Professional Documents
Culture Documents
INCENTIVES FOR
TOURISM INDUSTRY
Introduction
Promoting of tourism industry to foreign and
domestic tourists by tax investments under
various relevant status.
direct tax incentive give partial from
income tax for specified period & indirect
tax incentive form exemption from duty
sales tax and excise duty
Pioneer status
Investment Tax Allowance (NPA)
Industrial building Allowance
undertaking New Investments(PA)
Reinvestment in Hotel and Tourism project
Hotel
Additional incentives for healthcare travel
Luxury Yacht industry
Pioneer Status
Enjoy 5 year partial exemption
Pay tax on 30% of its statutory income
Promoted area gets exemption of 100%
on statutory income
Non-promoted area gets exemption of
70% on statutory income
Application submitted to MIDA
PIONEER STATUS
(NON PROMOTED AREA)
Purchase of motor vehicles: RM 500,000
Qualifying assets (Motor vehicles)
IA : 20%
AA: 20%
Cost
(-)IA(20%x 500)
(-)AA(20% x 500)
Residual Expenditure
RM000
500
(100)
(100)
300
YA 2010
Adjusted income
(-) Capital allowances
Statutory income
(-) Exempt income (70%)
Deemed total income
RM000
800
(200)
600
(420)
180
Promoted Area
YA 2010
Adjusted income
(-) Capital allowances
Statutory income
(-) Exempt income (100%)
Deemed total income
RM000
800
(200)
600
(600)
0
Incentive hotel
RM000
800
1500
1400
3700
2,220
1554
= 466.2
Boats
Mini train
Trucks, lorries @ vans
ITA@
Boats
Mini train
Trucks, lorries @ vans
ITA@
800
1500
1400
3700
3,700
Offset
3,700
Industrial
Building Allowances
QCE
incurring:
Construction/purchase of building
(manufacturing, agriculture, mining, infrastructure
facilities, research approved by Service Projects).
Hotels need to be registered with the Ministry of
Tourism.
Eligible
RM000
600
(60)
(18)
522
Local Tourists
promoter can be a
company association or organization.
Foreign participants must be 500 or more.
Tax exemption on SI derived from
organizing conference held in Malaysia.
Deduction on Cultural
Performance
Expenditures
incurred by companies on
establishing and managing a musical or
cultural group and sponsoring local and /
or foreign cultural performances as
approved by the Ministry of Tourism.
Qualifies
Double deduction on
overseas promotion
To
Allowable cost :
Expenditure on advertisement in overseas media.
Publication of brochures, magazines, articles.
Market research for new market overseas subject to prior approval
of the Minister of Tourism.
Fares outside Malaysia to negotiate or secure contract for
advertising or participating in trade fairs, conferences, forum
approved by the Minister of Tourism.
Double deduction on
Approve Trade Fairs
To
Advantages
There many advantages in having tax incentives in
tourism project such as
Summary