109B. Deduction of tax from special classes of income in certain ...

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Tajuk
109B. Deduction of tax from special classes of income in certain cases derived from
:
Malaysia.
Tarikh Kuatkuasa :
Tarikh Tamat
:
Kuatkuasa
Kategori
Rujukan Perundangan\Akta Cukai Pendapatan 1967 - Seksyen\PART VII - COLLECTION
:
AND RECOVERY OF TAX\PART VII - COLLECTION AND RECOVERY OF TAX\
Rencana
Akta Cukai Pendapatan 1967
(Akta 53)
Pindaan Sehingga Akta A1349 Tahun 2009
Tarikh Keluaran :
Title : Income Tax Act
Part : PART VII - COLLECTION AND RECOVERY OF TAX
Chapter : PART VII - COLLECTION AND RECOVERY OF TAX
Section : 109B. Deduction of tax from special classes of income in
certain cases derived from Malaysia.
109B. (1) Where any person (in this section referred
to as "the payer") is liable to make payments to a non-
resident-
(a) for services rendered by the non-resident
person or his employee in connection with the use
of property or rights belonging to, or the
installation or operation of any plant, machinery or
other apparatus purchased from, such nonresident;
Deduction
of tax from
special classes
of income in
certain cases
derived from
Malaysia.
[ Ins. Act
293;
Am. Act
309;
Act 328: Act 557; Act 661]
(b) for technical advice, assistance or services
rendered in connection with technical
management or administration of any scientific,
industrial or commercial undertaking, venture,
project or scheme; or
(c) for rent or other payments made under any
agreement or arrangement for the use of any
moveable property,
History
Paragraph 109B(1)( c ) amended by Act 557 of
1997 s19(a), by deleting the words "where the
duty is leviable under the Cinematograph Film-
Hire Duty Act 1965,", in force from 1 January
1997.
Paragraph 109B(1)( c ) formerly read:

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" ( c ) for rent or other payments, not being
payments of film rentals, where the duty is
leviable under the Cinematograph Film Hire Duty
Act 1965, made under any agreement or
arrangement for the use of any moveable
property, ".
which is deemed to be derived from Malaysia, he shall,
upon paying or crediting the payments, deduct
therefrom tax at the rate applicable to such payments,
and (whether or not that tax is so deducted) shall within
one month after paying or crediting such payment,
render an account and pay the amount of that tax to the
Director General:
Provided that the Director General may-
(i) give notice in writing to the payer requiring him
to deduct and pay tax at some other rates or to
pay or credit the payments without deduction of
tax; or
(ii) under special circumstances, allow extension
of time for tax deducted to be paid over.
(2) Where the payer fails to pay any amount due
from him under subsection (1), that amount which he
fails to pay shall be increased by a sum equal to ten per
cent of the amount which he fails to pay, and that
amount and the increased sum. shall be a debt due
from him to the Government and shall be payable
forthwith to the Director General.
History
Subsection 109B(2) is amended by Act 661 of 2006
deemed to have come into operation on 2 september
2006, by substituting for the words “an amount equal to
ten per cent of the payments liable to deduction of tax
under paragraph (1)(a), (b) or (c) and the total sum” the
words “a sum equal to ten per cent of the amount which
he fails to pay, and that amount and the increased
sum”.
Subsection 109B(2) formerly read:
Where the payer fails to pay any amount due from him
under subsection (1), that amount which he fails to pay
shall be increased by an amount equal to ten percent of
the payments liable to deduction of tax under
subsection (1)(a), (1)(b) or (1)(c) and the total sum shall
be a debt due from him to the Government and shall be
payable forthwith to the Director General.

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Subsection 109B(2) substituted by Act 557 of 1997 s19
(b), in force from 25 October 1996.
Subsection 109B(2) formerly read:
" ( 2) Where the payer fails to pay any amount due from
him under subsection (1), the amount which he fails to
pay shall be a debt due from him to the Government
and shall be payable forthwith to the Director General.
".
(3) Where in pursuance of this section any
amount is paid to the Director General by the payer or
recovered by the Director General from the payer-
(a) the Director General shall, in the manner
provided by section 110, apply that amount
towards payment of the tax charged on the
person to whom the payer was liable to pay the
payments to which the amount relates; and
(b) if the payer has not deducted that amount in
paying the payment under subsection (1) with
respect to which the amount relates, he may
recover that amount from that person as a debt
due to the payer.
(4) In this section "person" includes a partnership.