REAL PROPERTY GAINS TAX (RPGT)
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Merger of Insurance Companies |
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The Real Property Gains Tax (Exemption)(No.2)
Order 2002 provides that real property gains tax exemption be given in respect
of chargeable gains derived from the transfer of chargeable assets pursuant to an
approved merger of insurance companies. The said merger must be completed on or between
1st April, 1999 until 30th August, 2002 and approved by Bank Negara Malaysia.
The completion of the merger scheme is on the date Bank Negara Malaysia receives
the sale and purchase agreement or the conditional sale and purchase agreement signed
by the relevant insurance company for the purpose of the merger. This Order revokes
the Real Property Gains Tax (Exemption)(No.7) Order 1999.
"Insurance company" means
an insurance company licensed under the Insurance Act 1996.
The exemption order is deemed to have come into operation on 1st April, 1999. |
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Merger of Stock Broking Companies |
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The Real Property Gains
Tax (Exemption)(No.5) Order 2002 provides that real property gains tax
exemption be given in respect of chargeable gains accruing on the disposal of any
chargeable assets to another member company pursuant to an approved scheme of merger
or acquisition resulting in a universal broker company where the instrument of agreement
for merger on acquisition is executed on or between 1st January, 2001 until 31st
December, 2002. For the purpose of this Order:-
"a member company" has
the meaning assigned to it under subsection 2(1) of the Securities Industry Act
1983 [Act 280].
"an universal broker company" means a member company that has been granted
universal broker status by the Securities Commission;
"an approved scheme of merger or acquisition" means a merger or acquisition
that has been approved by the Securities Commission;
"an instrument of agreement for merger or acquisition" means a merger,
acquisition or sale and purchase agreement pursuant to an approved scheme of merger
or acquisition.
The exemption order is effective
from 1st January, 2001. |
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