Labuan Tax Developments
Updated: Aug 25, 2022
The following Amendment Acts have been gazetted on 9 June 2022 and are deemed to have come into operation on 1 January 2019:
Labuan Companies (Amendment) Act 2022;
Labuan Financial Services and Securities (Amendment) Act 2022; and
Labuan Islamic Financial Services and Securities (Amendment) Act 2022
These three Amendment Acts 2022 contain amendments to the Labuan Companies Act 1990, Labuan Financial Services and Securities Act 2010 and Labuan Islamic Financial Services and Securities Act 2010.
Labuan Companies (Amendment) Act 2022
Labuan was never intended to be a "tax haven," and the government of Malaysia has always been on guard against the possibility that it will be abused to facilitate international money laundering.
Following the implementation of the Base Erosion and Profit Shifting (BEPS) Action Plan in 2013 by the OECD and G20 countries, which led to the development of minimum standards and best practice in tax, Malaysia has committed to implementing and adhering to these minimum standards.