Malaysia's 2026 Budget Speech was delivered on 10 October 2025. The main Tax Measures are summarized as follows:
- Imposition of Income Tax on Limited Liability Partnership (LLP) Profit Distributions: Profit distributions exceeding MYR 100,000 per year received by individual partners in an LLP are subject to a 2% tax rate, effective from the year of assessment 2026;
- Review of Tax Exemption on Foreign-Sourced Income (FSI): The tax exemption on FSI (dividends and capital gains) for resident …