Budget 2023 Highlights

Budget 2023 Highlights

Below are the highlights of the Malaysia Budget 2023, tabled today (7 October 2022)

  • A total 450,000 households will receive monthly aid from the Social Welfare Department, totalling RM2.5billion.
  • RM10 billion is allocated for cash aids under the Welfare Department and Bantuan Keluarga Malaysia. The cash aids from Bantuan Keluarga Malaysia will be expanded, with households of less RM2,500 income with five children or more will receive RM2,500 each.
  • Households with income of RM1,169 will be able to enjoy electric bill subsidy up to RM40.
  • Tax relief of childcare fees valued at RM3,000 will be extended until assessment year 2024.
  • Income tax rates will be reduced by 2 percentage points next year. Taxable income range RM50,001 to RM70,000, the rate will be reduced from 13% to 11%. For the RM70,001 to RM100,000 range, it will go down from 21% to 19%.
  • Those in the taxable income range of RM250,000-RM400,000 and in the RM400,000-RM600,000 range will be subject to a rate of 25%.
  • EPF voluntary contribution limit will be increased to RM100,000 per year annually.
  • Women who return to the workforce after a “career break” will be entitled to income tax exemptions for five years from 2023 to 2028.
  • RM235 million will be set aside to help women build, upgrade and market their businesses, while the Securities Commission will offer training programmes to increase the number of women in leadership roles in industry.
  • RM11 million allocated for mammogram and cervix cancer screening.  RM8 million has been allocated for the Social Support Centre to provide advocacy and counseling sessions.
  • RM305 million allocated for youths to apply loans under BSN and Majlis Amanah Rakyat (Mara) to start businesses. One can apply up to RM50,000 and it will benefit more than 10,000 youths.
  • The government will bear cost for B40 youths to obtain taxi, bus, e-hailing licences under the MyPSV programme.
  • National Higher Education Fund Corporation (PTPTN) borrowers who settle their loans will get discounts of up to 20 per cent. Borrowers who pay at least 50 per cent of their loan or make scheduled direct debit payments would receive a 15 per cent discount. The discount for repayments will begin from Nov 1 until April 30 next year.
  • RM100 in e-wallet credit will be allocated for M40 Malaysians.
  • RM800 million has been allocated for the e-wallet credit that is expected to benefit eight million people.
  • Youths aged between 18 and 20 years old, and full-time students above 21 years old, would receive RM200 in e-wallet credit under the ePemula initiative.
  • A total of RM332 million has been allocated for sports and to promote active lifestyles. RM145 million allocated for training programs and enhancement of sports facilities nationwide.
  • RM154 million will be given to build a holistic sports ecosystem for athletes and the public.
  • RM20 million will be allocated for motorsports tracks, with emphasis on promoting drag racing while RM13 million will be given for eSports development.
  • Those contributing to non-government organizations (NGO) involved in sports grassroots development will be entitled to a tax exemption.
  • RM12million will be allocated for para athletes.