Malaysia has a favorable business climate and has a high degree of openness toward foreign investments. While some business sectors are closed to foreign entrepreneurs, the country encourages certain other industries through significant incentives. Our lawyers in Malaysia describe the tax incentives programme in the country. 
 

Investments in a number of industries in Malaysia are facilitated by the available tax incentives. Manufacturing, information technology services, energy conservation, environmental protection or biotechnology are among the industries that have tax incentives available for investors.

These incentives include investment tax allowances, for example, a 60% or 100% allowance on capital investment made up to ten years, double deductions, reinvestment allowances (for qualifying projects) and accelerated capital allowances.

The Government has also set a special regime for the principal hubs: companies incorporated in Malaysia that conduct regional and global businesses from the country and that have their main control operations located here.

One of the experts at our law firm in Malaysia can give you more information on qualifying principal hubs.
 

Most sub-sectors in Malaysia have been liberalized, however, restrictions on investment and full foreign ownership still apply. The country has a National Committee for the Approval of Investments in the Services Sector and investors are advised to talk to a lawyer in Malaysia for more information on the applications submitted to the Committee.

It is expected that the country will continue to open more sub-sectors to foreign investors, among which transport, health, and social services or computer services.

One of our lawyers in Malaysia can give you more information on how to apply for these investment incentives and the special requirements in some sectors.

You can contact us for more information on investment in Malaysia and the regulatory policies.