Business

Budget 2022: tax exemptions aplenty for businesses

Goodies also for Malaysians looking to train and upskill themselves

Updated 4 years ago · Published on 29 Oct 2021 9:06PM

Budget 2022: tax exemptions aplenty for businesses
Finance Minister Datuk Seri Tengku Zafrul Tengku Abdul Aziz announcing a slew of goodies for businesses and companies in his Budget 2022 speech today. – SADIQ ASYRAF/The Vibes pic, October 29, 2021

by Azril Annuar

KUALA LUMPUR – Putrajaya has extended its RM300,000 tax exemption for companies who have been forced to renovate their facilities or premises to adhere to Covid-19 standard operating procedures (SOPs).

In tabling Budget 2022 in Parliament today, Finance Minister Datuk Seri Tengku Zafrul Tengku Abdul Aziz added that the extension will end on December 31.

“Furthermore, a tax exemption of RM50,000 on expenses to rent residential premises for workers will be extended another year.”

Additionally, to encourage more Malaysians to train and upskill themselves, the government is increasing the tax exemption from RM1,000 to RM2,000 for self-improvement until 2023.

Those taking professional courses will also be granted an exemption.

“They will be eligible for a tax exemption on the fees of up to RM7,000. Professional courses that have been approved include accounting, finances as well as courses relating to the environment, social and governance.

“The government also plans to extend the double tax exemption for companies granting scholarships to higher education institution students, and this will be expanded to all education sectors.”

Meanwhile, anchor Bumiputera companies that are active in developing Bumiputera vendors will receive an increase on double tax exemption for operational expenses to RM500,000 from RM300,000, which will be extended for five years ending December 31, 2025.

The government also plans to extend income tax exemption for the arts, culture, sports competition and international recreation activities’ operators until the 2025 assessment year.

“The duty exemption on entertainment including theme parks and cinemas in the Federal Territories as well as tax exemption on tourism will be extended to December 31, 2022. States have also been urged to grant entertainment tax exemption to support this sector’s recovery,” said Tengku Zafrul. – The Vibes, October 29, 2021

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