Covid-19: Insights on Malaysian Tax Impact by https://padlet.com/sschin6055/e9s6q7rbwd4xubz3 Made with a quick smile en-us 2020-09-16 12:11:07 UTC 2020-11-11 13:39:36 UTC hello@padlet.com 5 areas of tax relief efforts or incentives for SMEs sschin6055 https://padlet.com/sschin6055/e9s6q7rbwd4xubz3/wish/751195782 2020-09-16 12:14:15 UTC https://padlet.com/sschin6055/e9s6q7rbwd4xubz3/wish/751195782 1. Human Resources Development (HRD) levy exemption sschin6055 https://padlet.com/sschin6055/e9s6q7rbwd4xubz3/wish/751200794 - HRD levy exemption for 6 months

- All registered employers from all sectors are eligibility for HRD levy exemption application

- Application period are 1st April to 30th September 2020

- 25% reduction in foreign workers' levy payments for all companies work permits expiring from 1 April to 31 December  2020]]> 2020-09-16 12:16:22 UTC https://padlet.com/sschin6055/e9s6q7rbwd4xubz3/wish/751200794 2. Income Tax Estimate and Payments sschin6055 https://padlet.com/sschin6055/e9s6q7rbwd4xubz3/wish/751201792 SMEs
- Deferment of CP204 payment is automatically to all SMEs

- 3 months deferment from 1 April 2020 until 30 June 2020

- No tax increase apply under section 107C(9) of ITA 1967

Tourism Industry Related
- Automatically deferment based on business code

- 9 months deferment from 1 April 2020 until 31 December 2020

Special Revision of Tax Estimate
- Revision of tax estimates in the 3rd months of the accounting period is allowed by submitting an application to the IRB

- Provided that 3rd instalment falls in April 2020, and due date of submission extended to 31 May 2020

Other Tax Payment Due
- Due date falls within MCO period

- Can be made from 13 May 2020 until 31 May 2020 

Benefits
- Retaining employment

- Sustain companies' cash flows for business activities and expenses]]> 2020-09-16 12:16:47 UTC https://padlet.com/sschin6055/e9s6q7rbwd4xubz3/wish/751201792 3. Special Relief Facility (SRF) sschin6055 https://padlet.com/sschin6055/e9s6q7rbwd4xubz3/wish/751202276 - Loan of up to RM 1 million per SME for a maximum period of 5.5 years

- No collateral is required

- A grace period of 6 months, where no repayment is needed within this period.

- The maximum financing rate is lowered from 3.75% per annum to 3.5% per annum

- Eligibility to SRF are subject to assessment by participating financial institutions (FPIs)

- Applicable period for SRF is until 31st December 2020.

- SRF can apply directly to any participating financial institutions (PFIs). For example, Maybank, CIMB Bank, Public Bank, Alliance Bank, RHB Bank, Ambank, UOB Bank]]> 2020-09-16 12:16:58 UTC https://padlet.com/sschin6055/e9s6q7rbwd4xubz3/wish/751202276 4. Additional tax deduction for landlords of private business premises who give discounts to SMEs sschin6055 https://padlet.com/sschin6055/e9s6q7rbwd4xubz3/wish/751202959 - Additional tax deduction effective from April to September 2020 will be given - provide reduction or waiver of rental to SMEs during MCO and the following 3 months after MCO.

- Eligible for any taxpayers (corporate, individual, cooperative or other business and non-business entities) who rent out their business premises to any qualified SMEs tenants 

- Condition of at least 30% reduction in rental must be fulfilled to be eligible

How this help industry during crisis?
- The landlord’s taxable income will be deducted by the same amount as the rental reduction amount offered by the landlord to SME tenants.

-For some landlords, rent is their only income. This incentive help them to have cash flow for premise maintenance.

-Landlords will be more willing to provide discounts to industries - have lower expenses]]> 2020-09-16 12:17:11 UTC https://padlet.com/sschin6055/e9s6q7rbwd4xubz3/wish/751202959 5. Additional PRIHATIN SME Economic Stimulus Package (PRIHATIN SME+) sschin6055 https://padlet.com/sschin6055/e9s6q7rbwd4xubz3/wish/751203180 -amounted to RM10 billion to respond on the hardship faced by SMEs following the MCO

- these additional package is used to support SMEs’  cash flow problems 

-special allocation  of wage subsidies  from RM600 to  RM1200 per month are introduced for retaining SMEs workforce for  the next 6 months 

-Assistance is for a 3-month period and is specifically for employers registered with SSM or local authorities before 1 January 2020 and are registered with SOCSO. 

-financing facility of  RM2.1 billion announced in  terms of micro enterprises loan with  the maximum amount  of grant of RM3000 per eligible company 
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