Group 2 Advanced Taxation Group Assignment (August 2021 Session) by Tang Yu Wen https://padlet.com/i19017013/8rf7enx4g31xhhwk en-us 2021-10-24 16:18:24 UTC 2024-10-31 17:27:14 UTC hello@padlet.com National People's Well-Being and Economic Recovery Package (Pemulih) i20019222 https://padlet.com/i19017013/8rf7enx4g31xhhwk/wish/1840744782 2021-10-25 05:54:44 UTC https://padlet.com/i19017013/8rf7enx4g31xhhwk/wish/1840744782 Tax Incentives & Government Aids for Tourism Industry i19017013 https://padlet.com/i19017013/8rf7enx4g31xhhwk/wish/1841834054 2021-10-25 14:18:23 UTC https://padlet.com/i19017013/8rf7enx4g31xhhwk/wish/1841834054 Pemerkasa Stimulus Package for tourism industry i19017013 https://padlet.com/i19017013/8rf7enx4g31xhhwk/wish/1841837115 2021-10-25 14:19:13 UTC https://padlet.com/i19017013/8rf7enx4g31xhhwk/wish/1841837115 Deferment of tax instalment payments for tourism sector i19017013 https://padlet.com/i19017013/8rf7enx4g31xhhwk/wish/1841846521
  • Companies in the tourism industry will be given a deferment for payment of their monthly tax instalments for the period from 1 April 2021 to 31 December 2021.
  • the application for deferment must be submitted to the Inland Revenue Board of Malaysia (IRBM). 
  • This measure help to ease the cash flow of the companies in these industries for a period of 9 months.
    • ]]>     2021-10-25 14:21:42 UTC https://padlet.com/i19017013/8rf7enx4g31xhhwk/wish/1841846521     Exemption for Tourism Tax and Service Tax for hotel accommodation i19017013 https://padlet.com/i19017013/8rf7enx4g31xhhwk/wish/1841901090 Tourism Tax
    • Effective from 1 July 2020 to 31 December 2021,  accommodation operators who are registered under the Tourism Tax Act 2017 are exempted from charging the Tourism Tax to foreign tourists. 
    • Tourism Tax is fixed at RM10 per room per night.

    Service Tax
    • Effective from 1 March 2020 to 31 December 2021, accommodation service providers who are registered under the Service Tax 2018 are exempted from charging Service Tax on the accommodation and other related services.
    • Service Tax is fixed at 6%. 

    - this measure help to boost the tourism industry
    - the exemptions would encourage local tourists and foreign tourists to visit Malaysia once the Covid-19 pandemic is under control. 
    ]]>     2021-10-25 14:35:38 UTC https://padlet.com/i19017013/8rf7enx4g31xhhwk/wish/1841901090     The long term benefits of tax incentives & tax reliefs for Tourism Industry i19017013 https://padlet.com/i19017013/8rf7enx4g31xhhwk/wish/1842062940
  • to revive the economy and to ensure the continuity of businesses while retaining the employment of thousands of workers 
  • Ease the financial impact of the Covid-19 pandemic on business 
  • Increase the speed of Malaysia economy and development as well as increase GDP. 
  • the exemptions would encourage local tourists and foreign tourists to visit Malaysia 
  • Have the cash to  keep its operation until this crisis is fully settlement 
    • ]]>     2021-10-25 15:19:09 UTC https://padlet.com/i19017013/8rf7enx4g31xhhwk/wish/1842062940     One-off financial assistance of RM 3,000 i20019222 https://padlet.com/i19017013/8rf7enx4g31xhhwk/wish/1842412850 Conditions:
    • licensed tourism agencies under the Tourism, Arts and Culture Ministry (MOTAC) 
    • Tourism and travel agency that have received financial assistance of RM3,000 under the PEMERKASA initiative are automatically eligible for PEMULIH assistance.
    • New applications are opened to licensed tour operators under MOTAC that have never received financial assistance under the PEMERKASA.

    -RM 16 million was allocated in this financial assistance.
    -More than 5,300 registered tour operators will be benefit.
    -help the tourism agencies to revive their businesses when Malaysia moves to Third Phase of PPN.
    ]]>     2021-10-25 17:02:49 UTC https://padlet.com/i19017013/8rf7enx4g31xhhwk/wish/1842412850     Extension of 10% electricity bill discount for 6 affected economic sectors. i20019222 https://padlet.com/i19017013/8rf7enx4g31xhhwk/wish/1842427498
    -Special discount of 10% for electricity bills dated October 2021 to December 2021.
    6 economic sectors: 
    • Hotel Operators
    • Local Airline Offices 
    • Shopping Malls 
    • Convention Centres 
    • Theme Parks 
    • Travel & Tour Agencies 
    -This would result in cost-saving for businesses and relieve the burden of industry players. 

    ]]>     2021-10-25 17:07:41 UTC https://padlet.com/i19017013/8rf7enx4g31xhhwk/wish/1842427498     The short term benefits of tax incentives & tax reliefs for Tourism Industry i20019222 https://padlet.com/i19017013/8rf7enx4g31xhhwk/wish/1842504282
  • Give a boost to tourism businesses to recover from recession affected by the Covid-19 pandemic and MCO.
  • Jointly restore Malaysia's tourism and culture industry. 
  • Settle insufficient cash flow moment and ease cash flow constraints when business is operated after a long time.
  • Reduce recent tax cost to be paid by industry players and lower burden in financing.
  • Mitigate short term business risks.
    • ]]>     2021-10-25 17:32:50 UTC https://padlet.com/i19017013/8rf7enx4g31xhhwk/wish/1842504282     What is Tax Incentives? i20019411 https://padlet.com/i19017013/8rf7enx4g31xhhwk/wish/1844361253 2021-10-26 08:45:43 UTC https://padlet.com/i19017013/8rf7enx4g31xhhwk/wish/1844361253 Prihatin Supplementary Initiative Package (Kita Prihatin) i20019411 https://padlet.com/i19017013/8rf7enx4g31xhhwk/wish/1844498237 2021-10-26 10:04:45 UTC https://padlet.com/i19017013/8rf7enx4g31xhhwk/wish/1844498237 Topic: "Covid-19: Insights On Malaysian Tax Impact" i20019222 https://padlet.com/i19017013/8rf7enx4g31xhhwk/wish/1847342570 2021-10-27 06:20:01 UTC https://padlet.com/i19017013/8rf7enx4g31xhhwk/wish/1847342570 Building the economy together (PENJANA) i18016323 https://padlet.com/i19017013/8rf7enx4g31xhhwk/wish/1847609940 2021-10-27 08:42:00 UTC https://padlet.com/i19017013/8rf7enx4g31xhhwk/wish/1847609940 PENJANA Tourism Financing up to RM1 billion i18016323 https://padlet.com/i19017013/8rf7enx4g31xhhwk/wish/1847626986
  • Introduced to support SMEs in the tourism industry by
    • Preserving their capacity and assisting them adjust and remain viable post COVID-19
  • Some example of adjustment to enhance new business model with 
    • Deploying new practices
      • Refurbishment to align with SOP
      • Contactless check-in
      • Hygiene procedures
    • Digitalisation
      • Online payment gateway
      • Digital presence and marketing

    • ]]>     2021-10-27 08:49:51 UTC https://padlet.com/i19017013/8rf7enx4g31xhhwk/wish/1847626986     Sectors that are eligible for this campaign i18016323 https://padlet.com/i19017013/8rf7enx4g31xhhwk/wish/1847629702
  • Two eligible sectors
    • Core Tourism
      • Tourism accommodation premises
      • Travel agencies & Tour operators
      • Transportation for tourists
    • Tourism-related sectors
      • Medical tourism
      • MICE ecosystem
      • Money services businesses
      • Tourism-related retail, recreation and wellness which can justify significant reliance on tourists
    • ]]>     2021-10-27 08:51:18 UTC https://padlet.com/i19017013/8rf7enx4g31xhhwk/wish/1847629702     Banks that participate in this campaign i18016323 https://padlet.com/i19017013/8rf7enx4g31xhhwk/wish/1847630343
  • 12 banks participated
  • Financing amount
    • Up to RM300k for SMEs
    • Up to RM75k for microenterprises
  • Financing rate
    • Up to 3.5% per annum
  • Duration for repayment deferment 
    • Minimum 6 months
  • Duration for financing tenure
    • Up to 7 years


    • ]]>     2021-10-27 08:51:36 UTC https://padlet.com/i19017013/8rf7enx4g31xhhwk/wish/1847630343     Suggestions i18016323 https://padlet.com/i19017013/8rf7enx4g31xhhwk/wish/1847631845 More tax incentives for the tourism industry should be imposed by the government, such as:
    • Extension on the tax incentives until March of 2022.
    • 80 percent of statutory income from tourism-related businesses such as airlines, hotels, and travel agents is free from income tax until March 2022.

    How to improve tourism? 
    • Improve infrastructure for all the tourists destination
    • Ecological protection for the environment
    • Promote local tourism with discounted packages and promotions to increase demand
    • Rethinking flying to domestic destinations
    ]]>     2021-10-27 08:52:25 UTC https://padlet.com/i19017013/8rf7enx4g31xhhwk/wish/1847631845     Malaysia’s Budget Package 2021 saviour12222 https://padlet.com/i19017013/8rf7enx4g31xhhwk/wish/1848455390 2021-10-27 14:39:34 UTC https://padlet.com/i19017013/8rf7enx4g31xhhwk/wish/1848455390 Expansion of tourism tax to accommodation premises booked through online platforms saviour12222 https://padlet.com/i19017013/8rf7enx4g31xhhwk/wish/1848460750 2021-10-27 14:41:06 UTC https://padlet.com/i19017013/8rf7enx4g31xhhwk/wish/1848460750 Tax incentives i19017013 https://padlet.com/i19017013/8rf7enx4g31xhhwk/wish/1853489557
    • Encourage individuals and businesses to spend money or to save money by reducing the amount of tax that they have to pay.
    • Positive and negative impacts on an economy
    • Attract investment to a country
    • Increased employment
    • Higher number of capital transfers
    • Research and technology development
    • Difficult to estimate the effects of tax incentives, it can raise the overall economic welfare 
    ]]>     2021-10-29 08:32:11 UTC https://padlet.com/i19017013/8rf7enx4g31xhhwk/wish/1853489557     4 typical costs to tax incentives: i19017013 https://padlet.com/i19017013/8rf7enx4g31xhhwk/wish/1853490557
    1. resource allocation costs: lost government tax revenue resulting from the tax incentive
    2. compliance costs: lead to too much investment in a certain area of the economy and too little investment in other areas of the economy.
    3. revenue costs: associated with enforcing the tax incentive and monitoring who is receiving the incentive and ensuring they are properly deserving of the incentive.
    4. corruption costs: similar to revenue costs that it relates to people abusing the tax incentive.
    ]]>     2021-10-29 08:32:55 UTC https://padlet.com/i19017013/8rf7enx4g31xhhwk/wish/1853490557     Expand wage subsidy programme to avoid more job cuts i19017013 https://padlet.com/i19017013/8rf7enx4g31xhhwk/wish/1853501736
  • Expand the wage subsidy programme (PSU) to include a wider base of recipients.
  • Consider revising the programme to 50% subsidy for employees with pay structure below RM4,000 and 30% for those up to RM8,000.
  • Under the PSU introduced by the government last year, wage subsidy is provided for the tourism sector at a rate of RM600 per month for workers earning RM4,000 and below.
  • The RM10 billion Prihatin Supplementary Initiative Package (Kita Prihatin), through the RM2.4 billion Wage Subsidy Programme 2.0, which is now extended until DEC 2021.
  • Channelled RM12.5 billion to fund the wage subsidy programmes (PSU and PSU 2.0), which is expected to benefit more than 330,000 employers and 2.6 million employees nationwide.
    • ]]>     2021-10-29 08:41:04 UTC https://padlet.com/i19017013/8rf7enx4g31xhhwk/wish/1853501736     i19017013 https://padlet.com/i19017013/8rf7enx4g31xhhwk/wish/1853504433 2021-10-29 08:43:03 UTC https://padlet.com/i19017013/8rf7enx4g31xhhwk/wish/1853504433 Current Position: i19017013 https://padlet.com/i19017013/8rf7enx4g31xhhwk/wish/1853517308
  • The tourism tax is imposed on tourists staying at any accommodation premises at a rate of MYR 10 per night.
  • Malaysian tourists and permanent residents are exempted from the tourism tax.  
  • In practice, the operators are required to register with Customs and collect the tourism tax.
  • The imposition of tourism tax has been exempted from 1 July 2020 until 30 June 2021 to support economic recovery for the tourism sector affected by COVID-19.
    • ]]>     2021-10-29 08:52:06 UTC https://padlet.com/i19017013/8rf7enx4g31xhhwk/wish/1853517308     Proposition: i19017013 https://padlet.com/i19017013/8rf7enx4g31xhhwk/wish/1853526180
  • To ensure equal treatment between tourists, the Budget 2021 proposes that the imposition of tourism tax be expanded to accommodation premises reserved through online platform providers with effect from 1 July 2021.
  • This proposal aims to ensure a level playing field for bookings made directly with the registered accommodation premises operators and via online platform providers.
  • Under the Budget Package 2021, one-off financial assistance of RM1,000 has been given to 1,063 tour guides (Sabah) amounting to RM1,063,000.
    • ]]>     2021-10-29 08:58:30 UTC https://padlet.com/i19017013/8rf7enx4g31xhhwk/wish/1853526180