TAX REBATE FOR SET UP OF NEW BUSINESSES
According to Short-term Economic Recovery Plan (Penjana), newly established SME can get up to RM 20k tax rebate for the first three years!
FAQS
According to Short-term Economic Recovery Plan (Penjana), newly established SME can get up to RM 20k tax rebate for the first three years!
Those SME registered under Companies Act 2016 (which means Sendirian Berhad only) and start their operation within the period 1st of July 2020 until 31st of December 2021.
This rebate start from 1st of July 2020 and end on 31st of December 2021.
The company has to take note that:
- Amount of rebate is based on company operating expenses and capital expenditure
- It is up to RM 20,000
- To claim this rebate, the company has to buy NEW facility, plant and equipment (Cannot be transferred from existing or related company)
- For example, if the company spent only RM 10,000 on operating expenses and capital expenditure, they can claim up to RM 10,000 rebate; if they spent RM 30,000 on operating expenses and capital expenditure, they can claim up to RM 20,000
| Total | Tax Rebate | |
Operating expenses / Capital expenditure | 35,000 | 20,000 |
Operating expenses / Capital expenditure | 20,000 | 20,000 |
Operating expenses / Capital expenditure | 15,000 | 15,000 |
| ||
No, the tax rebate cannot be carried forward to the next year.
The company must be SME (The paid-up capital has to be RM 2.5 million or below, and annual sales not more than RM 50 million)
