Tax treatment

16
Tax Treatment on
Islamic Finance 
in Malaysia
Undoubtedly, tax incentives are clearly an important aspect in developing and promoting the 
Islamic financial market. 
Basically, tax incentives can be broadly categorised into:-
a. 
Tax incentives to diversified players such as Banking, Takaful and Fund Management
b. 
Tax incentives to facilitate Islamic finance transactions in Malaysia
c. 
Tax incentives on Expertise
A wide range of tax incentives across the Islamic finance spectrum in promoting Malaysia as an 
international Islamic financial centre are identified below (which are not exhaustive):