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 tax on foreign income?

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shingyong84
post Mar 31 2016, 07:45 PM

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Sorry to bring this topic up again, but I have question.

I was now based in Malaysia and work from home (for my own sole-proprietorship company in Singapore) as all my business my delivered online via email.
I set-up a virtual office by only renting a legal office address for client to make send me payment.

Payment from client was directly into my Singapore bank account.
I went Inland Revenue to ask, but the officer said I do not have to pay for Singapore tax, as long as the work wasnt being "produce" in Singapore.
It doesnt matter why i was paid in Sing.

But then I heard foreign-earned income is exempted in Malaysia.
So how ah...? I dont have to pay tax? can someone guide me? hmm.gif ohmy.gif

Got such big toad anyhow hopping on the street anot..? devil.gif

This post has been edited by shingyong84: Mar 31 2016, 07:46 PM
shingyong84
post Mar 31 2016, 07:49 PM

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QUOTE(shingyong84 @ Mar 31 2016, 07:45 PM)
Sorry to bring this topic up again, but I have question.

I was now based in Malaysia and work from home (for my own sole-proprietorship company in Singapore) as all my business my delivered online via email.
I set-up a virtual office by only renting a legal office address for client to make send me payment.

Payment from client was directly into my Singapore bank account.
I went Inland Revenue to ask, but the officer said I do not have to pay for Singapore tax, as long as the work wasnt being "produce" in Singapore.
It doesnt matter why i was paid in Sing.

But then I heard foreign-earned income is exempted in Malaysia (i was paid in Singapore)
So how ah...? I dont have to pay tax? can someone guide me? hmm.gif  ohmy.gif

Got such big toad anyhow hopping on the street anot..?  devil.gif
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shingyong84
post Mar 31 2016, 08:01 PM

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QUOTE(gark @ Mar 31 2016, 07:48 PM)
You based in MY, you do work from MY.. doesnt matter if your money go to SG.

You are liable for MY tax NOT SG tax.

MY foreign income exempted only if you are NOT working in MY or foreign investment income.
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Thanks for the quick respond smile.gif

Sorry to ask a silly quest.. how to define "NOT WORKING" in MY eh..?

Yes, I was based in MY more than 185days a year.
NOT WORKING.. hmm.. yeah, most of the time not in working condition.
Not tagging with any agencies. No working record in Malaysia..

My role is basically a middle-man/ art buyer.
To buy Malaysian Art behalf of my company in SG and sell to overseas clients..

So it was actually some other artists WORK, send me soft copy, and i export via email.

This post has been edited by shingyong84: Mar 31 2016, 08:43 PM
shingyong84
post Apr 2 2016, 03:41 AM

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QUOTE(TC-Titan @ Apr 1 2016, 12:45 PM)
From MY Tax point of view: U should be deriving income from MY based on your role/function as a middle-man/art buyer in MY. Since you are being remunerated for that role to your clients the income earned during your stint in MY shud be taxed here.

The time period of > 182 days only determines whether u shud be taxed as a Tax Resident or not.

Since u have been in MY for more than 6 months, I assume u have been travelling back and forth a few times and did not stay in MY consecutively for the entire 6 months.

If you didn't use any Professional Visit Pass or Employment pass to come in to MY for that 6 months duration, then it will be difficult for IRB to prove on your income derivation activities unless you declared to Immigration that your intention to stay in MY for X no. of days was for work/business purposes.

100% of your fees charged to your customers will be paid to your sole prop in SG?
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I am a Malaysian, i stayed in MY for more than 6 months consecutively except some minor travelling to Singapore to do some banking within a day.

I have a team of freelancers in MY who produced me artwork, and my role is just order them to produce and sell to 3rd Party in SEA.
All 100% fees were paid to my sole-prop registered company in SG.

This post has been edited by shingyong84: Apr 2 2016, 03:47 AM
shingyong84
post Apr 4 2016, 03:31 PM

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Thanks for the clarifications, guys! smile.gif

 

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