Malaysia legislation
Section 9
Section 9
section 60aa of the principal Act is amended—
(a)
in paragraph (5)(b)—
(i)
in subparagraph (iii), by inserting after the word
“business” the words “carried out in accordance with the principle of mudharabah”; and
(ii)
in subparagraph (viii), by inserting after the words
“general business” the words “carried out in accordance with the principle of mudharabah”;
(b)
in paragraph (7)(b)—
(i)
in subparagraph (iii), by inserting after the words
“Malaysian general certificate” the words “of that business carried out in accordance with the principle of mudharabah”; and
(ii)
in subparagraph (viii), by inserting after the words
“general business” the words “carried out in accordance with the principle of mudharabah”;
(c)
in subsection (9)—
(i)
in paragraph (a)—
(A)
in subparagraph (iii), by substituting for the words “family fund, general fund, inward re-takaful fund, offshore fund or family re-takaful fund” the words “general fund, inward re-takaful fund, offshore fund or family re-takaful fund, or any other fee receivable in respect of an investment fund from the family fund”;
(b)
in subparagraph (iv), by deleting the word
“and” at the end of that subparagraph; and
(c)
by inserting after subparagraph (v) the following subparagraph:
“(vi) the amount of actuarial surplus from the family fund that is transferred to the shareholders’ fund; and”; and
Act 764
(ii)
in paragraph (b)—
(A)
in subparagraph (iii), by substituting for the words “family and general businesses”
the words “general business carried out in accordance with the principle of wakalah”;
and
(b)
in subparagraph (iv), by inserting after the words
“general business” the words “carried out in accordance with the principle of wakalah”;
(d)
in subsection (10)—
(i)
in paragraph (a)—
(A)
in subparagraph (iii), by substituting for the words “family fund, general fund, inward re-takaful fund, offshore fund or family re-takaful fund” the words “general fund, inward re-takaful fund, offshore fund or family re-takaful fund, or any other fee receivable in respect of an investment fund from the family fund”;
(b)
in subparagraph (iv), by deleting the word
“and” at the end of that subparagraph; and
(c)
by inserting after subparagraph (v) the following subparagraph:
“(vi) the amount of actuarial surplus from the family fund that is transferred to the shareholders’ fund; and”; and
(ii)
in paragraph (b)—
(A)
in subparagraph (iii), by substituting for the words “family and general businesses”
the words “general business carried out in accordance with the principle of wakalah”;
and
Finance (No. 2)
(b)
in subparagraph (iv), by inserting after the words
“general business” the words “carried out in accordance with the principle of wakalah”;
and
(e)
by inserting after subsection (10) the following subsection:
“(10a) For the purposes of ascertaining the adjusted income of the family fund, general fund or shareholders’ fund referred to in subsection (3), (4),
(5)
, (7), (9) or (10), as the case may be, the cost of acquiring and realizing any investments or rights for the basis period for a year of assessment shall include expenses incurred in managing those investments or rights, and such expenses incurred shall be determined in accordance with the following formula:
A x c b where
A is the cost of acquiring any investments or rights which is realized in that period in respect of such fund;
b is the total cost of acquiring all investments or rights held during that period in respect of such fund; and c is the total expenses incurred in that period for managing all investments or rights held during that period in respect of such fund.”.
amendment of section 60i