Malaysian 2007 Budget - IT Perspective
Posted by CJCM on September 2nd, 2006
I didnt actually watch the budget presentation on the telivision. I read about it in Sun2Surf.
From the IT point of view, I must say the new incentive for computer ownership and the tax relief that comes with it are both good and bad news.
Good news because the period of incentive is now reduced from five years to three years, which is just about right for the fast-paced computer industry.
Bad news is that the tax incentive change from a tax rebate of RM500 to a tax relief of up to RM3,000 will only benefit those with a taxable income of RM53,000 and above.
Here is how it works out:
A person with a taxable income of RM23,000 buys a PC costing RM3,000. Under the old scheme, he would be paying RM185 income tax, after the RM500 rebate. However, under the new PC tax relief, he would end up paying RM475 of income tax. The tax would be higher if the PC cost is less than RM3,000.
Source : Pikom in The Edge Daily
Sorry Pak Lah…this is not what the men on the streets want.
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