This Ruling explains the basis of determining gross income for the purpose of computing adjusted income derived from the business of property development.

“Property development” means the activity of acquiring land for the purpose of developing, constructing or causing to be constructed thereon and selling completed residential, commercial or industrial buildings, whether as a whole or by parcels therein, and development and sale of vacant lots for the construction of such buildings thereon including homesteads, hobby farms, orchards or for other similar Purposes.

The above Public Ruling can be viewed and downloaded from the IRB’s website at the following link: http://www.hasil.gov.my/pdf/pdfam/PR1_2009.pdf