Section 1
(1)
This Act may be cited as the Windfall Profit Levy Act 1998.
ActIn force
Windfall Profit Levy Act 1998
The full official text, structured for quick navigation. Copy any provision or jump straight to a section.
- Enacted
- 1998
- Last amended
- 2022
- Sections
- 33
- Languages
- MS · EN
Windfall Profit Levy Act 1998 is Malaysia Act, cited as Act 592 1998, currently marked in force and first recorded in 1998.
Front matterCover and publication detailsOpenClose
Act 592
WINDFALL PROFIT LEVY
ACT 1998
As at 1 January 2025
This text is ONLY AN UPDATED TEXT of the Windfall Profit Levy Act 1998 by the
Attorney General’s Chambers. Unless and until reprinted pursuant to the powers of the
Commissioner of Law Revision under subsection 14(1) of the Revision of Laws Act 1968 [Act 1], this text is NOT AN AUTHENTIC TEXT.
2
Date of Royal Assent
… … … ...
28 December 1998
Date of publication in the
Gazette
… … … ...
31 December 1998
Latest amendment made by Act 863 which came into operation on
… … … ...
1 January 2025
… … … … …
2002
… … … … …
2006
3
Act 592
Opening note
Preamble
- An Act to provide for the imposition of a levy on windfall profit derived from the production of goods and for matters connected therewith and incidental thereto. [1 January 1999] ENACTED by the Parliament of Malaysia as follows: Short title and commencement
Section 2
In this Act, unless the context otherwise requires—
“Department” means the Royal Malaysian Customs and Excise
Department;
“Director General” means the Director General of Customs and Excise appointed under subsection 3(1) of the Customs Act 1967 [Act 235];
“Fund” means the Federal Consolidated Fund;
“goods” means all kinds of movable and immovable property;
“levy” means a levy imposed under section 6;
6
“Minister” means the Minister charged with the responsibility for finance;
“prescribed”, unless otherwise stated, means prescribed by regulations made under section 28;
“prescribed goods” means goods prescribed by order made under section 6;
“proper officer of customs” shall have the same meaning as is assigned to that expression in section 2 of the Customs Act 1967.
Powers of Director General
Section 3
Subject to the direction and control of the Minister, the Director
General shall have the superintendence of all matters relating to the levy under this Act.
Section 3A
Power to extend period
Where, by this Act, a period is specified within which an act or thing is to be done by a person, and the Minister is satisfied that the act or thing could not be completed in that period due to the occurrence of public emergency or public health crisis, the Minister may, upon such terms and conditions as the Minister thinks fit, extend the period for the completion of the act or thing before the expiration of the period.
Section 3B
Power to modify terms and conditions
(1)
Where terms and conditions are imposed pursuant to this Act, the Minister may, on the advice of the Director General, from time to time modify the terms and conditions for the purpose of carrying out the objects of this Act.
(2)
Before modifying the terms and conditions, notice must be given to the person bound by the terms and conditions stating—
Windfall Profit Levy 7
(3)
The modified terms and conditions shall not take effect in less than fourteen days from the date the notice is issued under subsection (2).
(4)
Where the terms and conditions were initially imposed by the
Director General pursuant to this Act, the terms and conditions as modified by the Minister shall be deemed to have been imposed by the
Director General.
Section 4
Powers of a proper officers of customs
Any proper officer of customs shall, in addition to the duties and powers conferred under the Customs Act 1967, have all the duties and powers to enforce and ensure due compliance with the provisions of this Act.
Section 5
Authority card to be produced
(1)
Every proper officer of customs when acting against any person under this Act shall, if not in uniform, on demand, declare his office and produce to the person against whom he is acting such document establishing his identity as the Director General may direct to be carried by such officer.
(2)
It shall not be an offence for any person to refuse to comply with any demand made by any officer acting or purporting to act under this
Act if such officer is not in uniform and refuses to declare his office and produce his identification document on demand being made by such person.
8
Section 6
Imposition of levy
(1)
There shall be charged and levied a levy to be known as windfall profit levy on such amount as may be prescribed by the
Minister by order published in the Gazette which exceeds the amount of such gains as may be prescribed by the Minister in such order and derived from the production of the goods prescribed in such order.
(2)
An order made under subsection (1) may prescribe different amounts and rates for different types of goods.
(3)
A levy shall be paid by the producer of the prescribed goods and shall be paid into the Fund.
(4)
Any person who fails to pay any levy imposed under this section commits an offence and shall on conviction be liable to a fine not exceeding ten times the amount of levy due or to imprisonment for a term not exceeding three years or to both.
(5)
The prosecution of any person under this section shall not relieve such person from liability for the payment of any levy for which he is or may be liable or from liability to make any return which he is required by this Act to make.
Section 6A
Public ruling
(1)
The Director General may, at any time, make a public ruling on the application of any provision of this Act.
(2)
The Director General may withdraw, either wholly or partly, any public ruling made under this section.
Order to be laid before Dewan Rakyat
Section 7
An order determining the amount of levy to be levied under this
Act shall be laid before the Dewan Rakyat.
Windfall Profit Levy 9
Section 8
Registration
Every producer of prescribed goods shall register with the
Department.
Section 9
Penalty for late payment
(1)
Where any amount of levy remains unpaid after the last day on which it was payable, then a penalty equal to ten per cent of such unpaid amount shall thereupon be payable.
(2)
If the levy due and payable remains unpaid for more than thirty days after the last day on which it was so payable the rate of penalty under subsection (1) on such unpaid levy shall be increased by ten per cent for the second period of thirty days after such last day and for every succeeding period of thirty days or part thereof during which such amount remains unpaid to a maximum of fifty per cent.
Section 10
Levy may be recovered as civil debt
Without prejudice to any other remedy, any levy due and payable and any penalty accruing under this Act may be recovered as a civil debt due to the Government.
Section 11
Submission of return
(1)
Every producer of prescribed goods shall within the prescribed time deliver to the proper officer of customs a return in the form and manner as determined by the Director General stating the amount of levy payable, quantity or volume of prescribed goods produced, and such other particulars as the Director General may require.
(2)
Every return submitted in accordance with subsection (1) shall be accompanied by payment of the amount due as levy.
10
Section 12
Assessment of levy
(1)
Any return submitted under section 11 may be accepted by the proper officer of customs as sufficient proof of the matters contained therein, and levy may be assessed accordingly.
(2)
If the proper officer of customs has reason to believe that the amount of levy shown in a return made by any person under section 11
is less than the amount payable under this Act, he may assess the levy at such greater amount as he deems fit.
Section 13
Remission of levy and penalty
(1)
The Minister may, if he deems fit, remit the whole or any part of the levy due and payable under this Act.
(2)
The Director General may, if he deems fit, remit the whole or any part of the penalty under section 9.
(3)
Where a person which has been granted remission under subsection (1) or (2) has paid any levy or penalty to which the remission relates, subject to subsection 14(3), he shall be entitled to a refund of the amount of the levy or penalty paid which had been remitted.
Section 14
Claim for refund of levy and penalty overpaid or erroneously paid, etc.
(1)
Any person who has overpaid or erroneously paid any levy or penalty, or is entitled to a refund of the levy or penalty under section 13 may make a claim for refund in the form and manner as determined by the Director General.
(2)
A claim for refund under subsection (1) shall be made to the
Director General within one year from the date such overpayment or erroneous payment occurred or such entitlement of the refund occurred.
Windfall Profit Levy 11
(3)
The Director General may reduce or disallow any refund in respect of the claim under subsection (1) to the extent that the refund would unjustly enrich the person referred to in subsection (1).
Section 14A
Refund upon satisfaction of Director General and with supporting evidence
(1)
A claim for refund of levy or penalty under subsection 14(1)
shall be supported by such evidence as required by the Director
General.
(2)
The Director General may make such refund in respect of the claim made by any person under subsection 14(1) after being satisfied that the person has properly established the claim.
Section 15
Payment of levy or penalty shortpaid or erroneously refunded
Where the whole or any part of any levy or penalty under section 9 has not been paid, or after having been paid has been erroneously refunded, then, provided a demand is made within three years from the date on which such levy or penalty were paid, or the refund was made, as the case may be, the person liable to pay such levy or penalty, or the person to whom such refund has erroneously been made, as the case may be, shall pay the deficiency or repay the amount paid to him in excess.
Section 16
Duty to keep records
(1)
Every producer of prescribed goods shall keep such books of accounts or other records as the Director General may direct showing full and true records written up to date of all transactions which affect or may affect his liability to levy under this Act and shall keep those books of accounts or other records in the national language or English language.
(2)
The books of accounts and other records which are required to be kept in accordance with this section shall be preserved for a period
12
of six years from the latest date in respect of the production of prescribed goods to which such documents relate.
Section 17
Persons bound to give information
(1)
Every person having information about any matter into which it is the duty of the proper officer of customs to inquire shall, upon being required by the officer to do so, give such information.
(2)
Every person required by the proper officer of customs to produce a document or other thing which is within the power of such person to produce, and which is a document or thing required under this Act or a document or thing used in any transaction or other matter relating to levy or a document or thing into which it is the duty of the proper officer of customs to enquire under this Act, shall produce such document or thing.
Section 18
Access to place or premises
(1)
For the purposes of this Act, any senior officer of customs shall at all times have access to any place or premises where a producer of prescribed goods carries on his business.
(2)
Where any senior officer of customs enters upon any place or premises in accordance with this section, he may do all or any of the following:
(a)
require the producer to produce any book, document, or thing, which such producer is required to keep under the provisions of this Act, or which relate to any prescribed goods;
(c)
seize and detain any book, document or thing, if in his opinion it may afford evidence of the commission of any offence under this Act;
Windfall Profit Levy 13
(d)
require any producer or any person employed by the producer to answer question relating to any book, document or thing, or relating to any entry in any book or document;
(e)
take and retain without payment such samples of any goods or materials as he may think necessary for the performance of his duties.
(3)
Where the senior officer of customs acting under this section is unable to obtain free access to any premises where a producer carries on his business, he may at any time enter such premises in such manner, if necessary by force, as he may think necessary.
(4)
Where—
(c)
such levy has not been paid, such goods may be seized and shall be liable to forfeiture.
Section 19
Penalty on making incorrect return and on falsifying documents
(1)
Any person who—
(a)
makes, orally or in writing, or signs any return or other document required by this Act which is untrue or incorrect in any material particular;
(b)
makes, orally or in writing, or signs any return or document made for the consideration of any proper officer of customs on any application presented to him which is untrue or incorrect in any material particular;
14
(c)
counterfeits or causes to be counterfeited or falsifies or causes to be falsified any document which is or may be required under this Act or used in the transaction of any business or matter relating to levy, or uses or causes to be used or in any way assists in the use of such counterfeited or falsified document;
(d)
fraudulently alters any document, or counterfeits the seal, signature, or initials or other mark of, or used by, any proper officer of customs for the verification of any such document or for the security of any goods or any other purpose in the conduct of any business or matter relating to the levy;
(e)
being so required by this Act to make a return, fails to make such return as so required; or
(f)
fails or refuses to produce to a proper officer of customs any document required to be produced under this Act, commits an offence.
(2)
Any person who is convicted of an offence under subsection (1)
shall be liable to a fine of not less than ten times the amount of the levy payable and of not more than twenty times the amount of the levy payable.
(3)
When any such return, whether oral or written, or any such document as is referred to in paragraphs (1)(a), (b) and (c) has been proved to be untrue or incorrect or counterfeited or falsified in whole or in part, it shall be no defence to allege that such return or document was made or used inadvertently or without criminal or fraudulent intent, or that the person signing the return or document was not aware of or did not understand the contents of such document, or where any return was made or recorded in the national language or in the English language by interpretation from any other language, that such return was misinterpreted or not fully interpreted by an interpreter provided by the person making the return or document.
(4)
For the purposes of this section, “falsified” in relation to a document shall be deemed to include a document which is untrue or
Windfall Profit Levy 15
incorrect in any material particular, and “falsifies” shall be construed accordingly.
Section 20
Penalty on refusing to answer questions or on giving false information
(1)
Any person who, being required by this Act to give any information which may reasonably be required by a proper officer of customs and which it is in his power to give, refuses to give such information or furnishes as true information which he knows or has reason to believe to be false, commits an offence and shall be liable on conviction to a fine not exceeding twenty thousand ringgit or to imprisonment for a term not exceeding one year or to both.
(2)
When any such information is proved to be untrue or incorrect in whole or in part it shall be no defence to allege that such information or any part thereof was furnished inadvertently or without criminal or fraudulent intent, or was misinterpreted or not fully interpreted by an interpreter provided by the informant.
Failure to comply with requirement of this Act
Section 21
Without prejudice to any other liability incurred under this Act, any person who—
(b)
fails or refuses to produce any book or document for the examination or retention by the proper officer of customs in accordance with the requirements of this Act;
(c)
fails or refuses to give correct information or refuses to give any information which he is required to give relating to the levy; or
(d)
pays a lesser amount of levy than is required by this Act;
16
commits an offence, and shall be liable on conviction to a fine not exceeding twenty thousand ringgit or to imprisonment for a term not exceeding one year or to both.
Section 22
General offence and penalty
(1)
Any person who omits or neglects to comply with, or does or attempts to do any act contrary to, the provisions of this Act commits an offence.
(2)
A person convicted of an offence under subsection (1) shall be liable to a fine not exceeding twenty thousand ringgit or to imprisonment for a term not exceeding one year or to both.
Section 23
Power to compound
(1)
A proper officer of customs may, with the consent in writing of the Public Prosecutor, compound any offence committed by any person under this Act or its subsidiary legislation and prescribed to be a compoundable offence by making a written offer to the person suspected to have committed the offence to compound the offence upon payment to the proper officer of customs of an amount of money not exceeding fifty per cent of the amount of maximum fine for that offence within the time specified in the offer.
(2)
An offer under subsection (1) may be made at any time after the offence has been committed, but before any prosecution for it has been instituted, and if the amount specified in the offer is not paid within the period specified in the offer or within such extended period as the proper officer of customs may grant, prosecution for the offence may be instituted at any time after that against the person to whom the offer was made.
(3)
If an offence has been compounded under subsection (1), no prosecution shall be instituted in respect of the offence against the person to whom the offer was made and any thing seized in connection with the offence may be released or forfeited by the proper officer of customs, subject to such terms and conditions as he thinks fit.
Windfall Profit Levy 17
(4)
All sums of money received by the proper officer of customs under this section shall be paid into and form part of the Fund.
Section 24
Offences by body corporate, etc.
(1)
If a body corporate commits an offence under this Act or its subsidiary legislation, a person who at the time of the commission of the offence was a director, chief executive officer, manager, secretary or other similar officer of the body corporate or was purporting to act in any such capacity or was in any manner or to any extent responsible for the management of any of the affairs of the body corporate or was assisting in such management—
(a)
may be charged severally or jointly in the same proceedings with the body corporate; and
(b)
if the body corporate is found guilty of the offence, shall be deemed to be guilty of that offence unless, having regard to the nature of his functions in that capacity and to all circumstances, he proves that—
(i)
the offence was committed without his knowledge, consent or connivance; and
(ii)
he had taken all reasonable precautions and exercised due diligence to prevent the commission of the offence.
(2)
If any person would be liable under this Act to any punishment or penalty for his act, omission, neglect or default, he shall be liable to the same punishment or penalty for every such act, omission, neglect or default of any employee or agent of his, or of the employee of the agent, if the act, omission, neglect or default was committed—
(c)
by the employee of the agent in the course of his employment by the agent or otherwise on behalf of the agent acting on behalf of that person.
Section 25
Institution of prosecution
No prosecution for or in relation to any offence under this Act shall be instituted without the written consent of the Public Prosecutor.
Section 26
Abetting an offence
When any person wilfully makes on behalf of another person, or aids, abets, assists, incites or induces any other person to make an incorrect return, account or statement resulting in a short payment of the levy by the person liable for the payment of the levy such first-mentioned person commits an offence and shall be liable on conviction to a fine not exceeding fifty thousand ringgit or to imprisonment for a term not exceeding one year or to both.
Section 27
Power of Minister to apply Customs Act 1967
(1)
The Minister may prescribe any provision in the
Customs Act 1967 to be a provision which shall apply for the purpose of carrying out the provisions of this Act.
(2)
In prescribing the provisions of the Customs Act 1967 under subsection (1), the Minister may make such modifications as are necessary and expedient for the purpose of ensuring the proper and efficient implementation of this Act.
Section 27A
Use of electronic service
(1)
Notwithstanding any other provision of this Act, the
Director General may provide an electronic service to any registered user for—
Windfall Profit Levy 19
(a)
the filing or furnishing of any application, return, declaration or any other document; and
(2)
Where—
(a)
any application, return, declaration or any other document are made and transmitted to the Director General through the electronic service; or
(b)
any notice, direction, order, permit, receipt or any other document is obtained by the registered user through the electronic service, the Director General shall not be liable for any loss or damage suffered by the registered user by reason of any error or omission of whatever nature or howsoever arising appearing in any application, return, declaration, notice, direction, order, permit, receipt or any other document if such error or omission occurred or arose as a result of any defect or breakdown in the electronic service or in the equipment used for the provision of the service or without the knowledge of the
Director General.
(3)
Any application, return, declaration or any other document made and transmitted by the registered user shall be deemed to have been filed or furnished at the time the application, return, declaration or any other document is received by the Director General.
(4)
For the purposes of this section, “registered user” means any person who is authorized in writing by the Director General to gain access to and use the electronic service.
Section 28
Regulations
(1)
The Minister may make regulations for the purpose of carrying out or giving effect to the provisions of this Act.
20
(2)
In particular and without prejudice to the generality of the power conferred by subsection (1), such regulations may provide for—
(c)
the place and time relating to collection of levy.
21
Act 592
LIST OF AMENDMENTS
Amending law
Short title
In force from
Act A1636
Windfall Profit Levy (Amendment)
Act 2021 01-12-2021
Act A1675
Windfall Profit Levy (Amendment)
Act 2022 01-01-2023
Act 851
Finance (No. 2) Act 2023 30-12-2023
Act 863
Measures for the
Collection,
Administration and Enforcement of
Tax Act 2024 01-01-2025
22
Act 592
LIST OF SECTIONS AMENDED
Section
Amending authority
In force from 3A
Act A1675 01-01-2023 3B
Act A1675 01-01-2023 6A
Act A1675 01-01-2023 7
Act 851 30-12-2023 11
Act A1675 01-01-2023 13
Act A1636 01-12-2021 14
Act A1636
Act A1675 01-12-2021 01-01-2023 14A
Act A1636 01-12-2021 19
Act A1675 01-01-2023 27A
Act 863 01-01-2025 28
Act A1675 01-01-2023
Common questions
- What is Windfall Profit Levy Act 1998?
- Windfall Profit Levy Act 1998 is Malaysia Act, cited as Act 592 1998, currently marked in force and first recorded in 1998.
- Is Windfall Profit Levy Act 1998 still in force?
- Yes — Windfall Profit Levy Act 1998 is currently in force.
- When did Windfall Profit Levy Act 1998 take effect?
- Windfall Profit Levy Act 1998 was first recorded in 1998.
- How many sections does Windfall Profit Levy Act 1998 have?
- Windfall Profit Levy Act 1998 contains 33 sections.
- What amends Windfall Profit Levy Act 1998?
- Windfall Profit Levy Act 1998 has been amended by Akta Levi Keuntungan Luar Biasa (Pindaan) 2021 and Akta Levi Keuntungan Luar Biasa (Pindaan) 2022.
- Where can I read the official version of Windfall Profit Levy Act 1998?
- The official text of Windfall Profit Levy Act 1998 is published at lom.agc.gov.my.
Something wrong on this page?
If one provision's text doesn't match the official source, use Suggest a fix beside that provision — it opens an editor next to the source document. For anything else — a missing amendment, a broken link, out-of-date content, or a removal request — report it here.