Public Ruling 3/2014 – Taxation of Limited Liability Partnership

The IRB has issued Public Ruling 3/2014 – Taxation of Limited Liability Partnership on 9 May 2014. It explains the tax treatment of Limited Liability Partnership (LLP), including:-

• Explain the role of compliance officer or partner for income tax purpose
• LLP tax rate.
• Restriction of partner’s salary deduction
• Deductible of the incorporation expenses
• Tax treatment of adjusted loss and capital allowance
• Entitle to claim special allowance for small value assets
• Distribution of profits to partners
• Submission of estimated tax payable

Sources : IRB website