Are you looking to boost your business credibility while reducing your tax bill? The tax deduction for quality certification allows Malaysian companies to claim expenses incurred for obtaining Halal, quality systems, and standards certificates. Under the Income Tax Act 1967, these incentives are designed to make local products more competitive globally.
Understanding Sections 34(6)(m) and 34(6)(ma)
The Inland Revenue Board of Malaysia (LHDN) provides two specific types of deductions based on the certification type:
- Single Deduction 34(6)(m): For expenses related to accreditation of a testing laboratory or as a certification body.
- Double Deduction 34(6)(ma): For expenses related to obtaining quality system and standards certificates, including Halal certification.
Eligibility Criteria for Claiming Tax Deductions
To qualify for the tax deduction for quality certification, companies must ensure their certificates are issued by approved bodies.
- For Accreditation: Must be proven by certificates issued by the Department of Standards Malaysia (JSM).
- For Halal: Must be issued by JAKIM, State Islamic Religious Departments, or State Islamic Religious Councils.
- Timing: Claims must be made in the basis period when the certificate is actually issued.
Allowable Expenses for Double Deduction
Under Section 34(6)(ma), the following non-capital expenses qualify for a double tax deduction for quality certification:
- Application fees.
- Annual fees (for the first year only).
- Assessment fees.
- Other fees charged by JSM or approved Certification Bodies prior to obtaining the certificate.
New Update: Starting from the year 2026, the Anti-Bribery Management System (ABMS) is included in the list of eligible quality management programs.
Non-Deductible Expenses
Not all spending qualifies for the tax deduction for quality certification. The following costs are strictly excluded:
- Consultancy fees (e.g., travel, accommodation, and food).
- Employee training costs for the certification process.
- Any amount not specifically charged by JSM or the approved body.
Comparison of Tax Deduction Types
| Certification Type | ITA 1967 Section | Deduction Rate |
| Testing Lab Accreditation | 34(6)(m) | Single (1x) |
| Halal Certification | 34(6)(ma) | Double (2x) |
| ISO / QMS / ABMS | 34(6)(ma) | Double (2x) |
Key Takeaways
- Double your savings: Focus on 34(6)(ma) for Halal and ISO to get 200% deduction.
- Timing is key: If the process takes 2 years, claim everything in the year the certificate is issued.
- Keep Records: You don’t need to apply to LHDN to claim, but you must keep the certificates for audit purposes.
FAQ: Tax Deduction for Quality Certification
Q:Do I need to fill out a special form to claim this?
A: No, there is no specific application form. You claim it directly in your Income Tax Return Form (Borang Nyata Cukai Pendapatan).
Q: Can I claim the annual surveillance fee?
A: Surveillance fees and renewal fees are only allowed as a single deduction under Section 33(1) of the ITA, not as a double deduction.
Q: What happens if my certificate is issued in 2025?
A: You can claim all eligible expenses (including those spent in 2024) in the 2025 Year of Assessment.
Full PDF Version: Garis Panduan Potongan Perbelanjaan Di Bawah Perenggan 34(6)(m) dan 34(6)(ma) Akta Cukai Pendapatan 1967 Bagi Maksud Pengiraan Cukai Pendapatan
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