Putrajaya stands by its stance – corporate tax will not be reduced!
The Finance Ministry insists that foreign investment is not an excuse to sacrifice the country's fiscal stability.
Although the tax rate has been reduced from 25% to 24% since 2016, the government is more focused on improving the tax system than providing more flexibility.
For small and medium-sized companies (SMEs), they will still enjoy a lower rate of 15% for the first RM150,000 and 17% up to RM600,000.
In the Dewan Rakyat, the proposal to increase corporate tax is again being debated.
Pasir Gudang Member of Parliament, Hassan Karim (PH) has proposed that the tax rate be increased to 27% for big companies, arguing that more tax revenue will benefit the people.
So, big companies – do they want to continue to make profits or are they prepared to 'dedicate' more to the government?
