Latitax
StrongReviewed 2026-09-29

Malaysia

Malaysia exempts foreign-sourced income received by resident individuals until 31 December 2036, has no capital gains tax on shares for individuals and no inheritance tax, and costs far less to live in than Singapore or Hong Kong. MM2H gives 5 to 20 years of residence for a USD 150,000 to USD 1 million fixed deposit plus a home purchase, with only 90 days a year in the country. The catches: Malaysian-source income is taxed up to 30%, dividends above RM100,000 now carry a 2% tax, the foreign-income exemption is a time-limited order rather than law, and MM2H money and property are locked in.

Latitax verdict

Foreign income brought in by individuals is exempt, with a long-stay visa (MM2H).

Ideal for: Retirees and remote founders wanting low cost and low tax in Asia.

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At a glance

Headline figures. Conditions, thresholds and every note are in the full file.

Income tax, top rate

Verified

30%

Capital gains

Unverified

0% for individuals on shares

Inheritance / estate

Secondary

None

Wealth tax

Secondary

None

Corporate tax

Secondary

24% (15%/17% for qualifying SMEs)

Tax system

Secondary

Foreign income exempt for individuals until 2036

Research, not advice. Rates change; confirm with a qualified professional before acting. 10 official sources, reviewed 2026-09-29.