Tax deduction of reduction of commercial rent
The Income Tax (Other Incentives) Regulations 2018 is amended and under the new change a landlord is allowed a tax deduction for reduction of commercial rent. This means tenancy for any premises used for commercial purposes but not include residential purpose. The rent reduction refers to the rent payable between 01 April 2020 to 31 December 2020. The deduction will only apply to existing rental contracts. Landlord will have to provide record of rental income received for the past 6 months.
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