On 31 May 2024, the Malaysia Digital Economy Corporation ("MDEC"), with the support of the Ministry of Digital and the Ministry of Finance, introduced a new outcome-based tax incentive scheme ("MD Tax Incentive") for eligible Malaysia Digital Status ("MD Status") (formerly known as Multimedia Super Corridor Status ("MSC Status")) companies.
The MD Tax Incentive aims to create a more conducive environment for foreign investments in the digital economy and ecosystem in Malaysia. It offers reduced tax rates (RTR) on qualifying intellectual property (IP) and non-IP incomes, and investment tax allowances (ITA) for capital expenditures.
For more information about the qualifying criteria and the benefits offered under the MD Tax Incentive, please click here to read our Legal Update.
