Malaysia: Tax proposals in 2024 budget

2024 budget includes tax-related proposals

2024 budget includes tax-related proposals

The 2024 budget, which includes tax-related proposals, was announced today.

Key initiatives include:

  • Expansion of the tax revenue base with the introduction of a 10% capital gains tax on net profit arising from the disposal of unlisted shares by local companies beginning 1 March 2024, and a 5-10% high value goods tax on selected high value goods such as jewelry and watches
  • Clarification that the global minimum tax would only apply to companies with a global revenue of at least €750 million beginning from 2025
  • Increase in the service tax rate from 6% to 8%—coupled with the expansion in scope of taxable services in general to include logistics, brokerage, underwriting and karaoke services
  • Incentives to spur investment including extension until 31 December 2026 of tax incentives for individual investors who invest in local startups through the equity public funding platform (ECF) and for angel investors

Read an October 2023 report prepared by the KPMG member firm in Malaysia, also available on the 2024 Budget Snapshots webpage.



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