The highlights of Budget 2015 Goods and Services Tax (GST) - GST-exempted: Childrens colouring books, exercise/reference books, dictionaries, religious books, newspapers & 2,900 medicine brands under the National Essential Medicine. - Additional GST-exempted items: all fruits, white/wholemeal bread, coffee, tea & cocoa powder, yellow mee, kuey teow, laksa, meehoon and etc. - Electricity consumption not subject to GST: Increase from first 200 units to 300 units - Retail sale of RON95 petrol, diesel, LPG relieved from GST payment for consumers. Bantuan Rakyat 1Malaysia (BR1M) - BR1M will be increased from RM650 to RM950. This is for households with a monthly income of RM3,000 and below. Payment will be made in three instalments of RM300 each in January and May, and RM350 from September 2015. - For households with a monthly income between RM3,000 and RM4,000, the Government will increase BR1M from RM450 to RM750. This assistance will be disbursed in three instalments that is RM200 to be paid in January and May while the balance of RM350 from September 2015. - For single individuals aged 21 and above and with a monthly income not exceeding RM2,000, BR1M will be increased from RM300 to RM350 a year. Income Tax - Individual income tax rates reduced by 1 to 3 percentage points. - Tax payers with family and monthly income of RM4,000 will not have tax liability. - Restructuring of individual income tax: maximum tax rate of 26% to be reduced to 24%, 24.5% and 25%. - Cooperative income tax rate reduced by 1 to 2% points; secretarial and tax filing fees allowed as deduction. - For year of assessment 2016: corporate income tax rate to be reduced from 25% to 24% while income tax for SMEs will be reduced from 20% to 19%. Perbadanan Tabung Pendidikan Tinggi Nasional (PTPTN) - 10% rebate to those who continuously pay for 12 months until Dec 31, 2015. - 20% discount to borrowers making lump sum repayments from Oct 10, 2014 until March 31, 2015. Education - 1Malaysia Book Voucher Programme (colleges and universities) & RM100 schooling assistance (primary and secondary schools) to continue. Property - 50% stamp duty exemption for first time home buyers and increases the purchase limit from RM400,000 to RM500,000. The exemption will be given until the end of 2016. - 10% loan guarantee to enable borrowers to obtain full financing including cost of insurance. Borrowers can also withdraw from EPF Account 2 to top up their monthly installment and other related costs. Health - Tax relief for medical expenses and treatment for serious illnesses such as cancer, kidney failure and heart attack increased to RM6,000 per year. Sarawak Region Budget Allocation - Education: setting up of 20 more Trust Schools in Johor, Sarawak, Selangor, Perak, Negeri Sembilan and the Federal Terrritory of Kuala Lumpur next year. - Subsidy: Introduction of the hill paddy subsidy to strengthen the food supply chain in Sarawak and Sabah. - Infrastructure: Government plans to begin construction of the 1,663km Pan-Borneo Highway comprising 936km in Sarawak and 727km in Sabah. - Public Transportation: Upgrade stage bus services in several states through a contracting system with existing bus companies. The programme will be implemented in phases in Kuching, Ipoh, Seremban, Kuala Terengganu and Kangar. For more information and details, please refer: thestar.my/News/Nation/2014/10/10/Budget-2015-full-speech-text/
Posted on: Fri, 10 Oct 2014 12:42:48 +0000
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