Key Recent Tax Developments

In this issue, we wish to highlight the following key tax developments:

(i) Administrative concession on withholding tax payments made to agents, dealers and distributors
(ii) Income tax exemption on foreign sourced income
(iii) Malaysia Digital

Withholding tax on payments made to agents, dealers and distributors (ADD)

The Inland Revenue Board (IRB) has issued a media release dated 9 July 2022 announcing administrative changes to the submission of withholding tax on payments by companies to resident individual agents, dealers or distributors (“ADD”) under Section 107D of the Income Tax Act 1967.

Under the law, the withholding tax withheld under Section 107D is to be remitted to the IRB within 30 days from the date of payment of the amount to the ADD. However, as an administrative concession, effective from July 2022, companies are required to accumulate the 2% withholding tax in respect of payments made to a resident individual ADD on a monthly basis and to remit the accumulated amount of withholding tax to the IRB latest by the end of the following month.

Feel free to download the full version:

For more information, please contact:

Celine See
Tricor Services (Malaysia) Sdn Bhd
Director, Business Development

Tel: +6 03 2783 9191
Email: [email protected]

For other Tricor services, please email to [email protected] or visit to

Contact us

Fill in the form below or give us a call and we'll contact you. We endeavour to answer all enquiries within 24 hours on business days. hbspt.forms.create({ portalId: "3792145", formId: "a008bb6d-c0ac-4fa1-a838-c808fef8e8e1" });