Operational Headquarter: Diagonal’s Shift from Singapore To KL

Reported in The Star that:

“ Diagonal Consulting Sdn Bhd, a Britain-based business and technology consultancy company, has relocated its operational headquarters (OHQ) to Kuala Lumpur from Singapore.
“Diagonal invested about RM2mil to establish the OHQ at the Petronas Twin Towers.
The key reason to relocate was the 50% cheaper operational cost compared with Singapore, as well as the multilingual workforce which enables us to serve our global customers well,” global support and resources director, Andy Hughes told a media briefing yesterday. “
Andy Hughes also said that “ Diagonal was the first consultancy company granted OHQ status in Malaysia. “
A little bit on OHQ status:

• The status is granted by the Malaysian Industrial Development Authority (Mida) to companies that provide support services regional and globally and
• The status offered 10 years tax exemption, permission to open foreign accounts on foreign funding, as well as liberal employment of expatriates for OHQ.

As part of financial strategy, for those who are Malaysian based and having companies locally and overseas, they should contemplate this tax incentive scheme.

For foreign companies, they can re-looked into this OHQ status in line with the shared service centre concept.

• Setting Up An Operational Headquarters (OHQ) In Malaysia(Part 2)
• Setting Up An Operational Headquarters (OHQ) In Malaysia (Part 1)
• Singapore Cuts Corporate Tax And Increase GST to 7%
• Malaysia Moving Forward – Abolishment of Real Property Gains Tax & Special Incentive Area –Iskandar Development Region
• Multimedia Super Corridor (MSC) (Part 3)
• SINGAPORE WANTING TO GO BY YEAR END INTO OECD’s WHITE LIST ON TAX COMPLIANT ON INTERNATIONAL TAX EVASION
• Comparison of No of REITS in Singapore and Malaysia.