Capital Allowance: Are Sanitary and Pipeline Fittings a Plant?
C.I.T. Andhra Pradesh (the appellant) v M/S Taj Mahal Hotel, Secunderabad 12 August 1971 The respondent, who is the assessee, is a registered company running a hotel in Secunderabad with branches at Sultan Bazar and King Kothi in Hyderabad. During the previous year ending 30th September 1959, relating to the assessment year 1960-61, the assessee […]
Capital Allowance: Whether Car Wash enclosures constitute Plant
Attwood (HM Inspector of Taxes) and Anduff Car Wash Ltd This was an appeal by the Revenue from a decision of the special commissioners that the entire site on which stood a building incorporating car washing machinery and control equipment qualified as “plant” for the purposes of capital allowances. Anduff’s trade was operating some 78 […]
Capital Allowance: Whether expenditure on constructing a Car Valeting Bay is Plant
It was held by the First-Tier Tax Tribunal that the valeting bay was not plant. The building does not perform a function, it was a place of work which does not amount to plant. Rogate Services Limited v HMRC Introduction 1. This is an appeal by Rogate Services Limited (“the Taxpayer”) against the disallowance of […]
Capital Allowance: Whether a Ship used as a Restaurant constitutes Plant
High Court of Justice (Chancery Division) Court of Appeal Benson (H.M. Inspector of Taxes) v Yard Arm ClubLtd 15 January 1979 England & Wales In 1962 the Company bought a secondhand ship and converted her into a floating restaurant. The converted hulk had no means of propulsion or steering. She was moored with an attendant […]
Capital Allowance: Premises Test, Functional Test & Business Use Test
Wimpy International Ltd v Warland (H.M. Inspector of Taxes) Associated Restaurants Ltd v Warland (H.M. Inspector of Taxes) Court of Appeal (Civil Division) England & Wales / 07 December 1988 These were appeals by the two taxpayer companies against the decision of Hoffmann J. ([1987] BTC 591) that the Special Commissioners were entitled to hold […]
Back to Basic: The Capital Allowance in Malaysia, Is Horse a Plant?
It is no secret that claiming Capital Allowances on plant and machinery expenditure can be a complicated business. While claiming allowances on business equipment such as motor vehicles, computers, tables, and chairs is straightforward, fully maximising a Capital Allowances claim on renovation and property purchases is fraught with complexities. Even the most basic question doesn’t […]
Registration of a Labuan Trust or Labuan Special Trust
A Labuan Trust has the same meaning assigned to it by Part II of the Labuan Trusts Act 1996 (LTA). What is trust? An agreement through which a party (an individual or a settlor) gives the right to another party (the trustee) to manage various assets and properties in the name of a beneficiary (or […]
Labuan Companies (Amendment) Regulations 2022
In Labuan, offshore and foreign offshore companies can be incorporated, registered, and administered under the Labuan Companies Act of 1990. Labuan companies are permitted to do business in Malaysian currency with a Malaysian resident and to conduct petroleum activities in Malaysia as of March 20, 1997, under the Labuan Companies (Amendment) Act 1996. The sponsors […]
Labuan Foundations
The Labuan Foundations Act of 2010 regulates the formation of foundations in Labuan as well as their administration and dissolution after they have been established. What is a Labuan foundation? A Labuan foundation is similar to a company in that it is a corporate body with a separate legal entity, established to hold assets in […]
Labuan Islamic Financial Services and Securities (Amendment) Regulations 2022
The Labuan Islamic Financial Services and Securities Act 2010, which went into effect on February 11, 2010, establishes the licencing and regulatory framework for Islamic financial services and securities in Labuan. It also allows for the establishment of Islamic banking and Takaful businesses, including captive Takaful businesses, as well as Labuan Islamic trusts, foundations, limited […]
