For qualifying MSMEs, the proposed rates are 14% on the first RM150,000 of chargeable income, 16% on the next RM450,000, and 24% above RM600,000.

The qualifying value for each small value asset is proposed to increase from RM2,000 to RM3,000.

For companies other than MSMEs, the annual total claim limit is proposed to rise from RM20,000 to RM30,000. The presentation states this total limit does not apply to MSMEs.

Salary expense deductions are proposed to be allowed only when salary is paid through financial institutions or prescribed cashless payment instruments.

The proposal provides an exception for MSME employers. Confirm the final definition and conditions before applying this rule.

Employers may qualify for a tax deduction for PTPTN repayments made on behalf of employees during the proposed period.

Companies implementing the Bakat MADANI training programme are proposed to receive a tax deduction for the eligible period.

Keep programme, employee participation and expense records, and check the official requirements.

The accelerated capital allowance for qualifying plant, machinery, ICT equipment and software is proposed to be extended.

The proposal includes qualifying assets acquired from local manufacturers. Check the asset list and qualifying expenditure rules.

Wholly locally owned automotive vendor companies relocating to the Automotive Hi-Tech Valley in Tanjung Malim may qualify for a deduction on eligible relocation costs.

Proposed expenditure period: 1 January 2027 to 31 December 2030.

The tax exemption for an eligible resident company providing Shariah-compliant fund management services is proposed to continue for three years, covering YA 2028 to YA 2030.

The proposed exemption is 40% of statutory income, subject to approval and conditions.

A tax deduction is proposed for qualifying issuance costs of Sukuk Prisma approved, authorised or lodged with the Securities Commission Malaysia.

The existing deduction for SRI Sukuk issuance costs is stated to remain effective until YA 2027.

Grants received under the Sustainable and Responsible Investment (SRI) Sukuk and Bond Grant Scheme are proposed to be exempt from income tax from 1 January 2027.

Contributions to public universities by individuals, alumni and companies are proposed to qualify for a tax deduction of up to 10% of aggregate income.

A tax deduction is proposed for qualifying food and equipment contributions to the Dapur Siswa MADANI programme.

The tax incentive for individual investors investing in start-ups and MSMEs through Equity Crowdfunding platforms is proposed to be extended for four years.

The presentation lists a limit of 50% of the investment, capped at RM50,000, subject to detailed conditions.

The tax incentive for angel investors in eligible technology start-ups at the pre-seed and seed stages is proposed to be extended.

Proposed GSH changes include 5% and 15% tax rates for different company and income categories, an incentive period of up to 30 years, and qualifying service requirements.

Eligible treasury fund management activities may receive withholding tax and stamp duty benefits. Some benefits are also extended to the JS-SEZ package. Check MIDA approval conditions.

Full income tax exemption is proposed for eligible Malaysian shipping companies, subject to Malaysia-based strategic management, local operating expenditure and employment conditions.

The proposal lists at least RM250,000 annual local operating expenditure and four Malaysian employees per Malaysian ship, with an average monthly salary of RM15,000 each.

A 100% income tax exemption on statutory income is proposed to be extended for qualifying organisers certified by MOTAC.

From 1 January 2027, the service tax rate for elderly care services is proposed to decrease from 8% to 6%.

Annual fees up to RM96,000 per person are proposed to be exempt where the provider is registered under the relevant law.

A refund facility is proposed for local traders or distributors who paid sales tax on specified goods supplied to manufacturers.

The listed categories include selected machinery, spare parts and equipment, plus inputs for pharmaceutical products, animal feed, fertilisers and pesticides.

Stamp duty exceeding RM10 on qualifying P2P loan or financing agreements between MSMEs and investors is proposed to be remitted.

Proposed for agreements executed from 1 January 2027 to 31 December 2030.

Proposals include extending or reintroducing remission of stamp duty above RM10 for specified CAKNA financing and supplier financing arrangements.

The relevant scheme, agreement date and eligibility conditions differ. Confirm which category applies to the transaction.

Stamp duty on certain foreign currency loans from Malaysian banks and financing for purchase or construction of Malaysian ships is proposed to be capped.

Eligible foreign currency loan agreements between companies undertaking qualifying treasury fund management activities under GSH or JS-SEZ may receive a full stamp duty exemption.

MSMEs applying for halal certification for the first time may receive a matching grant of up to RM5,000, subject to programme requirements.

A grant of RM25,000 is proposed to strengthen halal MSMEs in areas including cosmetics and pharmaceuticals.

Funding is proposed for equipment and training for 40,000 recipients, particularly women and people who have skills but need support to purchase work equipment.

Funding is proposed for the Startup Ecosystem Roadmap and grants supporting prototype development and commercialisation.

The announced microfinancing pool includes allocations through AIM, TEKUN and BSN, including support for youths, gig workers, hawkers and vulnerable groups.

Specific facilities have their own eligibility and application processes.

Financing is proposed to help local MSMEs explore export markets. SJPP and CGC financing guarantees are also included in the Budget 2027 support measures.

The materials state guarantees of up to RM32 billion in 2027, with expanded coverage for mid-tier companies and M&A-related support.

Funding is proposed to support SMEs, mid-tier companies and social enterprises through equity crowdfunding and peer-to-peer platforms.

BNM is proposed to add a further RM5 billion to financing support for SMEs affected by the West Asia conflict, on top of the earlier facility.

Businesses should check the current facility terms with participating financial institutions.

Other measures include increased PUNB financing, agricultural entrepreneur financing, oil palm replanting support, aquaculture financing and support for gig workers.

Check each agency’s announcement for application windows, eligibility and repayment conditions.