Malaysian Corporate Tax Versus Others In Asia Pacific
Among the measures announced in Budget 2007 is the reduction of the corporate tax from 28% currently to 27% next year and to 26% the following year.
Incidentally, Malaysia’s 28% corporate tax level has not changed since 1998.
However, our current Malaysia’s corporate tax rate is still one of the lowest among Asian countries – lower than Thailand (30%), Australia (30%) and even India (33.6%) – but higher than Singapore (20%), Hong Kong (17.5%) and Taiwan (25%) ( refer table).
Snapshot of Corporate Tax rates in Asia Pacific (%)
Sorted by Lowest to Highest %
|
Country |
Year 06 |
Year 05 |
|
Hong Kong |
17.5 |
17.5 |
|
Singapore |
20 |
20 |
|
Taiwan |
25 |
25 |
|
Vietnam |
28 |
28 |
|
Malaysia |
28 |
28 |
|
Australia |
30 |
30 |
|
Bangladesh |
30 |
30 |
|
Thailand |
30 |
30 |
|
Papua New Guinea |
30 |
30 |
|
Indonesia |
30 |
30 |
|
Fiji |
31 |
31 |
|
Sri Lanka |
32.5 |
32.5 |
|
China |
33 |
33 |
|
New Zealand |
33 |
33 |
|
India |
36.6 |
33.7 |
|
Philippines |
32 |
35 |
|
South Korea |
35 |
35 |
|
Pakistan |
35 |
35 |
|
Japan |
40.1 |
40.7 |
(Source: KPMG corporate tax rate survey 2006)
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September 11, 2006
Posted in: ASIA PACIFIC REGION, Corporate Tax, Vietnam
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