The country-by-country (CbC) reporting rules and regulations have been implemented in Malaysia with an effective date of 1 January 2017.
The Malaysian Inland Revenue Board (MIRB) has a dedicated website—CbC Portal—for CbC reporting information. Among recent updates include a list of “frequently asked questions” (FAQs) on CbC reporting and sample notification letters.
The FAQs (19 October 2018) address the following issues:
The MIRB had released sample notification letters (Amendment 1/2018) for both reporting and non-reporting entities. The amendments were made to standardize and streamline certain language or terminology. For instance, there are instructions that the notification letter is to be made on the MNE’s official letterhead and the submission of the notification letter (original copy) is to be addressed to:
Department of International Taxation
Headquarters Inland Revenue Board of Malaysia
Level 12, Menara Hasil
Persiaran Rimba Permai
Cyber 8, 63000 Cyberjaya
The reporting entity is to notify the Director General, in writing, if it is the ultimate holding entity (or the surrogate Malaysian holding entity), on or before the last day of the reporting financial year. The notification letter must include details of all Malaysian and foreign non-reporting constituent entities. Read a sample notification letter [PDF 281 KB] to be provided by a reporting entity.
For a non-reporting entity, the Director General must be notified, in writing, of the identity and tax residence of the reporting entity, on or before the last day of the reporting financial year. Read a sample notification letter [PDF 202 KB] to be provided by a non-reporting entity.
For more information, contact a tax professional with KPMG’s Global Transfer Pricing Services group in Malaysia:
Bob Kee | +603 7721 7029 | firstname.lastname@example.org
Chang Mei Seen | +603 7721 7028 | email@example.com
Ivan Goh | +603 7721 7012 | firstname.lastname@example.org
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