Double Tax Deduction

The Construction Research Institute of Malaysia (CREAM) has achieved Approved Research Institute (ARI) status from the Ministry of Finance (MOF) under Section 34B of the Income Tax Act 1967.

With this status, any person/company that makes a contribution/payment to CREAM is eligible for a Double Tax Deduction (DTD). DTD is applicable for the following expenditure:

Cash contribution for research activities
Payment for the use of research services

Benefits to the Industry:

Improving productivity
Solving problems through research
Reducing tax payments
Enhancing cash flow
Promoting cutting-edge technology
Acquring intellectual property (IP) to increase intangible assets

Criteria for Double Tax Deduction

Companies, including those in the service sector, are eligible for the double deduction incentive on expenses incurred for undertaking research and development (R&D) activities
R&D means any systematic or intensive study undertaken in the field of science or technology with the objective of using the results of the study for the production or improvement of materials, devices, products, produce or processes, excluding:
- quality control of products or routine testing of materials, devices, products or produce
- research in the social sciences in humanities
- efficiency surveys or management studies
- market research or sales promotion
- periodical or routine modification of materials, tools, products or methods of production
- cosmetic modification or stylistic modification of materials, tools, product or method of production

CREAM encourages construction companies and individuals to engage in discussions with us to explore the potential of enjoying DTD by providing research grants to CREAM's researchers. This initiative aims to foster collaboration between companies and CREAM for the mutual benefit and advancement of the construction industry.

FAQ

Download Act 53

For any enquiries, please contact our support.

Tel : +603 2779 1479
Email: cacti@cream.my / bpip@cream.my