The Programme

Q:	What are the main benefits of 'Malaysia My Second Home' (MM2H) Programme?
A:	All successful applicants enjoy the following benefits: Flexibility to stay in Malaysia for as long as possible on a multiple-entry pass. This pass is initially for a period of ten years, and is renewable. Purchasing up to two properties (free-hold and lease-hold permitted) in Malaysia, without the need to get approval from ‘FIC’ (Foreign Investment Committee) and the state authority. Bringing or purchasing one passenger vehicle tax-free (saving up to 300% in tax ).  Bringing ‘dependants’ include unmarried children aged 21 years and below, step-children, disabled children and parents. Tax exemption on interest earned through the fixed deposit Tax exemption on overseas income remitted into Malaysia such as pension. Allowed to invest and actively participate in business without having to apply 'Employment Pass' Bringing one domestic helper with you
Q:	Do I have to stay in Malaysia after joining this MM2H Programme?
A:	Not necessarily. After completing your landing visit to Malaysia, you are free to enter and leave the country without any restriction
Q:	Can the Social Visit Pass be extended after 10 years?
A:	Yes, In fact this programme is promoted by the Government of Malaysia to allow foreigners who fulfill certain criteria, to stay in Malaysia for as long as possible on a multiple-entry pass.
Q:	Upon joining this program, can I apply for Permanent Residency (PR)?
A:	Yes, MM2H participant may apply for Permanent Residency after holding the Social Visit Pass for a minimum of ten years. (Please note that the Immigration Department in Malaysia does not guarantee that you will successfully obtain a PR). However, your MM2H Visa will be renewed for as long as possible on a multiple entry social visit pass.
Q:	How long does the approval process take for my application?
A:	The approval process will take 10 weeks from the date of submission of the application

Fixed Deposit

Q:	Can I withdraw my fixed deposit during my MM2H Programme stay in Malaysia?
A:	Generally, participants are not allowed to withdraw the fixed deposit for the whole duration of one year period, unless for emergency cases and with prior approval from the Ministry of Tourism. Provided that you have participated for at least a year in the MM2H Programme, you are allowed to withdraw of the fixed deposit pledged but participants aged 50 years and above need to maintain the minimum balance of RM100,000 for every year of stay under this programme and RM150,000 for participants aged below 50 years.
Q:	Does it matter whether I place my fixed deposit in a local bank or overseas bank?
A:	Yes, it does. Participants are required to open a fixed deposit account in any bank or financial institution in Malaysia. Even placing the fixed deposit in a Malaysian bank located in your home country doesn't fulfil the fixed deposit requirement.
Q:	Can I place my fixed deposit in a foreign currency and not in Ringgit?
A:	The amount of your fixed deposit account of RM300,000 (for applicants aged below 50 years old) or RM150,000 (for applicants aged above 50 years old) must be placed in Ringgit Malaysia. However, any amount beyond this minimum requirement can be made in other foreign currencies.
Q:	Does the interest derived from this fixed deposit subjected to Malaysian tax?
A:	Under MM2H Programme, interest earned from the fixed deposit placement is not subjected to Malaysian tax, as long as the fixed deposit is placed for the period of 12 months or more.

House Purchase

Q:	Does the financial criteria for the MM2H Programme include the purchase of a house in Malaysia which is valued more than RM250,000 ?
A:	No, the fixed deposit placement is the mandatory financial requirement that must be fulfilled by applicants (except for those over 50 who receive a guaranteed pension over RM10000 (USD 2,780) per month), whereas the purchase of a house by applicants of the MM2H Programme is not compulsory under this MM2H programme. Purchase of a house by a foreigner without having to go through normal process of getting approval from the state authority is considered as a 'benefit' or an 'incentive' given to the MM2H participants.
Q:	What is the special entitlement for the purchase of a house under this programme?
A:	All participants are allowed to purchase two units of residential properties at more than RM250,000 each without having to go through the normal procedure of obtaining prior approval from the Foreign Investment Committee (FIC) and the state authority upon which the house is located.
Q:	Does it make any different what type of properties that I may purchase?
A:	Yes, the fact that MM2H applicant is allowed to buy property without the need to get approval from the respective state authority and Foreign Investment Committee (FIC) only applies to residential property.
Q:	Am I allowed to buy only the new house?
A:	No, it is not necessary to buy only the new house. Participants of the MM2H Programme can also purchase a second hand house. However, they must ensure the house has been issued with the Certificate of Fitness.
Q:	Suppose later I decide to sell the house, am I subjected to the property gain tax if I earn any profit from the sale?
A:	No, there is no property gain tax incurred.

Car Purchase

Q:	Under the MM2H Programme, what are the main incentives that I am entitled to when purchasing a car in Malaysia?
A:	Import Duty, Excise Duty and Sales Tax are the type of tax and duty that you are exempted from paying should you decide to purchase a car, or bring in with you to Malaysia your ‘personal car’. This exemption can be translated into a saving of up to 300% from the normal market price of the car in Malaysia.
Q:	Is there any time limit for me to enjoy this tax exemption on the car purchase?
A:	You can only enjoy this tax exemption if your application is submitted to Ministry of Finance within one year from the date of endorsement of your Malaysia My Second Home sticker in their passport.
Q:	Am I still eligible for tax exemptions if I purchase a second hand car, instead of a brand new one?
A:	Since the Government of Malaysia does not levy any sales tax and excise duty on private sales of cars, the issue of such tax exemptions does not arise. However, please kindly take note that second hand cars which are imported are subjected to sales tax and import duty at the point of entry.
Q:	What if later I decide to sell the car, which has been given all the tax exemptions?
A:	As long as the prevailing taxes and duties on the car have been settled prior to the car sales transaction, you are given the flexibility to sell your imported or locally purchased car after 2 years' stay on the MM2H Programme.

Dependant & Education

Q:	My child is still studying at kindergarten level. Do I have to get Student Visa for my children?
A:	No, children below 7 years old (school going age) are not required to apply for a Student Visa.
Q:	Can I withdraw part of the fixed deposit to finance my children's education cost?
A:	Provided that you have participated for at least a year in the MM2H Programme, you are allowed to withdraw of the fixed deposit pledged but participants aged 50 years and above need to maintain the minimum balance of RM100,000 for every year of stay under this programme and RM150,000 for participants aged below 50 years.
Q:	Who qualifies as dependants?
A:	In line with the Immigration Circular No. 6 of 2009, the following improvements have been made to the Malaysia My Second Home (MM2H) Programme, with effect from 13 February 2009, ‘dependants’ include unmarried children aged 21 years and below, step-children, disabled children and parents.

Business & Investment

Q:	Under the MM2H Programme, am I allowed to set up a business entity in Malaysia?
A:	Yes, In line with the Immigration Circular No. 6 of 2009, some improvements have been made to the Malaysia My Second Home (MM2H) Programme. With effect from 13 February 2009 MM2H participants are allowed to invest, own and actively participate in business in Malaysia without the need to have a separate Business Visa (Employment Pass)
Q:	Can participants of the MM2H Programme participate in the local share market?
A:	Yes, participants of MM2H Programme can participate in the local share market or other instruments of investment such as unit trust, structured investment et cetera.

Employment

Q:	Would there any exception, as far as employment is concerned, for participants of the MM2H Programme?
A:	In general, participants are prohibited from being gainfully employed. However, if you possess certain special skills in your area of expertise, the Human Resources Ministry, (upon receiving your application to work in Malaysia), may grant you special approval for you to work in Malaysia by issuing an Employment Pass. Participants are allowed to invest and actively participate in business in a Malaysian company. Generally, if your purpose to live in Malaysia is to work, the appropriate visa to apply is 'Employment Pass' or 'Work Permit' and not 'MM2H'. Our company is happy to assist you to apply for that 'Work Permit'
Q:	Do I have to pay income tax?
A:	No, you do not have to pay any tax for your foreign-sourced income that is remitted to Malaysia such as pension. But for the income generated within the country, participants of the MM2H Programme are still required to pay income tax.