Home Guides Malaysia My Second Home MM2H - Incentives

MM2H - Incentives

MMSH - IncentivesParticipants of Malaysia My Second Home Programme are provided with various incentives to make their stay more comfortable and enjoyable in Malaysia.

House Purchase

Please be informed that property purchase is not a pre-requisite for participating in MM2H programme.

Any foreigner may purchase any number of residential property in Malaysia, subject to the minimum rates established for foreigners by the different states. They start from RM500,000 per unit for most states, from 1st January 2010. Land is a state matter and it is important to check state laws before making any commitment, as the minimum purchase price is not standardised between states.

We advise buying homes which are already issued with certificates of fitness but if you intend to purchase from developers, ensure that it is a reputable company.

Also ensure that your lawyer does a thorough check with the local land office that you have ownership rights to any property that you are purchasing. Profit made on the sale of property is 5% (Real Property Gains Tax).

Quick comment: Foreigners are able to purchase as many properties as they wish, subject to their exceeding the minimum purchase price criteria, independent of whether they are on the Malaysia My Second Home Programme or not.

Car Purchase

Each participant is allowed to bring in his/her own personal car OR to purchase a locally-assembled car without the need to pay import duty, excise duty and sales tax.

Car Import

Application to IMPORT a motorcar from the participant’s country of citizenship/last domicile must be forwarded to the Ministry of Finance within a period of six months from the endorsement date of Malaysia My Second Home (MM2H) social visit pass. The condition for such importation is that the MM2H participant should be the owner of the motorcar for at least 6 months prior to obtaining the MM2H visa, as evidenced in the motorcar registration document..

Locally-Assembled Car

An Application to PURCHASE a new motorcar made or assembled in Malaysia must be must be forwarded to the Ministry of Finance within a period of one year from the endorsement date of Malaysia My Second Home (MM2H) social visit pass.

Note:

1 - Completed application forms with relevant documents which are submitted to Ministry of Finance will be processed within 10 working days.

2 - Do not make an outright purchase of the motorcar before obtaining approval for tax/duty exemption from the Ministry of Finance. However, a booking for a motorcar may be made prior to obtaining approval from the Treasury.

3 - Importation or purchase of motorcar must be for personal use only and not for commercial use.

4 - 'Personal Car' is referred to a car which was purchased by participant before joining the MM2H programme.

5 - Participants are only allowed to sell their imported/locally purchased car after 2 years' stay on the programme.

Quick tip: This is a great incentive. But it can be difficult and expensive to import your own car - there's also a lot of hassle involved. It can be easier and more cost effective just to buy a locally-assembled car - Toyota, Honda, BMW, Mercedes, and Volvo all assemble some of their models in Malaysia.

Domestic Helper

Each applicant is allowed to apply for one maid subject to the prevailing guidelines of the Immigration Department of Malaysia.

Education

Applicants are allowed to bring their children who under 21 years old and not married as their dependants under this programme.

Children who intend to continue their schooling in Malaysia are required to apply for a Student Pass and should be insured throughout their stay under this programme.

Tax

Participants are bound by the policies, systems and regulations of taxes of this country and they do not have exemption qualifications as granted to Diplomatic Missions in Malaysia.

However, tax exemption is given to pension remitted into Malaysia. Participants are required to obtain the endorsement from the Authorities in their country of origin as to the total amount of yearly pension received. A copy of this letter has to be submitted in their application.

Source: MM2H