Low TH & Co offers assistance with your COR Application, with a processing time typically ranging from 7 to 14 working days. Our processing fee for the COR application starts from RM600 per application.

A COR is issued to verify the taxpayer's residence status for taxation purposes. Malaysia has established Double Taxation Agreements (DTAs) with various treaty partners. The COR allows Malaysian tax residents to claim tax benefits under the DTA and avoid double taxation on the same income.

What is the Avoidance of Double Taxation Agreement (DTA)?

A Double Taxation Agreement (DTA) is a pact between Malaysia and another country aimed at preventing the double taxation of income earned in one country by a resident of the other country. A treaty country is one that has signed a DTA with Malaysia.

The DTA outlines the taxation rights between Malaysia and its treaty partner concerning different types of income derived from cross-border economic activities between the two nations. It also includes provisions for tax reduction or exemption on specific types of income.

Only tax residents of Malaysia and the respective treaty country are eligible for the benefits provided by a DTA. Malaysia has entered into approximately 69 effective DTAs. For details regarding the varied rates of withholding tax on interest, royalty, and technical fees, please refer to the "DTA Agreement Rates" section.

If you are a Malaysia tax resident

If you earn income from a treaty country, you might face taxation in that foreign nation. Nevertheless, you can seek DTA benefits that allow Malaysian tax residents to receive reduced tax rates or tax exemptions in that foreign country.

To avail of these benefits, you must provide the Certificate of Residency (COR) to the foreign tax authority as proof of your Malaysian tax residency status.

Refer to the "Determination of Residence Status" section to ascertain whether you qualify as a Malaysian tax resident or not.

How to apply COR?

There are 2 methods to apply for COR namely:

i. manually; or

ii. e-Residence

Application of COR Manually

Application for COR can be made to any Branches of the Inland Revenue Board (IRB). However, for the taxpayers of the Corporate Tax Department (CTD)/ Big Taxpayer Branch (BTB) and Jalan Duta Branch (JDB), the application should be submitted to the Department of International Taxation (DIT). The application that has been sent to CTD/ BTB and JDB will be forwarded to DIT for processing.

The address for Department of International Taxation is as follows:

Headquarters of Inland Revenue Board of Malaysia

Department of International Taxation

Menara Hasil Level 12

Persiaran Rimba Permai

Cyber 8

63000 Cyberjaya

Selangor, Malaysia

Tel: 03-83138888 (Ext. 21218/ 21231/ 21232)

Fax: 03-83137848/ 03-83137849

Applicant

The taxpayers that need to apply for COR manually are:

1. Individual taxpayers;

2. Partners (individual) of a partnership;

3. Taxpayers (individual or company) whose tax files are being handled by the Non Resident Branch;The application for COR is to be send to the Non Resident Branch at the following address:

Inland Revenue Board of Malaysia

Non Resident Branch

3rd Floor, 6 – 8 Blok 8

Kompleks Bangunan Kerajaan

Jalan Duta

50600 Kuala Lumpur

Tel: 03-62091000

Fax: 03-62019745

4. COR for Saudi Arabia, Indonesia, France, Singapore and Switzerland need to be made in their special Forms which could be downloaded from their official website.

5. Taxpayers (individual or company) whose tax files are being handled by Labuan BranchThe COR application should be send to the Labuan Branch at the following address:

Inland Revenue Board of Malaysia

Labuan Branch

Unit E.004 dan E.005

1st Floor, Aras Podium

Kompleks Ujana Kewangan

Jalan Merdeka

87000 W. P. Labuan

Companies and Trust Files

Application for COR for companies and trust files, other than the one mentioned above, can apply manually or through e-Residence.

Application Form For COR

For all COR application, the Form STM1 is to be completed. Where application is for more than one certificate, the Form STM1A should also be completed.

Supporting Documents

• Companies

For application of COR for year of assessment where the Return Form is not yet due, the supporting documents that should be submitted are:

A copy of the Minutes of Board of Directors’ Meeting that was held in the year being applied; or

A confirmation letter signed by a director, stating that the management and control of the company are exercised in Malaysia for the year of assessment applied; and

A copy of Form 49 from Companies Commission of Malaysia (CCM)

• Individual

Passport, original and photocopies; and

List of movement in/out Malaysia for the year of assessment applied.

• Partnership

The residence status of an individual, who is a partner of a partnership, is determined pursuant to Section 7, Income Tax Act, 1967. The residence status of a company, being a partner of a partnership, will be determined pursuant to Section 8, Income Tax Act 1967. The supporting documents required are as stated in paragraphs (I) and (II) above.

• Trust

A copy of the trust deed (for newly registered file)

Checklist

All information required and necessary documents as in the Checklist are to be enclosed.

Low TH & Co can assist in your COR Application. The processing time is around 7 to 14 working days. Our processing fee for application of COR is From RM600 per application.

Steps to apply for COR

Kindly email us at info@lowthco.com for the following information:-

• INFORMATION REQUIRED

1. Name of Taxpayer

2. Income Tax Reference Number

3. Principal business activity

4. Business Address

5. Treaty Country

6. Year of Assessment required

7. Type of Income received

8. Period of Payment

9. Amount of payment received

10. Name and address of Foreign Payer

11. Correspondence Address of Taxpayer

12. Name and telephone number of contact person

13. Applicant’s email address

14. A copy of the Passport and Employment Pass (Original document required for verification)  

15. List of movement in / out of Malaysia

16. A copy of the minutes of the Board of Directors’ meeting or a confirmation letter signed by the director regarding the management and control of the company are exercised in Malaysia (if the Tax Return Form is not due) 

17. A copy of the trust deed (for newly registered file)

18. A copy of Form 49 from Companies Commission of Malaysia (SSM)

• Payment of our processing fee – From RM600

• Preparation of application form and send to you for approval. Kindly sign and scan back to us for processing.

• Submission the application to IRB

• Receive the COR in 7 to 14 days.

• Kindly remind that you do not require to apply for another COR for similar transaction in the same country.