Malaysia legislation
Section 8
Section 8
Amendment of section 44
(a)
in subsection (6)—
(i)
by substituting for the full stop at the end of the subsection a colon; and
(ii)
by inserting after subsection (6) the following proviso:
“Provided that the amount to be deducted from the aggregate income of a company for the relevant year in respect of any gift of money made by that company to any institution or organization approved for the purposes of this section by the Director General shall not exceed five per cent of the aggregate income of the company in the relevant year.”; and
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Finance (No. 2)
(b)
in subsection (7), in the definition of “organization”—
(i)
by substituting for the full stop at the end of paragraph (h) the words “; or”; and
(ii)
by inserting after paragraph (h) the following paragraphs:
“(i) an international organization as defined under the International Organization
(Privileges and Immunities) Act 1992 [Act 485] carrying out such charitable activities as determined by the Minister; or
(j)
an organization established and maintained exclusively to administer or augment a fund established or held for the purpose of carrying out projects towards the acculturation of the community in information and communication technology, approved by the Minister; or
(k)
a benevolent fund or trust account established or held for the sole purpose of providing relief or aid to an individual who has no, or insufficient means, or in the case of a dependent individual whose parents or guardian has no, or insufficient means, to pay for the cost of the medical treatment required by such individual to treat a serious disease as defined in subsection 46(2).”;
and
(c)
by inserting after subsection (7) the following subsections:
“(7A) An institution or organization referred to in subsection (7)—
(a)
may apply not more than twenty-five per cent of its accumulated funds as at the beginning of the basis period for the year of assessment for the carrying on of, or participation in, a business:
Provided that the profits or income derived therefrom shall be used solely for charitable purposes or for the primary purpose for which the institution or organization was established; or
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(b)
may carry out charitable activities outside
Malaysia with the prior consent of the Minister.
(7B)
The reference to the carrying on of, or participation in, a business in paragraph (7A)(a) shall not include the carrying on of a business by an institution or organization where—
(a)
the business is carried on in the course of the actual carrying out of the primary purpose of the institution or organization; or
(b)
the work in connection with the business is mainly carried on by persons for whose benefit the institution or organization was established.”.
Amendment of section 45