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Friday, 25 October 2013

The Budget 2014 Malaysia (Bajet 2014) Highlights announced by the Prime Minister of Malaysia at the Parliament

  1. Bantuan Rakyat 1Malaysia (BR1M 2014) to households with a monthly income of below RM3,000 increased from RM500 to RM650; and for the first time, BR1M financial assistance of RM450 to be extended to households with monthly income of between RM3,000 and RM4,000. For single individuals earning below RM2,000, they get RM300 each.
  2. 1Malaysia Book Voucher Program (BB1M): RM250 for all Pre-University and Tertiary students. RM325 mil to be allocated and it is estimated that this will help 1.3 million students nationwide.
  3. Bantuan Persekolahan of RM100 continues for all primary & secondary school students.
  4. Special tax relief of RM2,000 for tax payers with monthly income of up to RM8,000 received in 2013.
  5. Private Affordable Ownership Housing Scheme (MyHome) introduced with subsidy of RM30,000 to private developers for each unit built.
  6. 223,000 units of affordable houses to be built by government and private sector in 2014. RM1 billion for PR1MA to provide 80,000 housing units at prices 20 per cent lower than market prices.
  7. Government will create a Night Market Traders Entrepreneur Scheme with an allocation of RM100 million under Bank Simpanan Nasional
  8. RM500 one-off incentive to Private Retirement Scheme (PRS) contributors with a minimum cumulative investment of RM1,000 within a year.
  9. Implementation of 6% GST (Government Service Tax) from 1st April 2015.
  10. Government to double contribution to 1Malaysia Retirement Savings Scheme from RM60 to RM120, per person, a year.
  11. 50 new 1Malaysia Clinics in 2014, 6000 new nurses to be trained and RM3.3 billion allocated to providing the best medical supplies to public healthcare institutions.
  12. Civil servants (kakitangan / penjawat awam) to get A half-month bonus for 2013 with minimum payment of RM500 announced, to be paid in early January 2014.
  13. Pensioners to receive special financial assistance of RM250.
  14. Real Property Gains Tax (RPGT) increased to 30 per cent for properties disposed of within holding period of up to three years. Prohibit developers from implementing projects that have features of Developer Interest Bearing Scheme (DIBS), to prevent developers from incorporating interest rates on loans in house prices during the construction period.
  15. RM30 million to open 60 Kedai Rakyat 1Malaysia (KR1M) to help reduce prices of daily necessities.
  16. To implement the second phase of High Speed Broadbad (HSBB) project in collaboration with the private sector involving an investment of RM1.8 billion. The initiative is expected to provide additional coverage and facilities mainly in urban areas, benefiting 2.8 million households nationwide. The Internet speed will be increased to 10 Mbps.
  17. Projects to be implemented include 316km West Coast Expressway from Banting to Taiping. and double-tracking projects from Ipoh to Padang Besar and later from Gemas to Johor Bahru.
  18. Removal of sugar’s subsidy, resulting in increment of 34 sen per kg.
  19. Both the individual income and corporate tax rates are to be reduced by between 1% and 3%.
  20. National Entrepreneur Development Office to be established to plan and coordinate all entrepreneurship activities.

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