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Finance Ministry to issue tax exemption order for religious institutions, says minister

KUALA LUMPUR  — The Finance Ministry will issue a tax exemption order for religious institutions following the confusion arising from the amendment to paragraph 13 (1) Table 6 of the Income Tax Act 1967.

Second Finance Minister Datuk Johari Abdul Ghani said the order was to exempt all types of income of religious institutions registered under the Registrar of Societies or under any written laws regulating the institutions, from tax.

“The order will be issued very soon,” Johari said in a statement here on 10 Jan 2017.

He said the order, which to be issued under Section 127 of the Income Tax Act 1967 was also aimed at making clear the latest status of the religious institutions after the amendment took affect.

Johari said the decision was made after his meeting with representatives of the religious institutions Jan 9, which was also attended by the Inland Revenue Board chief executive officer Datuk Sabin Samitah. — Bernama

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