Expenditure specifically allowed as a deduction under S34(6) of ITA 1967.
Refer to Appendix D of Form C 2008 Explanatory Notes/Guidebook for further details on the scope and source of deductibility.
List below expenses entitled for special deduction:
1. Equipment for disabled employees; or expenditure on the alteration or renovation of premises for the benefit of disabled employees (Amended with effect from Year of Assessment 2008)
2. Translation into or publication in the national language of books approved by Dewan Bahasa dan Pustaka
3. Provision of library facilities or contributions to libraries not exceeding RM100,000
4. Provision of services, public amenities and contributions to approved charity/community projects pertaining to education, health, housing infrastructure, information and communication technology
5. Revenue expenditure on the provision and maintenance of child care centre for employees’ benefit
6. Establishment and management of approved musical or cultural groups
7. Expenditure incurred in sponsoring any approved local and foreign arts, cultural or heritage activity:
– not exceeding RM500,000 in aggregate
– not exceeding RM200,000 for sponsoring foreign arts, cultural or heritage activity
8. Provision of scholarship to a student receiving full-time instruction leading to an award of diploma/degree (including Masters/Doctorate)
9. Capital expenditure incurred in obtaining accreditation for a laboratory or as a certification body
10. Revenue expenditure on scientific research directly undertaken and related to the business
11. Incorporation expenses
12. Cost of acquisition of proprietary rights
13. Corporate debt restructuring expenditure
14. Information technology-related expenditure
15. Pre-commencement of business training expenses incurred within one year prior to the commencement of business
16. Contribution to an approved benevolent fund/trust account in respect of individuals suffering from serious diseases
17. Provision of practical training in Malaysia to resident individuals who are not own employees
18. Promotion of exports - registration of patents, trademarks and product licensing overseas
19. Implementation of RosettaNet
20. Investment in a venture company
21. Deduction for gifts of new personal computers to employees (Year of Assessment 2001 - 2003)
Deduction for gifts of new personal computer and monthly broadband subscription fee to employees (Year of Assessment 2008 - 2010)
22. Cost of developing website
23. Investment in an approved food production project
24. Cost on acquisition of a foreign owned company
25. Investment in a project of commercialisation of research and development findings
26. Promotion of exports - hotel accomodation and sustenance provided to potential importers
27. Expenditure on issuance of Islamic securities
28. Expenditure on issuance of asset backed securities
29. Expenditure on issuance of Islamic securities pursuant to Istisna’ principle
30. Cash contribution and sponsor of a cultural or arts show held in Federal Territory Kuala Lumpur
31. Investment in an approved food production project
32. Audit expenditure
33. Expenditure incurred for the development and compliance of new courses by private higher education institutions
34. Expenditure for establishment of an Islamic stock broking business
35. Expenditure incurred for participating in international standardization activities approved by the Department of Standards Malaysia
36. Expenditure incurred on the provision of infrastructure in relation to its business which is available for public use, subject to the prior approval of the Minister
37. Deduction for investment in a Bionexus status company
38. Deduction for cost of spectrum assignment
39. Deduction for cost of obtaining Chain of Custody Certification from Malaysian Timber Certification Council