This Ruling explains the basis of determining gross income for the purpose of computing adjusted incomederived from the business of construction contracts.

“Construction contracts” means the contracts for the performance of construction services specifically negotiated for the construction of an asset or a combination of assets that are closely interrelated or interdependent in terms of their design, technology and function or their ultimate purpose or use and include main and ancillary contracts including but not limited to mechanical engineering, electrical engineering, public utilities projects, project design and consultancy, architectural designing and infrastructural contracts.

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/PR2_2009.pdf