Section 34B · Income Tax Act 1967
Partner with Universiti Malaya to transform business challenges into innovation opportunities and strengthen your organisation's competitiveness.
Investing in R&D is more than a business expense — it is a strategic investment in innovation, fostering long-term partnerships, and supporting Malaysia's knowledge-based economy.
Access world-class researchers, expertise, and research facilities
Accelerate product, technology, and process innovation
Develop solutions tailored to your industry's challenges
Strengthen your ESG, sustainability, and innovation agenda
Enjoy Double Tax Deduction incentives for qualifying R&D contributions
One Investment. Three Returns.
Generate innovative solutions, new knowledge, and research outcomes that strengthen your organisation's competitiveness and future growth.
Benefit from Double Tax Deduction incentives that reduce your taxable income and improve the overall return on your R&D investment.
Support talent development, knowledge creation, and Malaysia's innovation ecosystem while contributing to national economic growth.
Unlike ordinary business expenses that are deducted once from taxable income, R&D contributions to Universiti Malaya may be deducted twice under Section 34B. This means your investment in research can generate both innovation outcomes and additional tax savings for your organisation.
Example of Potential Savings
For a company subject to the standard 24% corporate tax rate:
Assuming the same financial position, the application of the double tax deduction reduces the company's taxable income from RM 500,000 to RM 400,000. Consequently, the tax payable decreases from RM 120,000 to RM 96,000, yielding a tax saving of RM 24,000 attributable to the double tax deduction incentive.
In Simple Terms
Invest RM 100,000 in qualifying research.
Claim RM 200,000 as a tax deduction.
Save approximately RM 24,000 in taxes.
Gain valuable research outcomes, innovation opportunities, and access to Universiti Malaya's expertise.
You must be a tax resident in Malaysia, running a business in Malaysia, and conducting R&D activities connected to your Malaysian operations. The R&D may be done in-house or outsourced to an approved Universiti Malaya institute, UM Research Management Center (JPP).
The research project must qualify as R&D — systematic study or experimentation in science or technology involving technical novelty, aimed at gaining new knowledge or applying it to improve materials, products, or processes.
Only day-to-day operating expenses qualify. Capital expenditure — purchasing land, buildings, machinery, vehicles, software, or paying royalties — does not qualify for the double deduction.
Choose the collaboration pathway that best supports your business objectives and innovation goals. Each pathway offers unique benefits while providing opportunities to qualify for Double Tax Deduction incentives.
From the moment the researcher proposes the project to the point you file your taxes, the process involves six clear stages — we will guide you through.
Whether you are looking to solve a technical challenge, develop new technologies, strengthen your ESG agenda, or maximise available tax incentives, Universiti Malaya is ready to collaborate.
Let's explore how your organisation can benefit from research collaboration and Double Tax Deduction incentives today.