AuctionData.com.my

Eligibility

It is open to citizens of all countries recognised by Malaysia regardless of race, religion, gender or age. Allicants are allowed to bring their spouses and unmarried children below the age of 18 as dependants.

Incentive

Participants of MM2H Programme are provided with various incentives to make their stay more comfortable and enjoyable in Malaysia.

House Purchase

Participants are allowed to purchase residential properties price depending on the location of the property
1. Minimum RM300,000 per unit for certain areas in the state of Sarawak (Kuching, Miri and Sibu);
2. Minimum RM250,000 per unit for the other states.

Car Purchase

Each participant is allowed to bring in their 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 MM2H social visit pass. The condition for such importation is that MM2H participant should be the owner of the motorcar 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 forwarded to the Ministry of Finance within a period of one year from the endorsement date of 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.
3. Importation or purchase of motorcar must be for personal use only and not for commercial use.
4. ‘Personal Car’ is refereed 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.

Domestic Helper

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

Education

Applicants are allowed to bring ther children who under 18 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.

Please refer to the Ministry of Higher Education Malaysia’s website, www.mohe.gov.my, for a complete list of all institutions of learning in this country.

Tax

Participants are bound by the policies, systems and regulations of taxes of this country and they are not have exemption qualification 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.

Please refer to Inland Revenue Board Malaysia’s website: www.hasil.org.my for the tax system.

Other Matters:

Please refer to www.mm2h.gov.my for further information.

Financial Requirements

Successful applicants are required to comply with the following financial criteria upon receipt of the ‘conditional approval letter’ from the Malaysian Immigration Department.

Applicants are expected to be financially capable of supporting themselves for ten years on this programme in Malaysia, without the need to work in the country. Besides fulfilling the basic financial criteria of Fixed Deposit placement of RM150,000 (for those aged 50 and above) or RM300,000 (for those aged below 50) , applicants should furnish documentation on their financial position to strengthen their application.

Aged Below 50 years old

- Open a fixed deposit account of RM300,000
- After a period of one year, the participant can withdraw up to RM240,000 for approved expenses relating to house purchase, education for children in Malaysia and medical purposes.
- Must maintain a minimum balance of RM60,000 from second year onwards and throughout stay in Malaysia under this programme.

Aged 50 years and above

Can either choose to:

1. Open a fixed deposit account of RM150,000; or
2. Show proof of monthly off-shore income of RM10,000 in government pension.

- After a period of one year, participant who fulfills the fixed deposit criteria can withdraw up to RM90,000 for approved expenses relating to house purchase, education for children in Malaysia and medical purposes.
- Participant must maintain a minimum balance of RM60,000 from the second year onwards and throughout his/her stay in Malaysia under this programme.

Application Documents

New Applications

All applicants who wish to apply to stay in Malaysia under MM2H Programme must submit the following documents:

Letter of Application. The letter should consist:

1. Personal background and as well as your intention in joining this program.
- Persons whom you wish to come with (single or with family members).
- Briefly explain how you will support your stay in Malaysia (financial capabilities)
- Indicate the financial criteria you wish to use; either Fixed Deposit or monthly off-shore income (for 50 years and above).
2. Two (2) copies of Form IM.12 (Social Visit Pass Form)
3. Two (2) passport-sized photographs
4. A certified copy of Passport/ travel document (all pages)
5. A certified copy of a Marriage Certificate (If accompanied by spouse)
6. A certified copy of birth certificate (if accompanied by Children)
7. A certified copy of latest bank statement/ other related financial document to indicate the financial capability to support stay in Malaysia.

Note:
- Items 2-4 are also required if accompanied by spouse and children as dependants
- Dependants refer to children aged below 18 years old and not married.
- Only applicants who are drawing from Government Pensions will be considered to have fulfilled the “Monthly off – Shore Income” criterion.

Successful applicants are exempted from the requirements of leaving the country to obtain a Visa from Malaysia Representative Office abroad. Visa will be issued in Malaysia together with a Social Visit Pass.

Extensions – Change of Passport

This applies to those who did not receive the full duration of the 10 year Visa because of the short validity period of their passport at the time of approval and would like to receive the remaining period upon the issuance of a new passport.

The applicant must appear in person at the Immigration Department of Malaysia and is required to bring the following documents:

1. Old and New passport
2. Photocopy of the New passport
3. IM.12 Form; and
4. Payment of RM90 per year for the social visit pass fee, payable to the Immigration

Department of Malaysia
Extensions – After 10-Year Period

The applicants must be present in person at the Immigration Department of Malaysia and is required to bring the following documents:

1. Letter of Intent to continue stay in Malaysia under this programme
2. Passport
3. Photocopy of Passport
4. IM.55 Form
5. Payment of RM90 per year for the social visit pass fee, payable to the Immigration Department of Malaysia

Termination

The applicant should forward the following documents to the MM2H Centre:

1. Letter of Intent to terminate stay in Malaysia under this programme
2. Passport
3. Photocopy of Passport

Restriction

Participants under MM2H are not allowed to work (receiving salary from Malaysia registered company) in Malaysia.

In addition, they should not participate in activities that can be considered as sensitive to the local people and threat to the security of the country.

General

Do I need a sponsor?

The program requires a local sponsor. All registered MM2H Agency have being appointed as an authorized sponsor for the MM2H program to assist you and sponsor your application. Sponsorship valid as long as your participating in the program.

Can existing assets in Malaysia be used for application?

Existing properties, shares, and other assets are not recoginsed by the Malaysia Government for this program. You must fulfill the fixed deposit requirement unless you are qualified to applied using your monthly income.

What is the minimum requirement to stay or visit Malaysia per year?

There is no minimum requirement for you to stay or visit Malaysia per year. You may come and as you pleased. However, you must come to Malaysia when your application has been approved for endorsement.

Fixed Deposits

Can I place the fixed deposit in a Malaysian bank located in my country?

No. The fixed deposit account must be in any Malaysian bank or a financial institution located in Malaysia.

Can the purchase of a house in Malaysia which is valued more than RM250,000 be considered as having fulfilled the financial criteria for this programme?

Yes. Participants who purchased a house or apartment valued at RM1,000,000 and above only have to place the RM60,000 deposit on their application.

Am I allowed to withdraw my fixed deposit for a few months and then topped it back later?

Participants are not allowed to do this, unless for an emergency purpose and only with prior approval from the Ministry of Tourism.

Can I withdraw my fixed deposit any time during my stay in Malaysia?

After a period of one year, the participant may withdraw their fixed deposit for approved expenses relating to house purchase, education for children in Malaysia and medical purposes. Participants can apply to withdraw part of their fixed deposit for emergency cases such as medical purposes, etc. with approval of the Ministry of Tourism.

Investment

Can I open a restaurant, book shop or clinic in Malaysia under this programme?

Yes. Participants under this programme allowed to have their own business but not allowed to accept employment in Malaysia.

Employment

I am a qualified doctor in US. How can I get to work in a Malaysia hospital or a private hospital?

Under MM2H, participants are NOT allowed to accept employment.

Education

Children below the school going age (that is 7 years old) are not required to apply for a Student Visa. They need only apply for a Social Visit Visa.

House Purchase

Are the participants entitled to any special entitlements?

All participants are allowed to purchase residential properties at more than RM250,000 each except for certain areas in Sarawak where the minimum value is RM300,000.

Can I purchase a house for residential purpose and a shop lot to be rented out ?

Yes, you can purchase as many as you can afford.

In event of death is the deceased‘s estate able to pass their Malaysian assets to any of his beneficiaries smoothly. Does the Government have any restriction on this matter?

No. it is a normal procedure that he/she has a Will which indicated clearly to whom the properties are to be given. If a Will is not available the next of kin of the participant will have to apply to the Government to have his properties released to them as the rightful heirs.

Must foreigners buy new Malaysia property only, such as from developers, or can they purchase any property, such as from individual owners (second hand or third hand property)?

Participants can purchase any type of housing properties.

Do I need to obtain prior approval from Foreign Investment Committee (FIC) for the purchase and sale of my house?

Participants under this programme are not required to obtain prior approval for the purchase and sale of houses from FIC.

Am I subjected to a capital gains tax if I make a profit from selling my house?

No.

Car purchase

Is a participant who buys a second-hand local car eligible for tax exemptions?

Second hand cars are transacted on a willing buyer, willing seller basis and the government do not levy any sales tax and exercise duty on such transactions. As such tax exemptions do not arise. However, second hand cars which are imported are subject to sales tax and import duty at the point of entry.

If I had a car accident and as a result I need to change the car, do I have to pay back the tax exemptions?

Given the following situations:

If the car is repaired and sold it will be subject to the applicable tax/ duty according to the prevailing rates.
If car is written off, taxes will be waived.
If the participant wishes to buy another car, their application will be processed on merit of each case. Under normal circumstances a participant of this program is allowed tax exemption for a car on a one time basis.

When can I sell the car, which has been given all the tax exemptions?

Cars that have been exempted from taxes and duties under this program can be sold or its ownership transferred provided the prevailing taxes and duties on the cars the condition stipulated in the AP should be complied before any sale or transfer can be permitted.

Income Tax

What kind of taxes are the participants of this programme normally subjected to?

Income tax is imposed on income earned from investments in local companies and local share market. Please refer to hasilnet.org.my for more details on the tax structure.

Is the interest for their fixed deposit taxable? Some say it taxable, other it is not taxable. If the deposit amount exceeds RM100,000 or if the deposit period is one year. What is the exact regulation?

Interest earned by an individual from fixed deposit account is exempted in the following situations: -

The period of the deposit exceeds twelve months or more –any amount of interest.
The period of deposit is less than twelve months – interest on fixed deposit account of up to a maximum of RM100,000

Is income remitted from abroad taxable?

Income from abroad are not taxable.

Does the participant have to submit any personal tax declaration to the Income Tax Department of Malaysia, like Malaysians have to?

Yes.