Are you happy with the UNITY government budget?
Summary Related to Personal Finances
Adapted from contribution by Rafiq Hidayat, Licensed Financial Planner & Managing Director of Wealth Vantage Advisory
- No GST
- Introduction of Luxury Goods Tax (Cukai Barangan Mewah)
- Tax Rate reduction by 2% for income levels RM35k to RM100k
- Tax Rate increase from 0.5% to 2% for income levels between RM100k to RM1 million.
- Tax relief increased from RM8k to 10k for medical expenses
- Tax relief available for EPF i-Lindung life insurance / takaful up to RM3k
- Explore introduction of Capital Gains Tax (at a low rate) on disposal of unlisted shares by companies
- Excise duty for vape/ electronic cigarettes
- ASB & ASB2 limit increased from RM 200k to RM300k
- PTPTN repayment 20% discount for 3 months from March 2023
- Moratorium available for PTPTN borrowers with income below RM1.8k per month
- Matching grant for EPF i-Saraan increased from RM250 to RM300
- EPF contributors between ages 40 to 54 with less than 10k in Account 1, will receive RM500 once off
- Amnesty period from 1 June 2023 to 31 Dec 2024 (LHDN / Customs) on penalties
- SME reduction of tax rate from 17% to 15% for 1st RM150k profit (savings up to RM3k pa)
- Electricity tariff maintained for all domestic users and SMEs (increased for larger companies except food & agriculture)
- Insolvency Act amended so bankrupts can be released from the status automatically in a shorter time frame.
- Regulation of consumer credit industry including BNPL by Consumer Credit Act (Akta Kredit Pengguna) and Consumer Credit Monitoring Board (Lembaga Pemantauan Kredit Pengguna)
- Continuation of My50 monthly pass, and similar programmes to be introduced to JB, Melaka, Kuching, and KK
- Government to subsidize license for B2, taxi, bus, and ehailing
- Continuation of current tax incentive for child care, RM180 subsidy for government servants for child care
- Inisiatif Pendapatan Rakyat (IPR) will be given monthly and monitored regularly
- Sumbangan Tunai Rahmah (STR) (rebranding on BSH, BR1M, etc), – expected to reach 60% of adults
- Menu Rahmah RM5 set
- Jualan Rahmah up to 30% off basic necessities