not as easy to migrate..no matter where you go you will most likely miss the place you are born

My friend, if one day the government change the policy? As I've always says, Government is the last person/thing you can trust.

hi all..

how about if inherit prop & cash from parent and later give large sum money back to parent in the form of (cash, transfer to their account) would parent will will subject to tax?

any idea anyone?

don't think got any tax. Only the bank would ask parents why got "big" amount transfer into their account, where the source of income etc.. last time it's 50k, but now I heard 20k also can create suspicious to the bank if involved personal saving account

there is no inheritance tax in MY.

Only Capital Gains Tax in MY is RPGT

yes...i am aware that there is no inheritance tax in malaysia...from understanding...
inheritance is like parent to children...now how about after children received the money later give large sum to parent..can this consider inheritance as well ( parent inherit money from children??)

you can call its Gift

Normally England - Parent to Child is inheritance,

Child to Parent is Gift

But do bear in mind, if parents or children give Property to each other, there is potential RPGT

oh..ok thanks for your advice cfa28 bank side not so worry as i can proof the origin come from inheritance...so is not "unknown money"

Dear cfa28, been reading all your informative replies and now I would like to ask a quick question.

Receiving a lump sum amount of money (as a gift) from US relative to buy a property in Malaysia, do I need to declare anything to any authority in Malaysia or they will come to me eventually?

Things have been done: printed out a form which we googled online: Declaration of Gift & Solvency, has all the details filled up, relative in US signed, witness signed and notarized in US. In short, this document saying this is a gift to me in Malaysia ... etc. Even have the photocopy of the bank statement in US. All these sufficient to let me buy the property in Malaysia with peace of mind?

Thank you.

ultra666


As far as I know, there is no income tax if you receive a gift or donations but there is another issue besides tax that you have to consider which is AML / CTF (Anti-Money Laundering and Counter-Terrorism Financing)


If you suddenly receive a large sum of money in your bank account, just make sure that you can account for the source of funds. Else, you will be immediately be red flagged for AML/CTF and the penalties if you are convicted for an offence under the AML/CTF Act are substantial; RM3 mln fine and/or 5-years in jail.


You will need to show proof that someone gave you the gift and also why. The authorities might even want to investigate the source of funds, i.e. who is this person who gave you the gift and where he got his money. Of course, all this is relative and it depends on how much we are talking about.


If it is only USD10K – probably not


If it is USD1 mln – be prepared to be called for an interview.

But to answer your questions directly, you should pay a visit to the inland revenue and ask the officers whether you need to declare the gift for income tax purposes.

For the AML your receiving bank will ask you for some documents before the transfer is allowed. However this does not mean that you are in the clear as the bank may still red flag you. Subsequently you will know when you are contacted for more information.

This post has been edited by cfa28: Oct 23 2017, 12:02 PM