The Implementation Of Globe Rules In Malaysia
The Ministry of Finance (MOF) is inviting the private sector, including businesses and tax experts, to provide feedback on the Budget 2023 Public Consultation Paper (PCP) titled “The Implementation Of Globe Rules In Malaysia”.
The PCP is tied with Malaysia's participation in the implementation of the Global Anti-Base Erosion (GloBe) Model Rules (Pillar Two) Initiative inclusive of the Framework on Base Erosion and Profit Shifting (BEPS).
Is 2023 an acceptable date to do so?
Concerning the timeline of the implementation of the GloBE Rules, the PCP poses the question, "Is 2023 an acceptable date to do so?"
The OECD suggests that the Income Inclusion Rule (IIR) of the GloBE Rules will be implemented in 2023. On the other hand, the Undertaxed Profits Rule (UTPR) will be implemented the following year, in 2024.
If you want to provide input to the Ministry of Finance, please be aware that this must be sent on or before the 15th of August, 2022, at 5:00 p.m. local time in Malaysia.