Malaysia has many attractive tax incentives for manufacturing, agriculture, and tourism activities. These incentives include pioneer status, investment tax allowance, reinvestment allowance, double deduction, etc. which are given with the objectives of developing Malaysia into a developed country, as well as changing the economy of the country from agriculture-based to industrial based.

A company that desires to participate in a promoted activity or produces a promoted product may make an application to the Malaysian Investment Development Authority (MIDA) for pioneer status and investment tax allowance

REQUIRED:

a. Discuss in detail the incentives for Malaysian tax purposes. Your discussion should include a detailed explanation of the pioneer status and investment tax allowance in Malaysia.

(50 marks)

b. Compare and contrast in details the incentives available in ANY ASEAN country (e.g: Singapore) your discussion should include a detailed explanation on the pioneer status and investment tax allowance in ASEAN country