INCOME TAX ACT 1967 (ACT 53)
PART II - IMPOSITION AND GENERAL CHARACTERISTICS OF THE TAX
Section 15. Derivation of interest and royalty income in certain cases.
[Am. Act A158:s.4; Am. Act A451:s.4]
Gross income in respect of interest or royalty shall be deemed to be derived from Malaysia-
(a) if responsibility for payment of the interest or royalty lies with the Government or a State Government; or
(b) (i) if responsibility for payment of the interest or royalty in the basis year for a year of assessment (the responsibility of any guarantor being disregarded in the case of interest) lies with a person who is resident for that basis year; and
(ii) in the case of interest it is payable in respect of money borrowed by that person and employed in or laid out on assets used in or held for the production of any gross income of that person derived from Malaysia or the debt in respect of which the interest is paid is secured by any property or asset situated in Malaysia; or(c) if the interest or royalty is charged as an outgoing or expense against any income accruing in or derived from Malaysia.
[Subs. Act 328:s.6]
|[Act 158:s.4; Act 451:s.4;
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