Q: 

I am an engineer employed in Malaysia, and I will be seconded overseas for 2 years to conduct feasibility studies in Singapore, which are connected to and part and parcel of my regular duties in Malaysia. Will my employment income for these 2 years during secondment be subject to tax in Malaysia?

A: 

As the overseas duties are incidental to the exercise of your employment in Malaysia, the employment income is deemed derived from Malaysia. Therefore, the employment income is taxable in Malaysia.  

I am an engineer employed in Malaysia and will be seconded overseas for 2 years to assist a related company in China on a project where the direction and control of the work lie with the related company and are not connected to my employment in Malaysia. Will my employment income for these 2 years paid by the related company be subject to tax in Malaysia?  

A: 

As the overseas duties in China are not incidental to your employment in Malaysia, the remuneration received for this period is not deemed derived from Malaysia. Hence, the employment income is not taxable in Malaysia.