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burntan
19-04-2006, 03:48 PM
Exchange Control Act 1953 (Revised - 1969) (Act 17)
Part III -
Section 8. Payments in Malaysia.
Except with the permission of the Controller, no person shall do any of the following things in Malaysia:

(a) make any payment to or for the credit of a person resident outside the scheduled territories;

(b) make any payment to or for the credit of a person resident in the scheduled territories by order or
on behalf of a person resident outside the scheduled territories; or

(c) place any sum to the credit of any person resident outside the scheduled territories:

Provided that where a person resident outside the scheduled territories has paid a sum in or towards the satisfaction of a debt due from him, paragraph (c) shall not prohibit the acknowledgement or recording of the payment.

Under the exchange control act above, is that mean we make payment to foreigner to purchase something from the net is illegal?

Reference:http://www.kpmg.com.my/kpmg/publications/tax/15/a0017.htm

durkheim1
22-04-2006, 09:36 PM
Exchange Control Act (ECM) should be read when the understanding on the definition of i/ Resident, ii/ Non-Resident and iii/ Non-Resident Control Companies (NRCC) is cleared.

ECM 4 - General Payments
may allow transfer of funds in/out of M'sia.

burntan
23-04-2006, 07:44 AM
Exchange Control Act (ECM) should be read when the understanding on the definition of i/ Resident, ii/ Non-Resident and iii/ Non-Resident Control Companies (NRCC) is cleared.

ECM 4 - General Payments
may allow transfer of funds in/out of M'sia.

How come I can't find the ECM 4 at that page?

BTW, really appreciate your reply. Do you happen to know if there is any restriction to make large amount Telegragphic Transfer to foreign company for payment?

durkheim1
23-04-2006, 02:51 PM
Err...I had not been keeping in touch on ECM issues for quite a long time, so sorry for the lacked of details.

But the ECM is to regulate the flows of funds, so I guess your intention to make large fund transfer may come into the purview of the Act.

Anyone can help Burntan?