Double Tax Agreement Singapore And Malaysia

This relationship is underpinned by a rich, if turbulent, common cultural and political history between the two countries; They were just a nation until a few decades ago. In order to deepen economic relations, the two countries have put in place a double taxation treaty (DBA) that helps individuals and businesses avoid the burden of double taxation of income. The DBA aims to facilitate the cross-flow of trade, investment and technical know-how between the two countries. Interest is taxed at 10% under the double taxation treaty between Singapore and Malaysia, while royalties are taxed at 8%. Technical royalties are taxed at 5% under the deal, but a tax rate of 17% is applied to Singapore companies operating in Malaysia. Singapore added Malaysia to its list of double taxation treaties in 1968. The agreement was amended in 2004; These amendments entered into force in 2007, for both Singapore and Malaysia. . . .