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6.5. Deduction of Cross-Border Payments and Non-Deductible Expenses

The following key expense types are not deductible or have limited deductibility for Brunei tax purposes:

  • Personal expenses
  • Capital withdrawal or any sum used as capital
  • Capital used in improvements apart from replanting or plantations
  • Sum recoverable under an insurance or indemnity contract
  • Income tax paid in Brunei or in other countries
  • Payments to any unapproved pension or provident funds
  • Donations to the extent not satisfying specified conditions

A public Ruling issued by the Collector of Taxes on 1 March 2017 addresses in detail the area of deductible and non-deductible expenses: