduction for Contributions to Anti-Corruption Education / Corruption Prevention Programmes under subsection 44(11C) of the Income Tax Act 1967.​

Guidelines on Capital Gains Tax Exemption for Disposals of Shares for Initial Public Offering Purposes​

The Inland Revenue Board (IRB) has issued the Guidelines on Capital Gains Tax Exemption for Disposals of Shares for Initial Public Offering Purposes, following the gazette of the Income Tax (Initial Public Offering) (Exemption) Order 2024. ​

Guidelines on incentive claims for upstream petroleum​

The IRB has issued the Guidelines on Incentive Claims for the Upstream Petroleum Industry Under the Petroleum (Income Tax) Act 1967. It replaces the Guidelines on Incentive Claims for the Upstream Petroleum Industry Under the Petroleum (Income Tax) Act 1967 dated 22 May 2014 and 30 December 2020.​

Updated FAQs on Global Minimum Tax​

The IRB has issued the FAQs on the Implementation of the Global Minimum Tax (GMT) in Malaysia (version 9.0), updated as at 11 August 2026.​