TAX AND SEEKS CLARIFICATION ON INDUSTRIAL BUILDING ALLOWANCE

Taxand Malaysia is seeking clarification from the government on whether the proposed amendments to the Income Tax Act concerning tax relief claim is applicable to existing building owners or new owners. Currently, owners of industrial buildings are allowed to claim tax breaks for maintaining the building even if they don’t operate the business conducted at the premises. It will affect the business models of companies that own buildings such as warehouses, hotels, hospitals, but lease them out for income.