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MAE3013
Corporate Taxation and Zakat Administration




 NUR INTAN LYANA BT ISMAIL         1090088
 ROSHIDAH BT MOHD RODZI            1090089
 NUR LIYANA BT MAT ZAIN            1090090
 NURUL HUSNA BT MOHD SALLEH        1090106
 ZAIDA FARHANA BT MOHD SHALADDIN   1090115
MIDF
Incorporated on 30 March 1960
Purpose – Ensure access to financing
 manufacturing-based small-and-medium
 enterprises
  – 2003, merged with Amanah Capital Partners Bhd
  – 2004, acquire Utama Merchant Bank Bhd
  – 2006, established MIDF Amanah Investment Bank
    Bhd (MIDF Investment)
MIDF Investment
Established as a result of the integration of 4
 subsidiaries of MIDF Group
Activities- investment banking-related services
 (financial advisory, underwriting of equities
 and debt instruments and etc.)
   MIDF Development Finance Division
Activities- provides financing for
 manufacturing-based and services-based
 small and medium enterprises (conventional
 and Shariah compliance)
Product- project, machinery, factory mortgage
 and working capital term loans and etc. to
 finance acquisition of machinery and
 equipment, resolve credit and factoring for
 working capital purposes.
 MIDF Amanah Asset Management Bhd
             (MIDF Amanah)
Activities- provides fund management
 services to statutory bodies, private pension
 funds and etc.
BACKGROUND
HISTORY
• MIDF was incorporated on 30 March 1960. It
  is the first and only development finance
  institution in Malaysia who is listed in the
  Bursa Malaysia. Its objective is to promote the
  development of the manufacturing industry in
  Malaysia through the provision of medium
  and long-term loans.
PROFILE
• MIDF has many diverse and deep experiences in
  financial service industry. Its main incorporation
  purpose is to ensure access to financing for
  manufacturing-based small and medium
  enterprises (SMEs). In 2003, MIDF had merged
  with Amanah Capital Partners Berhad. MIDF also
  had acquisited Utama Merchant Bank Berhad
  (MIDF Investment). In 2006, MIDF Amanah
  Investment Bank Berhad (MIDF Investment) is
  established. MIDF’s core business areas are
  investment banking, development finance and
  asset management.
BOARD OF DIRECTORS
                       Y.Bhg. Tan Sri Dato’
                                                 Y.Bhg. Dato’
Y.Bhg. Tan Sri Dato’    Ir. (Dr) Wan Abdul
                                              Kalsom binti Abd.
Mahmood bin Taib         Rahman bin Haji
                                                   Rahman
                            Wan Ya’acob


   Ir. Dr. Haji
                        Puan Zaiton binti     Encik Sharkawi bin
 Muhamad Fuad
                         Mohd. Hassan                Alis
  bin Abdullah


                                    Y.Bhg. Datuk
            Encik Wan Roshdi
                                  Mohd. Najib bin Hj.
             bin Wan Musa
                                      Abdullah
SHARI’AH COMMITTEE MEMBERS

Ir. Dr. Hj. Muhamad Fuad bin Abdullah


Dr. Mohamed Fairooz bin Abdul Khir

Dato’ Haji Muhamad Asri bin Haji
Abdullah
GROUP MANAGEMENT COMMITTEE
Name                                    Position
Y. Bhg. Datuk Mohd Najib Hj. Abdullah   Group Managing Director
Y. Bhg. Dato’ Megat Hisham Megat        Head of Investment Banking Division
Mahmud
Encik Scott Lim Kok Seng                Head of Asset Management Division
Encik Nik Izani Nik Muhamad             Head of Development Finance Division
Encik Parthasarathy a/l B.S Narayanan   Chief Risk Officer of Investment Banking
                                        Division
Encik Azizi Mustafa                     Chief Operating Officer
Encik Foo Wei Hoong                     Chief Financial Officer
Puan Shahnaz Radhiah Zulkifli           Head of Group Secretarial and
                                        Legal/Company Secretary
Encik Ahmad Rafidi Harun                Head of Group Control Assurance Services
ROLES OF MALAYSIAN INDUSTRIAL DEVELOPMENT FINANCE(MIDF)

                    Development
Investment          finance
Banking             -MIDF                         Asset
-MIDF Amanah        Development               management
Investment          Finance Division          MIDF Amanah
Bank Berhad                                       Asset
                                              Management
                                              Berhad (MIDF
                                                Amanah)




                         3 DIVISION
Is the result of the integration of 4 subsidiaries of MIDF
Investment Banking
                     group
-MIDF Amanah         •Responsibilities:
Investment Bank      1.To deliver value-added advisory and structuring solutions
Berhad               to companies, institutions and government agencies in areas
                     such as mergers and acquisitions and restructuring.
                     2. To be involved in identifying and originating
                     deals, maintaining client relationship, assisting the execution
                     process of mandated deals.
                     3. To design and provide fund-raising strategies in the debt
                     and equity capital markets.




  Development
                         to promotes the development of the industrial
  finance
                           sector in Malaysia through the provision of
  -MIDF
                        financing for manufacturing-based and services-
  Development
                              based small and medium enterprise
  Finance Division
• Asset management
• MIDF Amanah Asset
  Management Berhad
    (MIDF Amanah)



                       1.To provides fund management services
          2. To provides its services to individuals, institutional
          investors, and corporations
             3.To employs a fundamental analysis with a top-down and a
               bottom-up stock picking approach to create its portfolios
DEVELOPMENT
MIDF have provided soft loan schemes. The
 available schemes from MIDF are:
• Soft Loan Scheme for Small & Medium Enterprises
  (SLSME)
• Soft Loan Scheme for Automation & Modernisation
  (SLSAM)
• Soft Loan Scheme for Automotive Development
  (SLSAD)
Soft Loan Scheme for Small & Medium
         Enterprises (SLSME)
• The SLSME was launched in December 2001 to
  promote the development of small and medium
  enterprises in Malaysia. This Scheme assists
  existing as well as newly start-up enterprises in
  fixed assets, IT software/hardware and working
  capital financing.
• The fund for this Scheme is channeled by the
  Government of Malaysia via SME Corporation
  Malaysia to MIDF for the implementation of the
  Scheme.
Soft Loan Scheme for Automation &
        Modernisation (SLSAM)
• The SLSAM was launched in February 2007 to:

   i) encourage industries to modernize and automate their
   manufacturing processes;
   ii) upgrade production capability and capacity; and
   iii) assist companies in:-
    – minimizing dependence on labour-intensive activities and foreign
      labour;
    – diversifying into higher value-added activities; and
    – rationalizing and streamlining their operations through mergers and
      acquisitions.

• The fund for this Scheme is channeled by the Government of
  Malaysia via the Ministry of International Trade and Industry (MITI)
  to MIDF for the implementation of the Scheme.
Soft Loan Scheme for Automotive
          Development (SLSAD)
• The SLSAD was launched in February 2007 to:-

   i) encourage automotive parts and components manufacturers to
   rationalize their operations; and,
   ii) assists companies in:-

    – tooling acquisition, development and production;
    – productivity improvement; and,
    – enhancing export performance.

• The fund for this Scheme is channeled by the Government of
  Malaysia via the Ministry of International Trade And Industry (MITI)
  to MIDF for the implementation of the Scheme.
MIDF 2011
                           Achievement
MIDF have completed many deals with other companies. They are :
 AWC BERHAD, IDEAL JACOBS , SEAL INCORPORATED BERHAD, MITRAJAYA
  HOLDINGS BERHAD, HAISAN RESOURCES BERHAD,THE MEDIA SHOPPE
  BERHAD, and C.I. HOLDINGS BERHAD
Some of their roles in the dealings made are as:
•   Adviser
•   Independent Adviser
•   Sponsor
•   Sole Underwriter
•   Sole Placement Agent
•   Principal Adviser
•   Lead Arranger
•   Facility Agent
Incentives for Automotive Parts &
       Component Manufactures
• Investments tax allowance- 60% on the
  qualifying capital expenditure incurred within
  five years from the date the first capital
  expenditure is incurred.
• Can be offset against 100% of the statutory
  income each year of assessment.
• Any unutilized allowances can be carried
  forward to subsequent years until fully
  utilized.
Soft Loans Scheme for Automotive
          Development
      Criteria                          Revision

 Percentage of Financing        Up to 90% of eligible expenses


                           Up to 7 years including grace period up to
   Repayment tenure                          2 years


                           2% annually based on annual balances for
      Interest rate                         SMEs
                           3% annually based on annual balances for
                                          non-SMEs
Conclusion
 MIDF was incorporated with the objective to promote the development of
  the manufacturing industry in Malaysia through the provision of medium
  and long-term loans.
 MIDF achieved its ambition to become a leading financial services provider
  in three core business areas :


      Investment                  Development                 Assets
        Banking                     Finance                 Management
                                                                  Provides fund
                                   Promotes the provision
                                                            management services to
         Provides financial             of financing for
                                                            statutory bodies, private
       advisory, underwriting       manufacturing-based
                                                                     pension
                                      and services-based
        of equities and debt                                     funds, insurance
                                      small and medium
       instruments, treasury                                    companies, state
                                       enterprises which
        activities and equity                                 government-related
                                    includes conventional
        brokerage services.                                    funds, charities and
                                   and Shari’ah-compliant
                                                                foundations, and
                                           financing.
                                                                   corporations.

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Corporate Taxation and Zakat Administration for SMEs

  • 1. MAE3013 Corporate Taxation and Zakat Administration NUR INTAN LYANA BT ISMAIL 1090088 ROSHIDAH BT MOHD RODZI 1090089 NUR LIYANA BT MAT ZAIN 1090090 NURUL HUSNA BT MOHD SALLEH 1090106 ZAIDA FARHANA BT MOHD SHALADDIN 1090115
  • 2. MIDF Incorporated on 30 March 1960 Purpose – Ensure access to financing manufacturing-based small-and-medium enterprises – 2003, merged with Amanah Capital Partners Bhd – 2004, acquire Utama Merchant Bank Bhd – 2006, established MIDF Amanah Investment Bank Bhd (MIDF Investment)
  • 3. MIDF Investment Established as a result of the integration of 4 subsidiaries of MIDF Group Activities- investment banking-related services (financial advisory, underwriting of equities and debt instruments and etc.) MIDF Development Finance Division Activities- provides financing for manufacturing-based and services-based small and medium enterprises (conventional and Shariah compliance)
  • 4. Product- project, machinery, factory mortgage and working capital term loans and etc. to finance acquisition of machinery and equipment, resolve credit and factoring for working capital purposes. MIDF Amanah Asset Management Bhd (MIDF Amanah) Activities- provides fund management services to statutory bodies, private pension funds and etc.
  • 6. HISTORY • MIDF was incorporated on 30 March 1960. It is the first and only development finance institution in Malaysia who is listed in the Bursa Malaysia. Its objective is to promote the development of the manufacturing industry in Malaysia through the provision of medium and long-term loans.
  • 7. PROFILE • MIDF has many diverse and deep experiences in financial service industry. Its main incorporation purpose is to ensure access to financing for manufacturing-based small and medium enterprises (SMEs). In 2003, MIDF had merged with Amanah Capital Partners Berhad. MIDF also had acquisited Utama Merchant Bank Berhad (MIDF Investment). In 2006, MIDF Amanah Investment Bank Berhad (MIDF Investment) is established. MIDF’s core business areas are investment banking, development finance and asset management.
  • 8. BOARD OF DIRECTORS Y.Bhg. Tan Sri Dato’ Y.Bhg. Dato’ Y.Bhg. Tan Sri Dato’ Ir. (Dr) Wan Abdul Kalsom binti Abd. Mahmood bin Taib Rahman bin Haji Rahman Wan Ya’acob Ir. Dr. Haji Puan Zaiton binti Encik Sharkawi bin Muhamad Fuad Mohd. Hassan Alis bin Abdullah Y.Bhg. Datuk Encik Wan Roshdi Mohd. Najib bin Hj. bin Wan Musa Abdullah
  • 9. SHARI’AH COMMITTEE MEMBERS Ir. Dr. Hj. Muhamad Fuad bin Abdullah Dr. Mohamed Fairooz bin Abdul Khir Dato’ Haji Muhamad Asri bin Haji Abdullah
  • 10. GROUP MANAGEMENT COMMITTEE Name Position Y. Bhg. Datuk Mohd Najib Hj. Abdullah Group Managing Director Y. Bhg. Dato’ Megat Hisham Megat Head of Investment Banking Division Mahmud Encik Scott Lim Kok Seng Head of Asset Management Division Encik Nik Izani Nik Muhamad Head of Development Finance Division Encik Parthasarathy a/l B.S Narayanan Chief Risk Officer of Investment Banking Division Encik Azizi Mustafa Chief Operating Officer Encik Foo Wei Hoong Chief Financial Officer Puan Shahnaz Radhiah Zulkifli Head of Group Secretarial and Legal/Company Secretary Encik Ahmad Rafidi Harun Head of Group Control Assurance Services
  • 11. ROLES OF MALAYSIAN INDUSTRIAL DEVELOPMENT FINANCE(MIDF) Development Investment finance Banking -MIDF Asset -MIDF Amanah Development management Investment Finance Division MIDF Amanah Bank Berhad Asset Management Berhad (MIDF Amanah) 3 DIVISION
  • 12. Is the result of the integration of 4 subsidiaries of MIDF Investment Banking group -MIDF Amanah •Responsibilities: Investment Bank 1.To deliver value-added advisory and structuring solutions Berhad to companies, institutions and government agencies in areas such as mergers and acquisitions and restructuring. 2. To be involved in identifying and originating deals, maintaining client relationship, assisting the execution process of mandated deals. 3. To design and provide fund-raising strategies in the debt and equity capital markets. Development to promotes the development of the industrial finance sector in Malaysia through the provision of -MIDF financing for manufacturing-based and services- Development based small and medium enterprise Finance Division
  • 13. • Asset management • MIDF Amanah Asset Management Berhad (MIDF Amanah) 1.To provides fund management services 2. To provides its services to individuals, institutional investors, and corporations 3.To employs a fundamental analysis with a top-down and a bottom-up stock picking approach to create its portfolios
  • 14. DEVELOPMENT MIDF have provided soft loan schemes. The available schemes from MIDF are: • Soft Loan Scheme for Small & Medium Enterprises (SLSME) • Soft Loan Scheme for Automation & Modernisation (SLSAM) • Soft Loan Scheme for Automotive Development (SLSAD)
  • 15. Soft Loan Scheme for Small & Medium Enterprises (SLSME) • The SLSME was launched in December 2001 to promote the development of small and medium enterprises in Malaysia. This Scheme assists existing as well as newly start-up enterprises in fixed assets, IT software/hardware and working capital financing. • The fund for this Scheme is channeled by the Government of Malaysia via SME Corporation Malaysia to MIDF for the implementation of the Scheme.
  • 16. Soft Loan Scheme for Automation & Modernisation (SLSAM) • The SLSAM was launched in February 2007 to: i) encourage industries to modernize and automate their manufacturing processes; ii) upgrade production capability and capacity; and iii) assist companies in:- – minimizing dependence on labour-intensive activities and foreign labour; – diversifying into higher value-added activities; and – rationalizing and streamlining their operations through mergers and acquisitions. • The fund for this Scheme is channeled by the Government of Malaysia via the Ministry of International Trade and Industry (MITI) to MIDF for the implementation of the Scheme.
  • 17. Soft Loan Scheme for Automotive Development (SLSAD) • The SLSAD was launched in February 2007 to:- i) encourage automotive parts and components manufacturers to rationalize their operations; and, ii) assists companies in:- – tooling acquisition, development and production; – productivity improvement; and, – enhancing export performance. • The fund for this Scheme is channeled by the Government of Malaysia via the Ministry of International Trade And Industry (MITI) to MIDF for the implementation of the Scheme.
  • 18. MIDF 2011 Achievement MIDF have completed many deals with other companies. They are :  AWC BERHAD, IDEAL JACOBS , SEAL INCORPORATED BERHAD, MITRAJAYA HOLDINGS BERHAD, HAISAN RESOURCES BERHAD,THE MEDIA SHOPPE BERHAD, and C.I. HOLDINGS BERHAD Some of their roles in the dealings made are as: • Adviser • Independent Adviser • Sponsor • Sole Underwriter • Sole Placement Agent • Principal Adviser • Lead Arranger • Facility Agent
  • 19. Incentives for Automotive Parts & Component Manufactures • Investments tax allowance- 60% on the qualifying capital expenditure incurred within five years from the date the first capital expenditure is incurred. • Can be offset against 100% of the statutory income each year of assessment. • Any unutilized allowances can be carried forward to subsequent years until fully utilized.
  • 20. Soft Loans Scheme for Automotive Development Criteria Revision Percentage of Financing Up to 90% of eligible expenses Up to 7 years including grace period up to Repayment tenure 2 years 2% annually based on annual balances for Interest rate SMEs 3% annually based on annual balances for non-SMEs
  • 21. Conclusion  MIDF was incorporated with the objective to promote the development of the manufacturing industry in Malaysia through the provision of medium and long-term loans.  MIDF achieved its ambition to become a leading financial services provider in three core business areas : Investment Development Assets Banking Finance Management Provides fund Promotes the provision management services to Provides financial of financing for statutory bodies, private advisory, underwriting manufacturing-based pension and services-based of equities and debt funds, insurance small and medium instruments, treasury companies, state enterprises which activities and equity government-related includes conventional brokerage services. funds, charities and and Shari’ah-compliant foundations, and financing. corporations.