Malaysia legislation
Section 7
Section 7
(2)
The trust property shall not include any Malaysian property unless prior approval of the Authority is obtained or the trust is a trust for charitable purposes.
(3)
The beneficiaries of a Labuan trust may be a qualified person or a resident.
(4)
A Labuan trust company shall be one of the trustees of a
Labuan trust.
(5)
Where the trust property includes Malaysian property, any income derives from the trust property shall be subject to the Income
Tax Act 1967 [Act 53].
(6)
Where the trust property does not include Malaysian property, any income derives from the trust property shall be subject to the
Labuan Business Activity Tax Act 1990 [Act 445].
Labuan Trusts 15
(7)
For the purposes of this section, ―Malaysian property‖ means any property which is situated in Malaysia.
Creation of Labuan trust