Budget 2018 And You
- Loh Boon How CA(M), ATTII
- Nov 13, 2017
- 1 min read
As usual with the previous budget, Malaysia Government give away the "candy" to the rakyat, are you feel sweat? Please, allow me to explore further......
1) Reduced Tax Rate
Personal taxation rate are reduced by 2% from 2017 YA to 2018 YA as shown in table below :
2) Rental Income
Previously the rental income receive will be taxable, however pursuant to new budget, Malaysian individuals received such a rental, half of rental will be exempted.
Conditions : 1）Rental income received RM2,000 or less， 2）Must have a legal tenancy agreement， 3）Given for maximum 3 consecutive YAs（2018 – 2020 YA）。
3) Women Returning To The Workforce
To encourage women who have been on a career break, to return to the workforce. Therefore, their 12 months salary will be exempted.
Conditions : 1) They has been on career break for at least 2 years on 27 Oct 2017, 2) Consecutive 3 YAs（2018 – 2020 YA）。 3) An applications submitted to Talent Corp Malaysia Berhad from 1/1/2018 – 31/12/2019.
4) National Education Savings Scheme
Since 2012 YA, if the tax payer deposit into National Education Saving Scheme (NESS), the tax payer will be eligible RM6,000.00 (max).
The relief from 2012 YA expire on 2017 YA. The new budget is extended to another 3 years. (From 2018 to 2020 YA).
Conclusion ：
In respect the budget 2018 "lack of creativity", but at least an offer of 4 incentives to rakyat, better that none.
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