The Budget for 2008 was presented to the Parliament by the Prime Minister on 7 September 2007. Details of the Budget, which unless otherwise indicated will apply from the year of assessment 2008 (Malaysia has a "current year" basis of assessment for income tax purposes), are summarized below. Single tier tax system Currently, Malaysia uses an imputation system. Sec. 108 of the Income Tax Act 1967 (ITA) is the statutory provision for the implementation of the imputation system. A single tier company income tax system will be introduced. Companies which have no credit balance of the section 108 account will...