INTRODUCTION

In effort to develop arts, culture and heritage, the government through the 2020 Budget has increased the tax deduction limit to RM1 million for one year of assessment which aims to encourage sponsorship of arts, culture and/or heritage activities through the Tax Deduction, Sponsorship of Arts, Culture and/or Heritage Activities under paragraph 34(6)(k) of the Income Tax Act 1967 (ACP1967). Sponsorship of arts, culture and/or heritage activities that qualify is for programs organized by ministries, government departments/agencies, private entities or NGOs. Sponsored arts, culture and/or heritage activities must obtain the approval of the Ministry of Tourism, Arts and Culture (MOTAC) to qualify for deduction under paragraph 34(6)(k) of the ACP1967.

CHECKLIST

1. To obtain a Letter of Support for the organization of the program/activity/event, the organizer/representative is required to submit an application at least 60 DAYS before the implementation date complete with the following documents:

a. Form DK1–PCP2025;
b. Application Letter/Email from the Organizer;
c. Complete Program/Activity/Event Working Paper;
d. Estimated Program/Activity/Event Expenditure; and
e. Comments/Supporting Documents from Relevant Departments/Agencies

2. The organizer/applicant must submit a COMPLETE program/activity/event Implementation Report within 90 DAYS from the date the program/activity/event ends to obtain a Letter of Approval by submitting complete documents as follows:

a. Form DK2–PCP2025;
b. Application Letter/Email from the Organizer;
c. Complete Program/Activity/Event Implementation Report;
d. Program/Activity/Event Expense Report; and
e. Proof of Sponsorship Disbursement Transaction:
i. Letter of Offer and Acceptance
ii. Cash Voucher
iii. Physical/Online Money Transfer Receipt
iv. Bill/Receipt/Invoice – Sponsorship of Goods/Services
v. Other relevant documents (if required)

APPLICATION PROCEDURE
Completed applications should be submitted to:

Division Secretary
Cultural Policy Division
Ministry of Tourism, Arts and Culture
Level 4, Tower 1, No.2
Jalan P5/6, Precinct 5
62200 PUTRAJAYA

Tel: 03-8891 7372/7537/7457
Email: tax deduction@motac.gov.my

Failure to submit complete documents based on the checklist may result in the application being REJECTED .