MALAYSIA TAX UPDATES : MAY 2019
Malaysia keeps June crude palm oil export duty at zero percent
Malaysia kept its export duty on crude palm oil for June unchanged at zero percent. Malaysia, the world’s second-largest producer of palm oil, calculated a palm oil reference price of 2,018.76 ringgit ($484.2) per tonne for June. Any price above 2,250 ringgit incurs a duty.
The Southeast Asian Nation in May had announced it would defer the imposition of export duties on crude palm oil to Dec. 31 in efforts to boost palm oil exports and expand into new markets.
Source : Media Report
Malaysia sugar tax: Carlsberg promises no price hikes for bikes for beers and 'minimal' impact on other brands.
Carlsberg Malaysia had raised its product prices by 3% to 6% earlier this year on 01 April, being the initial date that the country's sugar tax was supposed to be enforced. It was later postponed by three (3) months to 01 July. The main reason for the price hike was escalating malt and barley prices, which still remains as lead concerns for the company, even though it appears that no problems are foreseen with their supply for the rest of the calendar year.
As of last month, contraband beer still made up 25% of the total beer consumption market share in Malaysia.
Source : Media Report
More than 500,000 taxpayers declare income over tax amnesty.
More than half a million taxpayers have declared their income through the Inland Revenue Board of Malaysia’s (IRB) Special Voluntary Declaration Programme (SVDP). IRB CEO Datuk Seri Sabin Samitah said the programme focuses primarily on taxpayers with overseas bank accounts and employees with income derived from Malaysia.
Sabin highlighted that the programme is a “golden opportunity” for taxpayers to reduce their income burden through reduced penalty rates.
Under the SVDP, individual taxpayers are required to disclose all undeclared incomes made until 31 December, 2017, while corporate taxpayers have to disclose all incomes for the accounting period which ended on 31 March, 2018. The individuals or companies, who are participating in the SVDP, will also not be subjected to any audit or investigation. For any declaration made after 30 September, taxpayers will be penalised with rates ranging from 45% to a maximum of 300%, as provided under the existing tax laws.
Source : Media Report
Companies get tax incentives in 100% renewable energy initiative
The Energy, Science, Technology, Environment and Climate Change Ministry will roll out a framework that will allow companies to receive tax incentives if they commit to being part of the RE100, a global initiative that has corporations committing to use 100% renewable energy. The framework is said to be ready within three months’ to prepare companies as they enter into the third quarter of the year. Malaysia is committed to reducing carbon emission by 45% by 2030, after signing the Paris Agreement in 2015.
By 01 January, 2020, RE100 companies will be able to buy electrons, so that all their energy can be renewable energy.
Source: Media Report
The National Higher Education Fund Corp (PTPTN) deputy CEO suggests re-implementing the travel ban on PTPTN loan defaulters.
Among the suggestions made were to bar defaulters from renewing their passports, driving licenses, road tax and business licenses, which means that loan defaulters can literally lose their car/job/business.
There's a valid reason for PTPTN to consider this seriously; to date the total PTPTN debt is RM39 billion, according to the Malay Mail. Adding on interest, that debt balloons to RM42 billion.
Source: Media Report
