KUALA LUMPUR, Oct 7 — Prime Minister Datuk Seri Najib Razak tabled the 2012 Budget today.
Following are the key measures and announcements:
● One-off cash assistance of RM500 to all households with a monthly income of RM3,000 and below, costing RM1.8 billion, to benefit 3.4 million households.
● One-off RM100 for each school pupil aged six to 16.
● One-off RM200 cash voucher for all school pupils and higher learning institution students
● Ceiling for house prices under a government deposit guarantee scheme for first-time house buyers to be raised to RM400,000 from RM200,000.
● Civil service salary hikes of between seven and 13 per cent.
● A RM443 million fund to build 15,000 units of housing for lower- to middle-income earners.
● Increase in the rate of automatic annual increments in civil service salaries of between RM80 and RM320.
● Civil service pensions to be raised, involving a RM600 million allocation.
● One-off cash payment of RM3,000 for each family of ex-military and police personnel who served the country during a decades-long communist insurgency.
● Build 85 government-subsidised discount grocery stores nationwide.
● To review real property gains tax to curb speculation.
● To extend import and excise duty exemption on hybrid and electric cars until end-2013.
● To establish RM2.6 billion worth of funds for small and medium enterprises (SMEs).
● Felda to list its global arm by mid 2012: “The listing will create another blue-chip plantation company besides attracting international investors to Bursa Malaysia. The rights and interests of the Felda settlers will continue to be protected by Koperasi Permodalan Felda.”
● Felda expected to receive a windfall with amount to be announced before listing.
● To extend tax exemption on issuance and trading on foreign currency sukuk by three years
● To cut tax for three years on expenses incurred in issuance of sukuk wakala starting 2012.
● To implement RM6 billion private sector-financed special stimulus package for infrastructure works.
● To allow 100 per cent foreign ownership of 17 service subsectors including healthcare and logistics.
● To implement RM98.4 billion rolling plan until 2013 for high-impact development projects
● To grant tax benefits to investors who use Malaysian Treasury Management Centre to accelerate financial markets development. These include income tax exemption of 70 per cent for five years, withholding tax exemption on interest payments on borrowing and stamp duty exemption on loan and service agreements. — Reuters
