- 4 months ago
In this interview, Soh Lian Seng, Head of Tax at KPMG Malaysia, breaks down the key takeaways from Budget 2026. With the headline announcements now made, the focus shifts to implementation details and guidelines. Soh shares expert insights on what businesses and taxpayers should watch for, and how to prepare for the changes ahead.
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00:00Terima kasih kerana menikmati kami. Ini adalah Ekonomi bersama saya, Ibrahim Sani.
00:18Di sini kita masih mengambil budjet 2026.
00:21Sebab kita sudah cukup masa untuk memahami dan menghormati budjet.
00:27Kemudian kita boleh berbincangkan apa yang boleh berlaku daripada budjet ini.
00:32Untuk membincangkan ini dan lebih banyak adalah teman yang baik, Soh Lian Seng di KPMG Malaysia.
00:38Mari kita berbincang lebih banyak tentang reaksi awal dari budjet.
00:43Seperti saya sudah beritahu, kita sudah berpaksa lima atau enam hari untuk duduk dan berfikir tentangnya.
00:49Dan mungkin memahami apa yang perlu kita tanya daripada bahagiannya.
00:54Apa komentar tersebut dari Belanjawan 2026?
00:59Terima kasih, Brian, untuk mengambil saya.
01:01Saya rasa sebenarnya, apabila anda melihatnya, saya merasakan budjet 2026
01:05ini agaknya sehari-hari-hari dalam masa yang berkata-kata yang berkata.
01:09Ini tidak begitu merasakan, tapi saya rasa berfokus.
01:15Dan tentu, jika anda melihatnya, saya berkata bahawa budjet ini berkata,
01:19ini berkata budjet ini berkata, tapi berkata yang berkata mereka.
01:23Jadi mereka sebenarnya melihat beberapa perintah, perintah yang teruskan dalam termasuk fiskal, dalam termasuk defisit, bagaimana mereka akan projeknya untuk menariknya lebih lanjut.
01:37Itu adalah perintah pertama saya.
01:39Baiklah, nombor yang telah dikatakan oleh beberapa kawan-kawan kami di luar, di luar, di luar, di luar, komentar, tulisan dan sebagainya.
01:48Saya masih akan mengatakan ini.
01:50Rp 421 bilionan untuk budjett 2025.
01:54Rp 419 bilionan untuk tahun ini.
01:57Saya, pada satu sisi, tidak selalu mengecewakan budjett yang berkembang setiap tahun.
02:02Saya rasa itu menarik kalau kamu tanya.
02:05Jadi untuk budjett yang berkurang dengan 2 bilionan, saya rasa, ini adalah pendapat saya, kita berjalan dengan betul.
02:11Jereka juga mengecewakan Ak soundsnya adalah bahkan jika lebih rendah bidang pinjilil lesha yang rendahkan minum,
02:29Jadi, saya sudah boleh bayangkan bahawa penyelenggaraan teks mesti di atas, penyelenggaraan mesti di atas,
02:34penyelenggaraan mesti di atas, tetapi apa yang perlu berlaku untuk memastikan
02:38Budget 2026 akan digunakan sebagai penyelenggaraan oleh pemerintah kami?
02:43Dengan cara yang saya lihat, saya rasa jika kita lihat penggunaan yang mereka fokus pada,
02:49ada beberapa sektor yang mereka fokus pada.
02:52Sama-sama bahawa penyelenggaraan.
02:55Mereka bergerak menjadi banyak inisiatif.
02:59Jika saya berkongsi analisis belanjawan sektor,
03:03saya rasa jumlah penyelenggaraan berjumpa berjumpa dari tahun 2025 ke tahun 2026.
03:10Jadi, ini mungkin satu faktor ketika anda berbicara tentang penyelenggaraan
03:15dalam berkaitan bagaimana penyelenggaraan tersebut.
03:20Ya, jika kita melihat tahun ini,
03:22ketika mereka mengenalan RM470,000,000,000,000,000 instead of RM421,000,000,000,000,000,000,000,000,000,000,000,000,000,000.
03:30Kita berkata tentang penyelenggaraan yang terbincangkan tersebut.
03:33Pertanyaan yang dalam tahun 2 tahun ini, itu mungkin di situs,
03:37tapi itu tidak dikaitan di sini.
03:39Jadi, tentang mekanisme sektor ketika saya,
03:41saya tidak mempunyai di sini,
03:42tetapi, dalam mana menilai analisis yang berjumpa.
03:44Ayolah, begini.
03:46Kamu betul.
03:49GIC, GLIC, GLC untuk masuk ke dalam, selalu ada di sana, tetapi lebih banyak jumlah yang tidak terbesar dan lebih banyak
03:55notas untuk menuju budjet. Untuk ia untuk dikaitkan dalam budjet ini, dan untuk ia untuk dikaitkan kepada Rp 470
04:02bilion, adakah ini diharapkan oleh anda, terutama orang yang telah melihat budjet selama 10-20 tahun?
04:10Pertama saya, sebelum budjet, saya berharap lebih banyak budjet yang sederhana untuk tahun ini.
04:17Of course, I did mention to say, if this budget continues to emphasise on Madani vision,
04:27where you're talking about raising the floor, where the raya is to be taken care of,
04:33then I won't be surprised that the amount of the budget now being expanded from that perspective.
04:39Of course, the detail we need to analyse further, but that will be my comment as to the first impression on the budget.
04:46Let's go back to your core competency, which is set of tax. We'll discuss a little bit at length about the carbon tax.
04:53But this would be the first budget in recent memory, that there would be no introduction of no new taxes.
05:03And under the same breath, we're going to increase tax revenue by 2.7%.
05:08How do you factor these two elements in?
05:11If you look at it, I think there are pockets here and there with the expansion of the scope.
05:17No new taxes, put aside the carbon tax, but I think there are two that, when I look at it,
05:25the government actually introduced the 2% on the profit distribution.
05:29That is something new, but probably from the broad category, it's an expansion from the dividend tax.
05:36That's one.
05:37I think the other one that is talking about is the stamp duty for foreign buyer, from the 4% to 8%.
05:43I think these are the two new ones.
05:45But how I look at it, this is just announcement, what they call it, a headline of what is this budget all about.
05:52But I think to me, what is important, what is our new storyline?
05:56This is where the finance bill, guidelines, engagement go to come in fast as to like, what to provide certainty to businesses and taxpayers.
06:08That is how I see it.
06:10But do you think that it's getting clearer now in terms of how businesses can do the tax planning?
06:15Well, I'm still waiting for the detailed guideline from the government in terms of that.
06:21Yeah, I hope, I hope when weeks come, it will be more clear to the businesses.
06:27Let's talk about individuals now.
06:29I think this is the part where many of us can resonate with.
06:33Rakyat are getting a lot in terms of cash aid, tax reliefs, and of course, the kind of headlines,
06:40including Sumbangan Asas Rahmah Sarah, which is RM100 by middle of February.
06:48We're looking at STR as well as SARA for next year to be increased by RM15 billion,
06:55coming in from subsidy savings, coming in from the Welfare Department or Jabatan Kebajikan Masyarakat
07:02with an allocation of RM3.1 billion there.
07:04We're looking at more than 560,000 people being the recipients of this.
07:09Does this help the economy, I suppose, where we put cash in hand
07:14and people, I guess, getting more direct cash aid and cash access?
07:20Well, from that perspective, it really supports the modern vision
07:24where we are talking about how to raise the floor
07:28and the tagline of no Malaysian is left behind.
07:32That would definitely help in terms of that
07:34because that will actually contribute to the spending by the individual household.
07:41From the tax perspective, yes, there are quite a number of relief that has been introduced.
07:46In fact, the focus is more on those AKU families.
07:51You're talking about child care.
07:53You're talking about health care and all that.
07:57But what is important that I observe from the Belanjawan analysis,
08:03the expectation of the collection from individual taxes,
08:08in fact, based on their projection,
08:11there will be an increase of RM4.2 billion.
08:15So, knowing what has been announced,
08:18there's the only additional taxes that perhaps can collect from here
08:22will be the 2% of the profit distribution.
08:25That's basically the new category.
08:27That's basically the new category.
08:29But even for that category, it's very interesting to also note
08:33how would then the individual at the high net worth be affected.
08:38Right now, the question here will be,
08:41as an individual at high net worth,
08:42they may be receiving a different category of income.
08:45Employment, you continue to be taxed under employment.
08:49If those individuals who have received corporate dividend in the past, 2%.
08:53Now, with this 2% of profit distribution,
08:56the ambiguous question will be,
08:58would it be classified as one to earn the 100,000 threshold?
09:03Or is it this 100,000 threshold is given to a different category of income?
09:08yet to be seen.
09:10Because finance bill is not out.
09:12We need to look at it, the wording of the legislation,
09:16because this currently remain unclear.
09:18So, the jump of RM4.2 billion,
09:21very interesting to note whether,
09:23what is the portion that is expected to collect from this group,
09:27plus perhaps the new individual taxpayer that being registered,
09:31or there's another angle,
09:34is that means that the hasil is going to increase the enforcement
09:39on this high net worth individuals.
09:42Speaking about supervision and enforcement,
09:46what's your comment on increasing the operational expense for enforcement,
09:53i.e. the OPEX for LHDN, for SPRM, for instance,
09:58or any other agencies that is meant to tighten the leakages.
10:05Do you see an increase beyond your budget?
10:09Or do you feel that they have to work with peruntukan sedia ada?
10:12My feeling is that I think in the current time,
10:17when we talk about productivity,
10:19especially when you look at some of this initiative,
10:22even when we talk about the new incentive team,
10:25also talking about KPI,
10:26my view is that as a start,
10:30it should work with the current peruntukan.
10:32However, if there's a new initiative that you require a special skill
10:36to actually venture into what needs to be done,
10:40then perhaps the additional peruntukan is to beef up
10:44or upskilling that category.
10:46Otherwise, as a general rule,
10:49the way how I look at it,
10:50we should work around within the current peruntukan.
10:54On top of the headcount and management costs,
10:59one is also looking at KPEX and improvements of automation
11:04as well as AI,
11:08mechanisms to improve on the collection.
11:11is this an area of concern for you
11:14to see our agencies from LHDN to MOF and more
11:18to see more automation and more AI being implemented
11:21so that we can actually tighten that enforcement level
11:23and supervision level?
11:25Yeah.
11:25I wouldn't say it's a concern to me,
11:27but I would like to comment that
11:29in fact, it's a good initiative
11:30what the agency has done so far.
11:33When we talk about HASIL,
11:35I can see a lot of improvement
11:36in terms of the collection effort mechanism
11:40of collecting taxes, past taxes.
11:43I think that effort should continue.
11:46Now, in terms of using AI,
11:49obviously, I don't have much detail of that,
11:52but I think in terms of agency
11:53together with the profiling department,
11:56that can be enhanced further
11:58to go into the target.
12:00Because when you look at taxpayer in a country,
12:03if you apply the pyramid scheme, for example,
12:07generally, I believe most taxpayers in the country
12:10wants to pay the right amount of tax,
12:13which actually fall down to the base of the pyramid.
12:16Now, what happened to the top?
12:18That is where we need this sophisticated tool
12:22to identify those that decided from day one
12:26not to comply with these taxes.
12:28And this should be the group that we should go after too.
12:31But details are scant, I suppose,
12:33coming in from this budget?
12:35Well, the details yet to be seen,
12:37but I suppose this will fall back
12:40to the implementer rather than the policymaker.
12:42Oh, I see now.
12:44All right, back to that question of implementer.
12:45I hope the implementer has enough firepower
12:47to actually carry out.
12:50Because I don't know about you,
12:52but I have full faith in our LHDN, for instance,
12:54to do what is needed to be done.
12:56We got agencies and, of course, bodies.
12:59Like CTIM, a member of your own body,
13:02the Chartered Tax Institute of Malaysia,
13:03to actually advise the MOF, Treasury,
13:06on how best to improve on the allocation
13:08of taxation on tax evaders
13:11and people who game their tax planning
13:15as well as the so-called maha kaya.
13:19I think that element of trying to see
13:22how we can do best in terms of the pillar
13:26that we have right now
13:27is also important to be seen.
13:29And I think a lot of our viewers
13:31can agree with this now.
13:32Before we go into the business element
13:35of taxation,
13:36I also want to talk about
13:37broadening the tax base,
13:38which is always the evergreen question
13:41that I ask all my guests, including you.
13:44Actually, I don't remember
13:44the number of times I've had you over.
13:46Definitely more than five times.
13:47I'm wondering whether or not
13:48it has been ten times
13:49since the days of my BFM days.
13:51But do you feel that this budget
13:54is doing anything to broaden the tax base,
13:56which we know is going to be very narrow
13:58compared to our peers in the region?
13:59Well, if I were to compare
14:02to last budget,
14:04based on the announcement,
14:07I feel the expansion
14:10or rather the base
14:12has not really so wide
14:16compared to last year.
14:17But take, for example,
14:19the song I just mentioned
14:20about the profit distribution.
14:21There's one good example
14:23how this is being expanded.
14:25Other than that,
14:27if you were to look at
14:28some minor details
14:32of those changes,
14:33it may look like an expansion.
14:37But then looking at the detail,
14:40it could be review
14:41of certain condition
14:43that perhaps being tightened.
14:46But then again,
14:47I don't have the further details.
14:49but this is just a first impression
14:51by reading at
14:52the budget speech
14:53together with those appendices.
14:54For example,
14:55like there's one review
14:58of incentive
15:00of giving scholarship,
15:01for example.
15:02If you notice that
15:03in the past years,
15:05this incentive already there.
15:07But the one that,
15:09the category of education level
15:12that given in the past
15:13include master and PhD.
15:16but this round,
15:17if you notice,
15:18the master and PhD
15:19has been taken out.
15:20Number one.
15:21Number two,
15:22obviously,
15:22they also included
15:23the household threshold
15:25as one of the conditions
15:26before this is being given
15:29that deduction.
15:30So it looks expanded.
15:32However,
15:33the minor here and there
15:35may make it more tightened
15:37or rigid
15:38in terms of claiming.
15:40So we're also,
15:43we would be remiss
15:44if you don't mention
15:45for the education sector.
15:46For instance,
15:47free education is going to be given
15:48to 5,800 people.
15:51TVET allocation
15:53has been pumped up
15:54from 5 billion plus
15:56to 7.9 billion.
15:58Bumiputra education
16:00collectively with
16:01Yesen Peranju,
16:02UITM as well as Mara
16:04has been increased
16:04to 6 billion.
16:07These are awesome things
16:09if you ask me,
16:10especially when we talk
16:11about upskilling
16:12and re-skilling our talents
16:14to embrace
16:15a little bit more tech,
16:16a little bit more IT,
16:17a little bit more AI
16:17here and there.
16:19Speaking of which,
16:19Talent Corp also
16:20is being mandated
16:21to execute the AI programs
16:23to actually work collaboratively
16:25with KSuma
16:26and Comptain Digital
16:28and so on.
16:29So I actually see
16:31where all this
16:32is coming from.
16:34But, you know,
16:34there's also fun things.
16:36Not fun lah,
16:36I guess.
16:38Socially empowering things
16:39like 4,000 ringgit
16:40to dispose of old vehicles.
16:43You know,
16:43I have a nice story here.
16:45When I graduated
16:47from university,
16:48I bought a very nice
16:49Kia car for about
16:5040,000,
16:51used it for 10 years.
16:52It became a besi buruk
16:53by the time of its shelf life.
16:55I didn't know
16:55where to dispose of it.
16:57I really didn't know.
16:58I had a chat
16:59with a friend
16:59over at Kedai Mama.
17:00We spoke about
17:01billion things
17:02just like two friends
17:03over Kedai Mama would do.
17:05And then,
17:06the question of,
17:06how do I dispose of my car?
17:08because it's already
17:09karat,
17:09you know,
17:09with the lobang there
17:11and everything.
17:12He said,
17:12oh, you just use Karsom.
17:14And, you know,
17:15at that point in time,
17:16this was 10 years ago,
17:17I didn't know
17:17what Karsom was.
17:18You know,
17:19and the assayer
17:20came over,
17:21assessed the car,
17:22took the car
17:22off my hands
17:23for 2,500 ringgit.
17:25It's amazing.
17:27Actually,
17:27I was thinking
17:28of me paying Karsom
17:29to take away the car.
17:30You know what I mean?
17:30But the fact that
17:31they want to offer
17:32money to take away
17:33my car
17:33is also an awesome thing.
17:35Then,
17:35over the years,
17:36I realized that
17:37for high-density areas,
17:38especially urban areas
17:39like flats
17:40and, of course,
17:41PPR
17:41and move on to
17:42high-income condos
17:45like Mungkiara,
17:46for instance.
17:47So many of these
17:48old vehicles
17:49and clearly
17:50when the government
17:51gives 4,000 ringgit
17:52incentive for you
17:53to dispose of
17:53your old vehicles,
17:55I think this is cheaper
17:56than asking
17:57a bandaraya,
17:58tempatan or whatever
17:59to actually dispose
18:00of the car.
18:01So,
18:02things like this,
18:03does it,
18:03you see this as helping
18:04not just the rakyat
18:07but actually beautifying
18:08our urban places as well?
18:09Well,
18:09I mean,
18:10from that angle,
18:11I will kind of like
18:12agree,
18:12yes,
18:13it's a good initiative
18:14when they come out
18:16with this scheme
18:17and if it's done
18:19effectively
18:19with a proper
18:20kind of planning
18:22and all that
18:23and with the support
18:24of everyone,
18:25I think that objective
18:26can be achieved.
18:27But speaking of training
18:28and upskilling
18:29that you mentioned,
18:30this budget,
18:31I think from the tax angle,
18:33there is this tax incentive
18:34for training in AI.
18:36Yeah,
18:37which is also,
18:38before you jump into that,
18:39let's ask the question.
18:40So,
18:41businesses,
18:41I think moving from individuals,
18:44we now move to businesses,
18:45there's tax incentives
18:46for training in AI
18:47and addressing
18:48operational bottlenecks.
18:50Claims can be done
18:52but they require
18:53Talent Corp approval,
18:54I suppose.
18:55Yeah,
18:55that's right.
18:553 billion ringgit
18:57of HRD Corp training funds
18:59are going to be disbursed
19:00because of this
19:01and many more.
19:04And of course,
19:04Jess and Pranju
19:04is of course a big deal
19:05in terms of trying to help
19:07in this space as well.
19:09All this,
19:10do you think businesses
19:10are going to be able to,
19:12I guess,
19:12work towards
19:13and get these kind of incentives
19:15to actually upskill
19:16their own people?
19:16Well,
19:17I look at it,
19:18I think it's a very positive move
19:20for the government
19:20to initiate this
19:22because when you look at it,
19:24when the whole of the country,
19:28we wanted to push for
19:29AI and digitalisation roadmap
19:31and I think this is one baby step
19:34that we could actually promote
19:36to the company,
19:38especially the MSMI.
19:39But I think the ground reality here is
19:41are we going too advanced
19:44to even talk about AI?
19:45are all the MSME
19:48even ready with the digitalisation
19:51at the very basic?
19:54It would be good.
19:55I would like to see
19:56perhaps it's not jump into AI
19:58or rather this should include
20:00not just AI
20:01but include the basic digitalisation.
20:04because that would then
20:06perhaps encourage more
20:09in particular
20:10the MSME
20:11to participate.
20:13But the wording in the proposal
20:15talking about
20:1650% tax deduction
20:18once in two years,
20:20I would like to clarify further
20:22what does it mean by
20:23once in two years?
20:24is it a situation
20:26where a company
20:28is allowed
20:29to actually choose
20:30which particular year
20:32that they want to claim
20:34or which particular year
20:35that is more beneficial?
20:37So there is something
20:38that is rightfully
20:40we don't have that details
20:41but it's good
20:42perhaps in my view
20:43to give some kind of flexibility
20:45then people can actually
20:46maximize more.
20:48And the sound
20:49Ibrahim you just mentioned
20:50about Telecorp,
20:51bottleneck and all that
20:52I think that is reality.
20:54right now
20:55we do not know
20:55how that administrative process
20:57is going to be
20:58but had one way
20:59to overcome that
21:00could be setting up
21:02some sort of
21:02pre-approval mechanism
21:04in place
21:06then this would
21:07definitely facilitate.
21:08Otherwise
21:08with these administrative
21:10challenges
21:11that may actually
21:13discourage
21:14more companies
21:15to come forward
21:15and claim.
21:17Yeah.
21:18Still on businesses
21:20business tax
21:22or corporate tax
21:23was
21:24barely mentioned
21:26no changes there
21:27GST
21:29doesn't seem
21:30to be in the air
21:31SST
21:32seems to be
21:33at a holding pattern
21:34of 8%
21:35with no
21:37indication
21:38that the SST
21:39coverage is going
21:39to be widened
21:40so I don't know
21:41about avocado
21:42and all the other
21:44items
21:44going to be put in place.
21:45So
21:46for businesses
21:47I think this is
21:49a very
21:50budget friendly
21:50a business friendly budget
21:53no?
21:53Oh yeah
21:54from that angle
21:55I would agree
21:56but of course
21:57if you look at it
21:57the government
21:58also have mentioned
22:00a few
22:00such as
22:01new investment
22:02incentive scheme
22:03where
22:05encourage more
22:07companies to come
22:08forward
22:09in this case
22:10they have mentioned
22:10about manufacturing
22:11and the service line
22:12to change
22:13rather the
22:15way how
22:15to claim
22:16this incentive
22:17more towards
22:18the outcome
22:20base
22:20so
22:21to me
22:22this is to
22:22attract more
22:23quality
22:25type of
22:25investment
22:26to come in
22:27so
22:28of course
22:29in order to do that
22:31we are talking
22:32about compliance
22:33where
22:35company who have
22:36proper
22:37procedure
22:38to monitor
22:39all this
22:40and
22:41go into
22:41the right
22:42framework
22:44to claim
22:45I think
22:46they can actually
22:47get the most
22:47benefit out of that
22:48whether
22:50the question
22:50is whether
22:51for MSME
22:54where
22:55their resources
22:56are limited
22:57whether this
22:58will pose
22:58more administrative
23:00work
23:00rather than
23:02just
23:02unlike in the
23:03past
23:03where you can
23:04claim those
23:05incentives
23:05either based
23:06on your product
23:06or based
23:07on your activity
23:08and once you
23:08submit
23:09you get approval
23:10and that's it
23:11but now
23:11you need to
23:12actually track
23:13it
23:13you need to
23:13actually monitor
23:14it
23:15I mean
23:16bandwidth is one
23:17thing for MSME
23:18but
23:19there's also
23:20competency
23:20yeah
23:21that's right
23:22so then
23:23you're not
23:24really seeing
23:26an uptick there
23:27because if they
23:28don't have that
23:28competency
23:29they have to
23:29hire
23:30for KPMG
23:31for instance
23:32to do their
23:32accounting
23:32I'm happy
23:33but
23:34what is the
23:36reality here
23:36I don't think
23:37they can
23:37so I don't
23:38know whether
23:39we're going to
23:39see any uptick
23:40there
23:40but
23:40in that sense
23:41this might
23:44work with
23:44larger companies
23:46true
23:46yeah
23:46very true
23:47and of course
23:47GLCs
23:48GLICs
23:48I suppose
23:49yeah
23:49two point
23:50I would like
23:50to add on
23:51that
23:51it's also
23:52good to
23:53provide this
23:54certainty
23:55to the
23:55company
23:55would be
23:56what happened
23:57to those
23:57company
23:58had already
23:59gotten
23:59some sort
24:00of incentive
24:00now with
24:01these changes
24:02what happened
24:03then
24:04yeah
24:04so
24:04it's still
24:05you mean
24:05is it going
24:06to run
24:06concurrently
24:07is it going
24:07to run
24:07concurrently
24:08is it going
24:08to replace
24:09are we seeing
24:10a transition
24:11period
24:11to phase
24:12that out
24:13still
24:14not sure
24:15yet
24:15the other
24:17thing is
24:17those company
24:18who actually
24:19enjoy the
24:20pillar 2
24:20right now
24:22would there
24:22be any
24:23is this
24:24incentive
24:25something
24:25that can
24:26replace
24:26we are still
24:27not sure
24:28whether
24:29how can
24:30it make
24:30available
24:31to their
24:32current
24:32incentive
24:33that no
24:34longer provide
24:35some sort
24:35of this
24:36tax benefit
24:37there would
24:38be this
24:38few
24:38question
24:39mark
24:39and we
24:40would like
24:41the guideline
24:41to be out
24:42soon
24:42so that
24:43it provides
24:43certainty
24:44to taxpayer
24:45let's talk
24:46a little bit
24:46more about
24:46the segmentation
24:48of growth
24:48by sector
24:49you touched
24:49a bit
24:49agriculture
24:50we're seeing
24:51a forecasted
24:51of 2.2%
24:52growth compared
24:53to 1.2%
24:54manufacturing
24:55is decreasing
24:55year on year
24:563.8%
24:57last year
24:59this year
25:00versus 3.0%
25:01projected
25:01or forecasted
25:02for next year
25:02services
25:03about the same
25:04at 5.2%
25:055.1%
25:06construction
25:07is going to
25:08see a major
25:09decrease
25:09from 10%
25:10to 6%
25:11and with
25:12this
25:12why I'm
25:13bringing this
25:14up is
25:14because
25:14next year
25:16we're going
25:16to see
25:17Visit Malaysia
25:18year
25:182026
25:19we're going
25:20to see
25:21a lot
25:21of companies
25:22especially
25:22in the
25:23services
25:23sector
25:23more precisely
25:25in the
25:26hospitality
25:26business
25:27perhaps even
25:27in transportation
25:28business
25:28to drive up
25:30beautification
25:31and improvements
25:32on their
25:33facilities
25:33and KPEX
25:34with this
25:35the government
25:36has allocated
25:36a 500,000 ringgit
25:38renovation expense
25:39tax relief
25:41I suppose
25:41to be kept
25:42at 500,000
25:43so what should
25:44businesses
25:44be looking out
25:44for on this front
25:46I think
25:47this is more
25:48focusing on
25:49those tourism
25:50projects
25:50my view
25:52this is
25:52very helpful
25:53however
25:54businesses
25:55must also
25:56be careful
25:56before they
25:57actually claim
25:58it
25:58I don't think
25:59it's talking
26:00about spending
26:01it should be
26:02looking at
26:02the compliance
26:03where they
26:04need to
26:04keep proper
26:05records
26:06and all that
26:06again
26:07we don't
26:07have details
26:08now
26:08but if I
26:09were to
26:09compare it
26:10to the
26:11post-COVID
26:12where they
26:13allow
26:13renovation
26:14cost to
26:15be claimed
26:15so if I
26:16were to
26:16draw
26:17parallel
26:17to the
26:18past
26:19take note
26:20in the
26:21past
26:21they require
26:22the
26:22certified
26:23by external
26:24auditor
26:24so it's
26:25not as
26:26simple as
26:26I just
26:27claim it
26:27you need
26:28to be
26:28certified
26:29there will
26:29be list
26:30of eligible
26:30costs
26:31what are
26:32those
26:32fitting
26:32what are
26:33those
26:33lighting
26:34and so
26:34forth
26:35they also
26:36spell out
26:37those
26:37ineligible
26:38costs
26:38as well
26:39mainly
26:39those
26:40professional
26:40fees
26:41and also
26:42and the
26:42other
26:42important
26:43is a
26:43claim
26:44of timing
26:44in the
26:45past
26:46they will
26:46look at
26:46when the
26:47services
26:47perform
26:48rather
26:48you
26:49pay
26:49so
26:50these
26:50are
26:50the
26:50things
26:51that
26:51I
26:51think
26:52businesses
26:52should
26:52take
26:53note
26:53of
26:53but
26:53looking
26:54at
26:54this
26:54sector
26:55that's
26:56how I
26:56did
26:56some
26:57research
26:58when you
26:58talk about
26:59claiming
26:59this
26:59renovation
27:00by the
27:01tourism
27:01project
27:01you're
27:02talking
27:03about
27:03those
27:03operator
27:05that
27:05must
27:05register
27:06with
27:06more
27:06tech
27:06so
27:07currently
27:07based
27:08on
27:082022
27:08statistic
27:09that
27:09I
27:09have
27:10I
27:10think
27:10it's
27:10only
27:11about
27:114,766
27:13companies
27:14that
27:15actually
27:15registered
27:16with
27:16more
27:16tech
27:16could
27:17be
27:17slightly
27:17more
27:17now
27:17but
27:18still
27:19within
27:19that
27:19range
27:19exactly
27:20so
27:21again
27:22we're
27:22just
27:23talking
27:23about
27:23this
27:24limited
27:24numbers
27:25so
27:26it'll
27:26be
27:27good
27:27to
27:27see
27:27whether
27:28just
27:28not
27:29the
27:29company
27:30that
27:30registered
27:31but
27:31able
27:32to
27:32substantiate
27:33that
27:33they
27:33are
27:33actually
27:34promoting
27:34this
27:35will
27:36be
27:36given
27:36a
27:36chance
27:36to
27:37claim
27:37as
27:37well
27:38the
27:39impact
27:41that
27:41form
27:41might
27:41not
27:41necessarily
27:42be
27:42so
27:42substantial
27:43totally
27:44agree
27:44totally
27:45agree
27:46but
27:46I guess
27:46a little
27:47bit
27:47adds up
27:48to
27:48the
27:49big
27:49idea
27:49yes
27:50this
27:51is
27:51one
27:51of
27:51the
27:51biggest
27:51item
27:52that
27:52I
27:53want
27:53to
27:53explore
27:53which
27:53is
27:53the
27:54stamp
27:54duty
27:54form
27:55this
27:57is
27:57one
27:57of
27:57the
27:58key
27:58factors
27:58of
27:58how
27:58LHDN
27:59makes
27:59money
27:59and
28:01and
28:02you
28:04know
28:04while
28:04we
28:05were
28:05seeing
28:06the
28:062.7%
28:07tax revenue
28:07increase
28:08stamp
28:09duty
28:09reforms
28:10are
28:10also
28:11being
28:11announced
28:12how
28:12does
28:12this
28:12tally
28:13between
28:14these
28:14two
28:14opposing
28:15statements
28:16and
28:17what
28:17is
28:17your
28:17take
28:17on
28:18it
28:18sure
28:18probably
28:20I
28:20would
28:20like
28:20to
28:21mention
28:21that
28:21I
28:21don't
28:22think
28:22it's
28:22what
28:23LHDN
28:24want
28:24to
28:24make
28:24money
28:25on
28:25this
28:25the
28:26way
28:26how
28:26I
28:27look
28:27at
28:27it
28:27if
28:27you
28:27look
28:28at
28:28the
28:28development
28:30of
28:30the
28:30act
28:31stamp
28:31duty
28:32is
28:32the
28:32last
28:33act
28:33that
28:34have
28:34not
28:34gone
28:34for
28:37has
28:37already
28:37gone
28:38for
28:38self
28:38assessment
28:38so
28:39now
28:40there's
28:40a
28:41comparison
28:41between
28:41official
28:42assessment
28:42system
28:43and
28:43the
28:44self
28:44assessment
28:44system
28:44so
28:45if
28:45you
28:45understand
28:46a little
28:46bit
28:46more
28:46under
28:47the
28:47official
28:47assessment
28:48system
28:48where
28:49taxpayer
28:49will
28:50bring
28:50whatever
28:50document
28:51to
28:51Haseal
28:52and
28:52say
28:53please
28:53stamp
28:54for
28:54me
28:54and
28:55it's
28:55actually
28:55Haseal's
28:55duty
28:56to
28:56determine
28:56number
28:57one
28:58is it
28:58standable
28:59number
28:59two
28:59what
29:00is the
29:01rate
29:01to be
29:01applied
29:02now
29:02with
29:03self
29:03assessment
29:03come
29:04into
29:07so
29:08taxpayer
29:08now
29:08got
29:08to
29:09actually
29:09determine
29:10whether
29:10is it
29:11standable
29:11or not
29:11and
29:12because
29:12of
29:13that
29:13I
29:13think
29:13it
29:14triggered
29:14a lot
29:15of
29:15questions
29:16as to
29:16like
29:16is this
29:17something
29:17that's
29:18standable
29:18in the
29:19past
29:19I've
29:19never
29:19stand
29:20before
29:20so
29:21all
29:21that
29:21coming
29:21and
29:22my
29:23understanding
29:23for
29:23this
29:24year
29:24before
29:24self
29:24assessment
29:25Haseal
29:26has
29:26carried
29:26out
29:26friendly
29:27awareness
29:28stamp
29:29duty
29:29audit
29:30and
29:30that
29:30itself
29:31so
29:31what
29:31does
29:32it
29:32mean
29:32friendly
29:32as opposed
29:33to hostile
29:34friendly
29:35in the sense
29:35that they come
29:36in with
29:36education
29:37trying to
29:38actually
29:39let the
29:40taxpayer
29:40know
29:40that
29:41whatever
29:41they have
29:42not
29:42complied
29:42they must
29:43comply
29:43way forward
29:44and they
29:44are quite
29:45flexy
29:45in terms
29:46of the
29:46punitive
29:47amnesty
29:48as well
29:49so
29:50to be
29:50fair
29:50to
29:50Hansel
29:51I
29:51think
29:51there's
29:52this
29:52good
29:53move
29:53good
29:54initiative
29:54this
29:55budget
29:55how
29:56it
29:56complement
29:56I
29:57see
29:57there
29:57are
29:57some
29:58exemptions
29:58there
29:59are
29:59some
29:59reduced
29:59rates
30:00for
30:00the
30:00first
30:01time
30:01buyer
30:02and
30:02SME
30:02now
30:03all
30:03this
30:04I
30:04suppose
30:04is
30:05good
30:05but
30:06of
30:06course
30:06there
30:06are
30:06rooms
30:07to
30:07enhance
30:07I
30:08would
30:08like
30:08to
30:08touch
30:09on
30:09two
30:09areas
30:10I
30:10think
30:10in
30:10this
30:11budget
30:11speed
30:11they
30:11mentioned
30:12about
30:12employment
30:13contract
30:14where
30:14the
30:14exemption
30:15has
30:15now
30:15been
30:16increased
30:16from
30:16300
30:17to
30:173,000
30:18of
30:19course
30:19we
30:19can
30:20debate
30:20about
30:20it
30:21because
30:21300
30:21that
30:22was
30:22fixed
30:22it
30:23was
30:23in
30:231949
30:24now
30:252025
30:26is
30:27it
30:27equivalent
30:27to
30:28the
30:28category
30:29of
30:292000
30:30maybe
30:31now
30:31the
30:31figure
30:32could
30:32be
30:32but
30:33anyhow
30:34I
30:34would
30:34like
30:34to
30:34thank
30:35the
30:35government
30:35at
30:35least
30:36they
30:36listen
30:36they
30:37still
30:37increase
30:37to
30:373,000
30:38as a
30:38start
30:39now
30:39that
30:40itself
30:40from
30:40that
30:41initiative
30:41I
30:41trust
30:42that
30:43it
30:43can
30:43take
30:43off
30:44a
30:44lot
30:44of
30:45this
30:45administrative
30:46work
30:47from
30:48the
30:48particular
30:48company
30:49but
30:50again
30:50issue
30:51come in
30:52would
30:52be
30:52even
30:53though
30:53it's
30:53exempted
30:54is
30:55it
30:55still
30:55very
30:56clear
30:56that
30:56exempted
30:57documents
30:58still
30:58do not
30:58need
30:59to
30:59be
30:59stamped
31:00you see
31:01this is
31:01exempted
31:02still need
31:05to
31:06be
31:07stamped
31:07that
31:08is
31:09where
31:09we
31:09want
31:09clarity
31:10but
31:11the
31:13understanding
31:14here is
31:15when we
31:15look at
31:16the
31:161949
31:17Act
31:17currently
31:18it has
31:18not
31:18been
31:19revamped
31:19yet
31:19so
31:20there's
31:20a
31:20provision
31:20there
31:21to
31:21suggest
31:21that
31:22even
31:22though
31:22it's
31:22exempted
31:23you may
31:23still
31:23need
31:23to
31:24stamp
31:24and
31:24get
31:25it
31:25exempted
31:25so
31:26the
31:26administrative
31:26world
31:26is
31:27not
31:27being
31:27lifted
31:27from
31:28that
31:28employment
31:29contract
31:30there
31:30will
31:30be
31:31also
31:31question
31:31is
31:32to
31:32would
31:33it
31:33be
31:33the
31:34first
31:34employment
31:34contract
31:35to
31:35be
31:35stamped
31:35subsequent
31:36renewals
31:37renewals
31:38subsequent
31:39promotion
31:40whatever
31:41even up
31:43to
31:43termination
31:44does
31:45it
31:45still
31:45fall
31:46under
31:46this
31:47specific
31:48rigid
31:48definition
31:49of
31:50stamping
31:51of course
31:52my view
31:53is
31:53if it's
31:54related to
31:54one
31:55then it
31:55should
31:55not
31:56but
31:56that's
31:56your
31:56view
31:57yes
31:57my
31:57view
31:57if it's
31:59not
32:00clarified
32:00then my
32:02view
32:02is
32:02different
32:02from
32:02yours
32:02both
32:03of
32:04us
32:04go
32:04to
32:04hasil
32:04and
32:04we
32:05have
32:05a
32:05different
32:05expectation
32:06and
32:07then
32:07when
32:07talking
32:08about
32:08businesses
32:08that
32:09involve
32:09short-term
32:10and
32:10ad hoc
32:11workers
32:11this
32:12can
32:12be
32:13viewed
32:13as
32:13non-employment
32:14but
32:15more
32:15service
32:16agreement
32:17then
32:18the
32:18rate
32:18is
32:18not
32:18tearing
32:19it
32:19it's
32:190.1%
32:20yeah
32:21betul
32:22that
32:22is 0.1%
32:23then
32:23the
32:23question
32:24is
32:24yeah
32:25are they
32:25applicable
32:26then of course
32:28you're talking
32:28about
32:29the amount
32:29imagine
32:30now
32:30self-assessment
32:31I need to
32:32calculate
32:32and compute
32:33and pay
32:33same goes
32:35to
32:35director's
32:35appointment
32:36it's a
32:37service
32:37agreement
32:380.1%
32:39so that
32:40is on
32:41employment
32:41so there
32:42are many
32:43questions
32:43that
32:43still
32:44unanswered
32:45I believe
32:45most
32:46taxpayer
32:46wants to
32:47comply
32:47but they
32:48just need
32:48clarity
32:49and of course
32:50I'm sure
32:50Elysian
32:51or whoever
32:51yes
32:52that's right
32:52I still have
32:54a few
32:54points
32:54when you
32:55talk about
32:55self-assessment
32:56in fact
32:56our wish
32:57list
32:57here is
32:58to ask
32:59the government
32:59to consider
33:00pushing
33:01the self-assessment
33:02to a later
33:02date
33:03so that
33:03perhaps
33:04that give
33:04more
33:05taxpayer
33:06more time
33:07but of course
33:08we can
33:08understand
33:09that
33:09it may
33:09still have
33:10to go
33:10on
33:11I think
33:11it's fine
33:12but I
33:12think
33:13what is
33:13important
33:14greater
33:15details
33:16of
33:16guideline
33:17to be
33:17issued
33:18many businesses
33:19right now
33:20if you look
33:20at it
33:20you ask
33:21them about
33:22stamp duty
33:23rule
33:23to most
33:24of them
33:24they will
33:24say
33:25these are
33:25all new
33:26rules
33:26but in fact
33:27the law
33:27is already
33:28there
33:28from day
33:28one
33:29it will
33:30be good
33:30for the
33:30government
33:31to consider
33:31waiver
33:32or penalty
33:32at least
33:33for one
33:33year
33:33in this
33:35process
33:35of self-assessment
33:36and how
33:38do we
33:38want to
33:39promote
33:39voluntary
33:40disclosure
33:41program
33:42for them
33:42to come
33:43forward
33:43for past
33:44record
33:45so I
33:46think
33:46why it's
33:46important
33:47let's
33:47move
33:47forward
33:48rather
33:49than
33:49go
33:49back
33:49and of
33:51course
33:51the other
33:52one
33:52is
33:52if you
33:53look
33:53at
33:53what
33:53the
33:54government
33:54currently
33:55trying
33:55to
33:56implement
33:56into
33:57three
33:57phases
33:5826
33:5927
33:5928
34:0026
34:01phase
34:01is
34:02actually
34:02quite
34:03broad
34:04so
34:06our
34:06suggestion
34:07here
34:07is
34:07maybe
34:08we
34:08can
34:08start
34:08off
34:09with
34:09a
34:09more
34:10simple
34:10like
34:11tenancy
34:11agreement
34:12first
34:12then
34:13let
34:13people
34:13settle
34:14down
34:14how
34:15the
34:15law
34:15applies
34:16then
34:16only
34:17you
34:17apply
34:18three
34:19important
34:20point
34:20is that
34:21even
34:21the
34:22current
34:22law
34:22section
34:2335a
34:24still
34:24not
34:25very
34:25clear
34:25about
34:26who
34:26is
34:26responsible
34:27for
34:27submitting
34:28the
34:28returns
34:28so
34:30is it
34:31the
34:31same
34:31person
34:31that
34:32is
34:32liable
34:32to pay
34:33the
34:33stamp
34:33duty
34:33to
34:33submit
34:34right
34:35now
34:35what
34:36happen
34:36if
34:37both
34:37parties
34:37agree
34:38and
34:38say
34:38I
34:39yang
34:39by
34:40how
34:40I
34:41think
34:41the
34:41law
34:41doesn't
34:42provide
34:42that
34:43in
34:43the
34:44event
34:44of
34:44audit
34:44under
34:45self
34:45assessment
34:46who
34:48does
34:49IRB
34:49want
34:49to
34:50go
34:50after
34:50especially
34:51in
34:52the
34:52case
34:52of
34:52non
34:53resident
34:53for
34:54example
34:54so
34:55that
34:55part
34:55is
34:55not
34:55which
34:56is
34:56going
34:56to
34:56be
34:56a
34:56big
34:56topic
34:56if
34:57you
34:57are
34:57looking
34:57for
34:57this
34:57contract
34:58and
34:59the
34:59last
34:59important
35:00one
35:00under
35:01the
35:01service
35:01agreement
35:02we
35:02have
35:03this
35:03third
35:03schedule
35:03that
35:04only
35:04refer
35:05to
35:05obligor
35:09a lot
35:10of
35:10interpretation
35:11about
35:12this
35:12does
35:13it
35:13mean
35:13that
35:13the
35:13party
35:14who
35:14is
35:14paying
35:14for
35:15the
35:15service
35:15means
35:15obligor
35:17or
35:17is
35:18it
35:18the
35:18party
35:18that
35:18provide
35:19the
35:19service
35:19I
35:20think
35:20taxpayer
35:21want
35:21certainty
35:22so
35:22these
35:22are
35:23the
35:23thing
35:23that
35:23may
35:23impact
35:24businesses
35:24if
35:25this
35:26certainty
35:26are
35:26not
35:26being
35:27achieved
35:27do
35:28you
35:28think
35:28that
35:28the
35:28timeline
35:29is
35:29going
35:29to
35:29be
35:29tight
35:30in
35:30terms
35:30for
35:31HCL
35:32to
35:32come
35:32up
35:33the
35:33guidelines
35:33because
35:341st
35:34January
35:35we
35:36are
35:36just
35:36hoping
35:37that
35:37the
35:37guidelines
35:37can
35:38be
35:38out
35:38within
35:39this
35:39month
35:39perhaps
35:39then
35:40at
35:41least
35:41you
35:41still
35:41have
35:41two
35:41months
35:42to
35:42digest
35:42even
35:43that
35:43also
35:44to
35:44communicate
35:44with
35:45the
35:45relevant
35:45stakeholder
35:46it
35:47would
35:47definitely
35:47take
35:47time
35:48as
35:48well
35:48alright
35:48if
35:49you
35:49missed
35:49any
35:49part
35:49this
35:49interview
35:50just
35:50head
35:50on
35:50to
35:50astroawani.com
35:52you
35:52can
35:52also
35:52check
35:53out
35:53all
35:53the
35:54coverages
35:54that
35:54we've
35:54been
35:54giving
35:55over
35:56for
35:56Belanjawan
35:562026
35:57just
35:57search
35:58for
35:58Astro Awani
35:59Belanjawan
36:002026
36:01until then
36:01thanks
36:02very much
36:02for
36:02watching
36:03and
36:03catch
36:03you
36:03in the
36:03next
36:03one
36:04you
36:04guys
36:04have
36:04a
36:05great
36:05weekend
36:27thanks
36:38for
36:38staying
36:38on
36:38with
36:39us
36:39I
36:39have
36:39with
36:39me
36:39the
36:39head
36:39of
36:40KPMG
36:40Malaysia
36:41So
36:41let's
36:42talk
36:42a
36:42bit
36:42more
36:43about
36:43the
36:44macro
36:44economic
36:44outlook
36:44we
36:45will
36:46be
36:46talking
36:46about
36:46the
36:47new
36:47investment
36:49incentive
36:49scheme
36:50but
36:51it's
36:51worth
36:51noting
36:51that
36:52Malaysia
36:52approved
36:52investments
36:53between
36:532022
36:54and
36:542025
36:55at least
36:55the
36:55first
36:56half
36:56of the
36:56year
36:5618.7%
37:01year
37:02to
37:02190
37:03billion
37:03despite
37:04global
37:04uncertainties
37:05we
37:05are
37:05still
37:06attracting
37:06investors
37:06coming
37:07in
37:07and
37:08these
37:08investments
37:08are
37:08expected
37:09to
37:09be
37:09realized
37:09particularly
37:10in
37:10key
37:10sectors
37:11such as
37:11semiconductors
37:12renewable
37:12energy
37:12data
37:13centers
37:13and
37:13the
37:13like
37:14many
37:14of
37:14which
37:14we
37:15have
37:15discussed
37:15a bit
37:16here
37:16and
37:16of
37:16course
37:16many
37:17of
37:17the
37:18shows
37:18out
37:18there
37:18have
37:18been
37:18discussing
37:19that
37:19the
37:20incentives
37:20hitting
37:20these
37:21kind
37:21of
37:21segments
37:21and
37:21sectors
37:21are
37:22actually
37:22quite
37:23promising
37:24and
37:25right
37:26now
37:26Maida
37:27will
37:27be
37:28issuing
37:28guidelines
37:29on
37:30not
37:30just
37:30the
37:30new
37:30investment
37:31incentive
37:31scheme
37:32but
37:32outcome
37:33based
37:33incentive
37:34framework
37:35what
37:35kind
37:36of
37:36details
37:36are you
37:37looking at
37:37when it
37:37comes to
37:38Maida
37:38coming up
37:38with
37:38this
37:38framework
37:39or
37:39guidelines
37:40at
37:41the
37:41moment
37:41we
37:42don't
37:42have
37:43the
37:43details
37:43yet
37:43we
37:44are
37:44still
37:44waiting
37:44for
37:44Maida
37:45to
37:45come
37:45up
37:45but
37:45I
37:46think
37:46one
37:46comparison
37:47that
37:47I
37:47can
37:47give
37:48perhaps
37:48the
37:49last
37:50one
37:50two
37:50years
37:51the
37:52budget
37:52came
37:52out
37:52with
37:53the
37:53revised
37:54green
37:55investment
37:56tax
37:57allowance
37:57GITA
37:58or
37:58GITA
37:59where
38:00they
38:00set
38:00out
38:00a
38:01different
38:01tier
38:02where
38:02you
38:02need
38:03to
38:03actually
38:03claim
38:05this
38:05incentive
38:05I
38:05think
38:06in
38:06terms
38:06of
38:06the
38:07revised
38:07GITA
38:08or
38:08GITA
38:10perhaps
38:10in
38:10the
38:10category
38:11of
38:11EV
38:11tier
38:133
38:13perhaps
38:14in
38:14the
38:14category
38:14of
38:15solar
38:15the
38:16differential
38:16would
38:16be
38:17in
38:17terms
38:17of
38:17the
38:18duration
38:19as
38:20well
38:20as
38:20the
38:20percentage
38:21of
38:21utilization
38:22what
38:23I
38:23would
38:23expect
38:24maybe
38:24slightly
38:25more
38:25detail
38:25here
38:26would
38:26be
38:26how
38:26do
38:27we
38:27then
38:27track
38:28or
38:28how
38:28does
38:29the
38:29taxpayer
38:29need
38:30to
38:30track
38:30some
38:31of
38:31this
38:31performance
38:32when
38:33they
38:34come
38:35out
38:35with
38:35this
38:35when
38:36they
38:37enjoy
38:37this
38:37particular
38:38incentive
38:38and
38:39I
38:40visualize
38:40that
38:40documentation
38:41become
38:41important
38:42whenever
38:44there
38:44is
38:45hasil
38:47audit
38:48or
38:49hasil
38:49verification
38:50we
38:51need
38:51to
38:51demonstrate
38:53that
38:53the
38:54company
38:54actually
38:54fulfill
38:56those
38:57KPI
38:58that
38:58has
38:58been
38:59set
38:59in
39:00advance
39:00one
39:01one
39:01of
39:01the
39:01reasons
39:01why
39:02we're
39:02looking
39:02at
39:02this
39:03as
39:03well
39:03is
39:03to
39:03perhaps
39:04understand
39:04on
39:05the
39:05company's
39:05side
39:06of
39:06things
39:07when
39:07they
39:07invest
39:08in
39:08a
39:08particular
39:08country
39:09they
39:09want
39:09to
39:10grow
39:10that
39:10particular
39:10business
39:10in
39:11that
39:11particular
39:11country
39:11reduce
39:12cost
39:12increased
39:12revenue
39:12and
39:13trying
39:13to
39:14diversify
39:15the
39:15market
39:15mix
39:15globally
39:16or if
39:16not
39:16regionally
39:17it
39:18also
39:18supports
39:18the
39:19idea
39:20of
39:20the
39:20inclusive
39:21framework
39:21coming
39:21in
39:21from
39:21the
39:22OECD
39:22on
39:23the
39:23base
39:23erosion
39:23profit
39:24shifting
39:25or
39:26BEPS
39:26especially
39:27on
39:27Pillar 2
39:27when it
39:27comes to
39:28global
39:28minimum
39:28taxation
39:29do you
39:30feel
39:30that
39:30there
39:30will
39:30be
39:30some
39:31clarity
39:31coming
39:32in
39:32from
39:32Mida's
39:33framework
39:33to
39:33talk
39:34about
39:34BEPS
39:35Pillar 2
39:36with
39:37these
39:37kind
39:37of
39:37elements
39:38here
39:38that
39:38we
39:38are
39:39now
39:39raising
39:40especially
39:40on
39:40the
39:40investment
39:41side
39:41I
39:42can
39:42only
39:42say
39:43I
39:44really
39:44hope
39:44so
39:44because
39:45I
39:45think
39:46for
39:46the
39:47past
39:47you
39:49can't
39:49just
39:50hope
39:50hope
39:51and
39:51praise
39:52one
39:52thing
39:52but
39:52put it
39:53here
39:53let me
39:53rephrase
39:54what
39:54kind
39:55of
39:55guidelines
39:55do
39:56you
39:56want
39:56to
39:56see
39:57coming
39:57in
39:57from
39:57Mida
39:57on
39:58this
39:58front
39:58I
39:59would
40:02like
40:02to
40:02see
40:02when
40:04we
40:04talk
40:05about
40:05the
40:05Pillar
40:052
40:05for
40:06example
40:06the
40:07outcome
40:07based
40:08incentive
40:09how
40:10would
40:10they
40:11actually
40:12make
40:13available
40:14to
40:15this
40:15company
40:16who
40:16coming
40:17in
40:18and
40:19also
40:19trying
40:19to
40:20get
40:20who
40:21have
40:21perhaps
40:22lost
40:22the
40:22tax
40:23benefit
40:23so
40:25if
40:25you
40:25were
40:25to
40:26compare
40:26to
40:26other
40:27countries
40:27for
40:28example
40:28there
40:29was
40:29this
40:30type
40:31of
40:31incentive
40:32where
40:32they
40:33actually
40:33give
40:34back
40:34certain
40:35grant
40:35because
40:36you
40:36need
40:36to
40:36pay
40:36a
40:37minimum
40:37amount
40:37of
40:38tax
40:38they
40:38will
40:38give
40:39back
40:39certain
40:39grant
40:39the
40:40question
40:40is
40:40this
40:41is
40:41my
40:42wish
40:42list
40:42to
40:42see
40:42that
40:43to
40:43be
40:44more
40:44competitive
40:44in
40:45this
40:45region
40:45then
40:46if
40:47Malaysia
40:47can
40:47adopt
40:48the
40:48similar
40:48mechanism
40:49that
40:50will
40:50be
40:50good
40:51for
40:51investors
40:51sorry
40:52is it
40:52being applied
40:53elsewhere
40:53in other
40:54markets
40:54in Singapore
40:55in Thailand
40:56yes
40:57so
40:58I guess
40:59if
40:59we're
41:00slightly
41:00behind
41:01because
41:01we just
41:01need to
41:02execute
41:02what
41:02our
41:03neighbors
41:04are doing
41:04then
41:04we'll be
41:05just fine
41:05that's
41:05right
41:06let's
41:07now
41:07talk
41:07about
41:08the
41:08carbon
41:08tax
41:08the
41:09only
41:09one
41:09new
41:09tax
41:10that
41:10has
41:10been
41:10mentioned
41:10outright
41:11I spoke
41:14of all
41:14people
41:15to the
41:15New Zealand
41:16Prime Minister
41:16last week
41:17on
41:17carbon
41:17tax
41:18yeah
41:18crazy
41:18right
41:18he's coming
41:19over for
41:20the
41:20ASEAN
41:20summit
41:21later in
41:22the month
41:22and the
41:24New Zealand
41:24Prime Minister
41:24was actually
41:25applauding
41:25Malaysia's
41:26move
41:26on the
41:27introduction
41:27of
41:27carbon
41:27tax
41:28but
41:29he also
41:30mentions
41:30that
41:30every
41:31country
41:31moves
41:32at
41:32their
41:32own
41:32pace
41:33and
41:33they
41:33have
41:33while
41:35everybody
41:35should
41:36be cognizant
41:36of
41:37carbon
41:37emissions
41:37and
41:38improving
41:38on
41:39industries
41:40on how
41:41it can
41:42be done
41:42properly
41:42we were
41:45talking at
41:46length about
41:46this being
41:47needed
41:47but on
41:48that front
41:49I was
41:50trying to
41:50understand
41:50the
41:51Belajar
41:512026
41:52when it
41:53comes to
41:53carbon
41:53tax
41:54it is
41:54not just
41:55steel
41:56and iron
41:57if I'm
41:57mistaken
41:57it's
41:58also
41:58energy
41:59or energy
42:00emission
42:00so how
42:01do you
42:01see
42:01this
42:02details
42:03coming
42:03in
42:03do you
42:04want to
42:04see
42:04more
42:04clarity
42:05when it
42:05comes to
42:06the
42:07carbon
42:07tax
42:08being
42:08a
42:09tool
42:09to
42:09actually
42:10improve
42:10on our
42:10energy
42:11mix
42:11for instance
42:12reduction
42:12of
42:13coal
42:13for instance
42:14these
42:14kind
42:14of
42:15elements
42:15do you
42:15see
42:15that
42:16as
42:16a
42:16mechanism
42:17to
42:18actually
42:18shape
42:18industries
42:19rather
42:19than
42:19try
42:19to
42:19get
42:19revenue
42:20out
42:20of
42:20it
42:20yeah
42:22I
42:22think
42:22the
42:22budget
42:24speech
42:24doesn't
42:25give
42:27which is
42:27fine
42:27because I
42:28suppose
42:28details
42:29should
42:30come
42:30later
42:30as you
42:31right
42:31the
42:31implementer
42:32should
42:32be
42:32thinking
42:32about
42:32the
42:33framework
42:33and
42:33guidelines
42:34policy
42:35will
42:36be
42:36set
42:36at
42:36the
42:36budget
42:36my
42:37view
42:38here
42:38is
42:38I
42:39think
42:39when
42:39you
42:39talk
42:39about
42:39announcement
42:40it's
42:40not
42:40just
42:41policy
42:41question
42:42is
42:42is
42:43our
42:43ecosystem
42:44ready
42:44right
42:46because
42:47when
42:47we
42:47talk
42:47about
42:48carbon
42:48tax
42:49number
42:50one
42:50it's
42:51very
42:51important
42:51that
42:52we
42:52must
42:53have
42:53a
42:53system
42:53that
42:53able
42:54to
42:54measure
42:55because
42:59here
43:00even
43:01though
43:01yes
43:01we
43:01start
43:02off
43:02with
43:02the
43:03steel
43:03industry
43:04energy
43:04industry
43:05there
43:05as a
43:05start
43:06I
43:06think
43:06it's
43:06fine
43:06we
43:07can
43:07go
43:07by
43:07phases
43:08to
43:08other
43:08industry
43:09as
43:09well
43:09number
43:10one
43:10I
43:10think
43:11is
43:11a
43:11measurement
43:11number
43:12two
43:13even
43:14say
43:14we
43:14have
43:15those
43:15data
43:15whether
43:17this
43:17industry
43:17that
43:18you
43:18just
43:18mentioned
43:18do
43:19they
43:19really
43:20need
43:20a
43:20robust
43:21system
43:21even
43:22at
43:22the
43:23implementation
43:25level
43:26which
43:26right
43:27now
43:27when
43:27you
43:28look
43:28at
43:28companies
43:28they
43:30probably
43:30will
43:30need
43:31time
43:31to
43:32actually
43:32beef
43:32up
43:33those
43:33systems
43:34those
43:35data
43:36in terms
43:37of that
43:37second
43:38who
43:38is
43:38going
43:38to
43:39verify
43:39the
43:39data
43:40are
43:40we
43:41ready
43:41with
43:41a
43:42pool
43:43of
43:43accredited
43:44person
43:44right
43:46now
43:46that
43:46is
43:46also
43:46another
43:47point
43:47to
43:47consider
43:48and
43:50the
43:50third
43:50point
43:50my
43:51view
43:51while
43:52you
43:52can
43:52have
43:52a
43:52data
43:53assuming
43:53you
43:54have
43:54a
43:54pool
43:55accredited
43:55person
43:56how
43:56do
43:56we
43:57then
43:57monitor
43:57them
43:58you
43:59know
43:59monitor
43:59of
44:00this
44:00progress
44:01you
44:02will
44:02be
44:02good
44:02of
44:03course
44:03yes
44:05it
44:05go
44:06by
44:06phases
44:06of
44:07implementation
44:07ideally
44:09this
44:10is not
44:10supposed
44:11to be
44:11a
44:11collection
44:12of
44:12taxes
44:12if
44:13you
44:13want
44:13to
44:13promote
44:14this
44:14whatever
44:16carbon
44:16tax
44:16that
44:17is
44:17collect
44:17ideally
44:18will be
44:18channeled
44:18out
44:19to
44:19support
44:20those
44:20other
44:21industries
44:21that
44:21need
44:22this
44:23implementation
44:24it
44:25can be
44:25by way
44:26of
44:26grant
44:26or
44:27loan
44:28perhaps
44:29to
44:29support
44:29and
44:30last but not least
44:31how do we
44:32make our business
44:33more competitive
44:34what is
44:36important
44:36is
44:36the
44:39proposal
44:40of the
44:41carbon
44:41tax
44:41is
44:42clear
44:43enough
44:43that
44:44we
44:44are
44:44able
44:44to
44:45interact
44:45with
44:45the
44:46EU
44:46CBAM
44:47for
44:48example
44:48ideally
44:50would be
44:51those
44:51tax
44:51that
44:52has
44:52been
44:52recognized
44:52or
44:53credited
44:54they
44:54are
44:55able
44:55to
44:55reduce
44:56those
44:56CBAM
44:56charges
44:57that
44:57impose
44:58on
44:58the
44:58Malaysian
44:59export
45:00EU
45:02CBAM
45:05is the
45:05carbon
45:05border
45:06measurement
45:07approach
45:07adjustment
45:08mechanism
45:09that's right
45:10and
45:12I think
45:12only Singapore
45:13is looking
45:14at this
45:14I'm not too
45:15sure about
45:15other markets
45:16especially
45:16Thailand
45:17or
45:17Indonesia
45:18perhaps
45:18they are
45:19at the
45:19same
45:19starting
45:19point
45:20as
45:20ours
45:20but
45:23this
45:23my argument
45:24is
45:25we do
45:25this
45:25first
45:26and then
45:26we can
45:26comply
45:27and
45:27try
45:28to
45:29measure
45:31up
45:32accordingly
45:32as
45:33the
45:33time
45:33goes
45:33by
45:34but
45:34this
45:35is
45:36a
45:36good
45:36start
45:36and
45:37it
45:37does
45:38create
45:38that
45:38environment
45:39where
45:39or
45:40ecosystem
45:41where
45:41businesses
45:42are now
45:42pushed
45:43to do
45:44this
45:44and
45:45professions
45:45or at
45:46least
45:46competencies
45:47like
45:47carbon
45:47accounting
45:47has
45:48come
45:48to
45:48play
45:48and
45:49try
45:50to
45:50see
45:50how
45:50we
45:50can
45:50comply
45:51maybe
45:515-10
45:51years
45:51down
45:52the
45:52road
45:52so
45:53my
45:53point
45:53here
45:54is
45:54you're
45:54right
45:54Ibrahim
45:55that
45:55is
45:55a
45:55good
45:56point
45:56so
45:56as
45:57start
45:57while
45:57we
45:58can
45:58have
45:58all
45:58this
45:58measurement
45:59all
45:59in
45:59place
46:00we
46:00must
46:00always
46:01have
46:01the
46:02alignment
46:02with
46:03this
46:04example
46:06of
46:06the
46:06EU
46:07thing
46:07rather
46:08than
46:08we
46:08perhaps
46:09implement
46:10our
46:10own
46:11policy
46:11then
46:12later
46:13on
46:13we
46:13start
46:13to
46:14realize
46:14it's
46:14not
46:15a
46:15lie
46:15then
46:16you
46:16go
46:16to
46:16adjust
46:17back
46:17so
46:18since
46:18we
46:18know
46:19the
46:19overall
46:19objective
46:20is
46:20to
46:20achieve
46:21that
46:21why
46:22don't
46:22we
46:22look
46:23at
46:23it
46:23holistically
46:24in
46:24terms
46:25of
46:25that
46:25okay
46:26I guess
46:28we
46:29can
46:29cap
46:30off
46:30our
46:31conversation
46:31with
46:31ASEAN
46:32there
46:34is
46:34this
46:34ASEAN
46:34business
46:35community
46:35aspect
46:37that
46:38has
46:38been
46:38brought
46:38in
46:39by
46:39the
46:39Prime
46:40Minister
46:40of
46:41course
46:41the
46:42Prime
46:42Minister
46:42as
46:42well
46:42simplify
46:45investor
46:46processes
46:46through
46:47new
46:47ASEAN
46:47business
46:48entity
46:48or
46:49ABE
46:49status
46:50it
46:50is meant
46:50to
46:51facilitate
46:51the
46:51movement
46:52of
46:52skilled
46:52talents
46:52over
46:53here
46:53Investor
46:54passed
46:54with
46:55multiple
46:55entry
46:55visa
46:56facility
46:56for
46:56prospective
46:57new
46:57investors
46:58in
46:58key
46:58sectors
46:59such
46:59as
46:59Camp
46:59Semiconductor
47:00new
47:01outcome
47:01based
47:02incentive
47:02framework
47:02for
47:03manufacturing
47:03services
47:03sector
47:04is
47:04also
47:04being
47:04mentioned
47:05what
47:05are
47:05your
47:05thoughts
47:06on
47:06these
47:06items
47:06I
47:08think
47:08this
47:08is
47:09a
47:09good
47:09I
47:10would
47:10say
47:10promising
47:12move
47:13to
47:13help
47:13in
47:14particular
47:14the
47:15Malaysian
47:15listed
47:16as
47:16well
47:16as
47:17mid
47:17size
47:18company
47:18to
47:19expand
47:20across
47:21the
47:21Southeast
47:21Asia
47:21and
47:23I
47:23think
47:24with
47:24the
47:24current
47:25uncertainty
47:26from
47:26the
47:26tariff
47:27point
47:28of
47:28view
47:28this
47:29is
47:29something
47:29perhaps
47:30is
47:30a
47:30good
47:30initiative
47:31that
47:31within
47:32ASEAN
47:33how
47:33can
47:33we
47:34actually
47:34work
47:34together
47:35to
47:35build
47:36a
47:37marketplace
47:37for
47:38ourselves
47:38while
47:40it
47:40start
47:40off
47:40with
47:41skilled
47:41workers
47:42that
47:42can
47:42move
47:42within
47:43ASEAN
47:44my
47:45thought
47:45of
47:45this
47:46is
47:46that
47:46it
47:46would
47:46be
47:46good
47:47also
47:47to
47:47expand
47:48the
47:49collaborative
47:49effort
47:50to
47:50include
47:50the
47:51preferred
47:53tariff
47:54code
47:54among
47:55the
47:55ASEAN
47:55or
47:55among
47:56the
47:56for
47:58example
47:58like
47:58when
47:59you
47:59export
47:59to
47:59another
48:00country
48:00you
48:01could
48:01be
48:02being
48:04imposed
48:04with
48:05a
48:05tariff
48:05within
48:05that
48:06ideally
48:07we
48:07would
48:07be
48:07having
48:08a
48:08preferred
48:08tariff
48:09code
48:09among
48:10the
48:10ASEAN
48:10so
48:11that
48:11we
48:11are
48:11being
48:11more
48:12competitive
48:12in
48:13terms
48:13of
48:13that
48:13I
48:15don't
48:17know
48:17yet
48:17but
48:18this
48:18is
48:18my
48:18wish
48:18list
48:18rather
48:19than
48:20just
48:20make
48:21the
48:22skilled
48:22worker
48:22move
48:23around
48:23easily
48:24but
48:24I
48:24think
48:24we
48:25can
48:25go
48:25beyond
48:26that
48:26looking
48:27at
48:27tax
48:28one
48:28of
48:28it
48:28is
48:28tariff
48:29to
48:30have
48:30a
48:30consistent
48:30rate
48:31so
48:31that
48:31we
48:32can
48:32go
48:32to
48:32the
48:32market
48:33perhaps
48:33absorb
48:34the
48:34shocks
48:34coming
48:34in
48:34from
48:35Trump
48:35or
48:35whatever
48:35perhaps
48:36so
48:37this
48:37could
48:37be
48:38one
48:38that
48:40we
48:40can
48:40promote
48:41regionally
48:43as well
48:43within
48:43our
48:44powers
48:44I
48:44suppose
48:44as
48:44as
48:45in
48:45store
48:45in
48:46KL
48:46that's
48:47right
48:47so
48:48that
48:48would
48:48be
48:48one
48:49wish
48:49list
48:49I
48:49could
48:50see
48:50if
48:50we
48:50can
48:50do
48:51it
48:51rightfully
48:52this
48:53would
48:53be
48:53very
48:53powerful
48:53too
48:54to
48:55call
48:55to
48:56promote
48:56this
48:56collaboration
48:57sorry
48:58you
48:58just
48:58inspired
48:59me
48:59with
48:59another
48:59argument
49:00because
49:00in
49:01the
49:01EU
49:01not
49:01only
49:01do
49:02they
49:02have
49:02free
49:02labour
49:02movement
49:03if
49:04you
49:05are
49:05born
49:05in
49:05Italy
49:06you
49:06can
49:06work
49:06in
49:06Sweden
49:13uniformed
49:14so
49:15really
49:16you
49:16can't
49:17evade
49:18one
49:18jurisdiction
49:19just
49:20because
49:20you
49:20want
49:20to
49:20have
49:21a
49:21lower
49:21tax
49:21rate
49:21with
49:22another
49:22jurisdiction
49:22that
49:23would
49:23require
49:24more
49:24discussion
49:25I
49:43could
49:43be
49:44something
49:44that
49:44is
49:44easier
49:45to
49:46implement
49:46whereas
49:47you
49:47talk
49:47about
49:47the
49:48income
49:48tax
49:48well
49:49we
49:49have
49:49a
49:49DTA
49:50and
49:50all
49:50that
49:50require
49:51more
49:51time
49:52to
49:52harmonize
49:53some
49:53of
49:53this
49:53because
49:54tax
49:54residency
49:55is
49:55already
49:55a big
49:55issue
49:56among
49:56some
49:56of
49:56some
49:56members
49:57but
49:57if
49:57you
49:58want
49:58that
49:58you
49:58have
49:58this
49:59this
49:59is
49:59more
49:59of
49:59a
49:59prerequisite
50:00I
50:00suppose
50:00that
50:01right
50:01interesting
50:02so
50:03that
50:03will
50:03be
50:03my
50:03reach
50:03list
50:04the
50:04way
50:04on
50:05this
50:05ASEAN
50:06blog
50:06okay
50:07you've
50:07been
50:07covering
50:07budgets
50:08for
50:08half
50:08your
50:08life
50:09how's
50:10budget
50:102026
50:11overall
50:12recap
50:12recap
50:14I
50:14like to
50:15see
50:16that
50:16this
50:18budget
50:18appears
50:19to be
50:19more
50:19of
50:20trying
50:20to
50:20build
50:20trust
50:21through
50:21tax
50:22as a
50:23tax
50:23practitioner
50:23but
50:25one
50:25thing
50:26I
50:26would
50:26like
50:26to
50:26see
50:27further
50:27will
50:27be
50:28please
50:29guidelines
50:31finance
50:31bill
50:32engagement
50:33would
50:34like
50:34to
50:34see
50:35to
50:35happen
50:35soon
50:36so
50:37that
50:37we
50:38want
50:38certainty
50:38we
50:39want
50:39to
50:39see
50:40what
50:41are
50:41the
50:41details
50:42so
50:42that
50:42the
50:43benefit
50:44to
50:44businesses
50:45taxpayer
50:46can
50:47be
50:47determined
50:48and
50:49all
50:50of
50:50us
50:50want
50:50to
50:50pay
50:51the
50:51right
50:51amount
50:51of
50:52tax
50:52so
50:52the
50:53way
50:53how
50:54I
50:54see
50:54not
50:55just
50:55announcement
50:56that
50:56is
50:56important
50:57the
50:58execution
50:58and
51:00also
51:00clarity
51:01that
51:02what
51:03I
51:03view
51:042026
51:05if
51:06we
51:07were
51:07to
51:07do
51:07this
51:08interview
51:08next
51:08year
51:09I
51:09think
51:09the
51:09conversation
51:09will
51:09be
51:10slightly
51:10different
51:10because
51:11then
51:11it
51:11will
51:11be
51:11budget
51:12election
51:13I'm
51:16realistic
51:16Mr. So
51:17so
51:18it is what
51:19it is
51:19every
51:19five
51:20years
51:20there
51:20will be
51:20one
51:21budget
51:21but
51:21this
51:24isn't
51:24it
51:24it
51:24doesn't
51:25look
51:25like
51:25it
51:26alright
51:26if
51:26you've
51:26missed
51:27this
51:27interview
51:27just
51:28head
51:28on
51:28to
51:28astro
51:29awani.com
51:30you can
51:30also
51:30check
51:30out
51:31all
51:31the
51:31coverages
51:32that
51:32we've
51:32been
51:32giving
51:33over
51:33for
51:34Belanjawan
51:342026
51:35just
51:35search
51:35for
51:36Astro
51:37Awani
51:37Belanjawan
51:382026
51:39until
51:39then
51:39thanks
51:39very
51:40much
51:40for
51:40watching
51:40and
51:40catch
51:41you
51:41in
51:41the
51:41next
51:41one
51:41you
51:41guys
51:42have
51:42a
51:42great
51:42weekend
51:57you
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