Technical Guideline on the Tax Treatment of Foreign Income Received in Malaysia

The Inland Revenue Board of Malaysia (IRBM) has issued a new technical guideline dated 29 September 2022 on the tax treatment of income received from abroad. As previously reported, the general tax exemption on foreign-source income received in Malaysia was restricted to persons not resident in Malaysia as part of the 2022 Budget measures, meaning that resident individuals and companies became subject to tax on their foreign-source income from 2022, with an initial 3% transitional tax. Howev…