CTIM Perak 2013 Budget Talk - 25 October 2012

CTIM Perak’s 2013 Budget Seminar was held on 25 October 2012.

Malaysia’s Finance Minister and Prime Minister , Datuk Seri Najib TunRazak tabled the 2013 Budget proposals at the Dewan Rakyat on 28 September 2012. The theme of the speech was “Prospering the Nation, Enhancing Well-being of the Rakyat: A Promise Fulfilled”.

For the 2013 Budget, an amount of RM201.9 billion has been allocated for operating expenditure while for development expenditure; the amount allocated is RM49.7 billion. On the revenue side, the Federal Government is expected to generate RM208.6 billion. Based on the estimated revenue and expenditure, the Federal Government deficit in 2013 is expected to improve to 4% of GDP as compared with 4.5% in 2012.

The Budget focused on five key areas:-

Boosting investment activity;

Strengthening education and training;

Inculcating innovation, increasing productivity;

Fiscal consolidation and enhancing the public service delivery; and

Enhancing the well-being of the Rakyat

Among notable proposals were:-

The Government introduced proposals that essentially provide for two new business structures, namely the limited liability partnership (“LLP”) and the business trust, to be given the same tax treatment as a company.

For the rakyat, it has been proposed that with effect from YA 2013, the resident individual income tax rates will be reduced by 1% point for chargeable income bands up to RM50,000.

The event was well covered by the local press: