The Inland Revenue Board of Malaysia recently published two practice notes regarding the changes in withholding tax requirements on service payments introduced as part of the Finance Act 2017 (Act 785), which include that payments for services to non-residents are now subject to a 10% withholding tax, regardless of where the services are performed. The two practice notes clarify the application of the new rules. Practice Note No. 1/2017 The first practice note clarifies that the change applies from 17 January 2017 and that the 10% withholding tax is applicable for services performed outside Malaysia: When contracts are signed and...