Print this page
- Offshore companies in Labuan undertaking offshore business can elect to pay tax at a rate of 3% from net profit; or pay RM20,000.
- Income of offshore companies from non-trading activities is not subjected to any taxes.
- Management and technical fees, interest and royalty paid by offshore companies to non-residents or to other offshore companies are exempted from withholding tax.
- Dividend received by or from offshore companies is not subjected to income tax except for dividend received from companies undertaking offshore business activities.
- All documents relating to business of offshore companies are not subjected to stamp duty.
- Non citizen working in Labuan in the field of management who are engaged by offshore companies are exempted from income tax on 50% of their gross income up to the year of assessment 2004.
- Trust company is exempted from income tax on 65% of the statutory income for qualifying services to an offshore company from YA 2000(current year) to YA 2004.