Going by hints dropped by Prime Minister Datuk Seri Ismail Sabri Yaakob, Budget 2022 to be tabled at 4pm on Friday will not only be expansionary and sizeable, but also one that puts the need to quickly return lives and livelihoods back to pre-Covid-19 levels first before executing plans to pare down government debt and beef up tax collection.

Budget 2022: Hints dropped indicate no major new taxes next year

The one-off corporate tax of 33% to be levied on companies with chargeable income of more than RM100 million is likely to be the Budget 2022 proposal that would have the biggest financial impact on the insurance and takaful industry, said Deloitte Malaysia.

After looking at the tax measures proposed in Budget 2022 and Finance Bill 2021, Deloitte Malaysia said the one-off tax would have an impact on the insurance and takaful sector from both a fiscal and operational perspective.

Cukai Makmur will be the Budget 2022 proposal that will impact the insurance industry most — Deloitte Malaysia

KUALA LUMPUR (Nov 3): Investors should expect dividend suppression after the government unveiled the one-off "Cukai Makmur (prosperity tax) in the recently announced Budget 2022, according to Maybank head of Malaysia and regional equity research Anand Pathmakanthan.

Dividend suppression seen with prosperity tax in Budget 2022 — Maybank Investment

Maybank Kim Eng has applauded the government’s decision to give full exemption of import duty, excise duty, as well as sales tax for electric vehicles (EVs) as it seeks to support the local EV industry, according to its head regional equity research Anand Pathmakanthan.

Maybank lauds govt decision on EV incentives in Budget 2022

Malaysia's plantation sector, which is the most highly taxed sector in the country, is likely to be subjected to the recently-announced "Cukai Makmur" (prosperity tax) under Budget 2022, according to Maybank Kim Eng's head of regional equity research Anand Pathmakanthan.

Highly-taxed plantation sector unlikely spared from Cukai Makmur, says Maybank

The national budget should not be designed to give short-term boosts to the local bourse but it should be seen as the enabler for the economy to grow, whether in the short, medium or longer term, according to Member of Parliament for Damansara Tony Pua.

National budget should be seen as enabler of economic growth, says Tony Pua

Malaysia’s Budget 2022 brings a ray of hope for Bursa-listed companies that were affected by the Covid-19 pandemic as viable candidates may receive financial support from the government in the form of equity injection.

Finance Minister Tengku Datuk Seri Zafrul Aziz said in his 2022 Budget speech last Friday that a government-owned special purpose vehicle (SPV) will be set up to support companies through equity injection or other related instruments.

Which companies need Khazanah's RM3 bil help?

KUALA LUMPUR (Nov 1): Veteran tax expert Dr Veerinderjeet Singh said he is surprised that the government has moved so fast to propose the removal of tax exemption for foreign sources of income.

Describing it as a knee-jerk reaction, he said: “I would like to encourage the team at the Finance Ministry to reconsider this particular point on the removal of the exemption on the foreign source income.”

Proposal to remove foreign source income exemption comes as a surprise, says tax expert

Panelists at the Malaysian Economic Association (MEA) 2022 Post-Budget Dialogue were mooting for the reinstatement of the Goods and Services Tax (GST) or the inclusion of a similar tax structure under the current tax regime in order to widen the government’s tax revenue base to prepare for turbulent times ahead.

During the session, Centennial Asia Advisors chief executive officer (CEO) Manu Bhaskaran said that there will be a period of “great financial turbulence” for Malaysia and the global economy going forward, as there is bound to be consequences to the extraordinary quantitative easing, printing of money and low interest rates we have seen over the past decade

Malaysia needs GST to weather turbulence ahead, say experts

KUALA LUMPUR (Oct 31): Palm oil growers from Sabah and Sarawak are crying foul over what they deemed to be the unjust doubling up of the windfall profit levy rate from 1.5% to 3% to be imposed on those who operate in the two states, as proposed under Budget 2022.

Sabah, Sarawak palm oil players cry foul over doubling of windfall profit levy rate

A key point to highlight in Budget 2022 is the 22.5% increase in gross development expenditure (DE) to RM75 billion, which would benefit construction and infrastructure activities as well as trade and industry in the country, according to AmBank Group Research.

AmBank Research sees potential roll-out of RM140b worth of projects from Malaysia's higher development spending

Employers are upbeat about the outlook for the employment market next year based on targeted initiatives of Budget 2022, the largest budget to date that indicates the government is putting in place measures to help accelerate the country's economic recovery, according to the Malaysian Employers Federation (MEF).

Employers commend Budget 2022 as one that supports recovery and helps alleviate unemployment issue

Budget 2022 expects an increase in tax collection, with corporate tax collection anticipated to rise to above 2019's pre-pandemic numbers, which is optimistic but challenging if businesses are still trying to bounce back from Covid-19, said Deloitte Malaysia tax leader Sim Kwang Gek.

Deloitte: Taxation on foreign sourced income a significant change and will increase tax bill of companies with overseas ops

While Budget 2022 puts the nation on the right track in the short term, Research for Social Advancement (REFSA), a think tank promoting social advancement in Malaysia, however contends that the Budget could go further in setting the stage for long-term policy making.

REFSA economic advisor Frederik Paulus and researcher Jaideep Singh said that considering that Budget 2022 is the first Budget under the tenure of the 12th Malaysia Plan (12MP), there should be clarification as to how it helps promote the development of emerging sectors — such as the care economy and the green economy — beyond the limited measures that have been included.

Budget 2022 on right track in short-run, but fails to address long-term considerations — REFSA

(Jan 5): United Airlines said on Sunday that it expects to begin testing Elon Musk's Starlink in February for in-flight internet services, and to first offer the connectivity on a commercial flight operated by Embraer aircraft this spring.

United Airlines to bring Musk's Starlink on flights by spring

ATHENS (Jan 5): Former Greek prime minister Costas Simitis, who led the country into the European Union's (EU) single currency in 2001, died on Sunday, aged 88, at his summer house in the Peloponnese.

Former Greek prime minister Simitis passes away at age 88

VIENNA (Jan 5): Austria's ruling conservatives picked secretary general Christian Stocker as interim successor to Chancellor Karl Nehammer, Austrian media reported on Sunday, after Nehammer quit as his attempts to form a coalition government without the far right fell apart.

Austrian conservatives pick interim leader after chancellor quits

WEST PALM BEACH, Florida/MILAN (Jan 5): Italian Prime Minister Giorgia Meloni made a surprise trip to Florida to meet with Donald Trump late on Saturday, as the key European leader sought to buttress ties with the president-elect before his inauguration on Jan 20.

Italy's Meloni boosts ties with Trump in surprise Florida visit

DOHA/DUBAI/CAIRO (Jan 5): Syria's new Islamist rulers said on Sunday that US sanctions on Syria were an obstacle to the war-torn country's rapid recovery, and urged Washington to lift them during a visit by Syrian officials to Qatar.

Syria's new Islamist rulers urge US to lift sanctions during visit to Doha

BANGI (Jan 5): Umno President Datuk Seri Dr Ahmad Zahid Hamidi has reminded party members not to participate in a rally scheduled to take place at the Palace of Justice in Putrajaya on Monday (Jan 6).

Zahid warns Umno members against joining Putrajaya rally

PUTRAJAYA (Jan 5): The Royal Malaysia Police (PDRM) has advised the public not to participate in a rally scheduled to take place at the Palace of Justice here on Monday (Jan 6), as it has not received permission from the owner of the venue.

Police warns public against participating in unauthorised Palace of Justice rally

TAIPEI (Jan 5): Taiwan's Foxconn, the world's largest contract electronics maker, beat expectations to post its highest-ever revenue for the fourth quarter, on continued strong demand for artificial intelligence (AI) servers.

Foxconn beats estimates with record fourth-quarter revenue on AI demand

MOSCOW (Jan 5): Russian airports in the cities of Kazan, Nizhnekamsk, Izhevsk and Perm, which temporarily halted flights on Sunday morning to ensure the safety of civilian aircraft, have resumed normal operations, the aviation watchdog Rosaviatsia said.

Four Russian airports reopen after suspending flights, aviation watchdog says

SEOUL (Jan 5): The chief of security for South Korean President Yoon Suk Yeol said on Sunday that he could not cooperate with efforts to arrest the impeached leader, in remarks that could push the political crisis towards another high-stakes confrontation.

South Korea's presidential security chief defies Yoon's arrest bid as deadline looms

TOKYO (Jan 5): The global chip market is projected to grow 11.2% to a record US$697.18 billion (RM3.13 trillion) in 2025, boosted by robust demand for semiconductors for use in artificial intelligence (AI)-powered smartphones and data centres, according to an industry organisation forecast.

Global chip demand expected to grow 11.2% to record US$697b in 2025 — World Semiconductor Trade Statistics

PUTRAJAYA (Jan 5): The Royal Malaysia Police (PDRM) has advised the public not to participate in a rally scheduled to take place at the Palace of Justice here on Monday (Jan 6), as it has not received permission from the owner of the venue.

SEOUL (Jan 5): The chief of security for South Korean President Yoon Suk Yeol said on Sunday that he could not cooperate with efforts to arrest the impeached leader, in remarks that could push the political crisis towards another high-stakes confrontation.

BANGI (Jan 5): Umno President Datuk Seri Dr Ahmad Zahid Hamidi has reminded party members not to participate in a rally scheduled to take place at the Palace of Justice in Putrajaya on Monday (Jan 6).

TAIPEI (Jan 5): Taiwan's Foxconn, the world's largest contract electronics maker, beat expectations to post its highest-ever revenue for the fourth quarter, on continued strong demand for artificial intelligence (AI) servers.

(Jan 5):&nbsp;Congestion pricing has finally arrived in New York City, though its long-term future still remains uncertain.

NYC congestion pricing takes effect after years of delays

(Jan 5): Merck &amp; Co, Inc’s Covid-19 antivirals are getting a new lease of life in post-pandemic China, as cat owners seize on them as antidotes to a life-threatening disease caused by a coronavirus that infects their feline companions.

Chinese cat owners feed Covid pills to pets to beat virus

CAIRO/GAZA (Jan 5): Israeli military strikes in the Gaza Strip have killed at least 70 people over the last day, Palestinian medics said on Saturday, as mediators launched a new ceasefire push to end the 15-month-old war.

Israeli strikes kill dozens in Gaza Strip as new ceasefire talks begin

MOSCOW (Jan 5): Russian airports in the cities of Kazan, Nizhnekamsk, Izhevsk and Perm, which temporarily halted flights on Sunday morning to ensure the safety of civilian aircraft, have resumed normal operations, the aviation watchdog Rosaviatsia said.

DOHA/DUBAI/CAIRO (Jan 5): Syria's new Islamist rulers said on Sunday that US sanctions on Syria were an obstacle to the war-torn country's rapid recovery, and urged Washington to lift them during a visit by Syrian officials to Qatar.

ATHENS (Jan 5): Former Greek prime minister Costas Simitis, who led the country into the European Union's (EU) single currency in 2001, died on Sunday, aged 88, at his summer house in the Peloponnese.

(Jan 5):&nbsp;United Airlines said on Sunday that it expects to begin testing Elon Musk's Starlink in February&nbsp;for in-flight internet services, and to first offer the connectivity on a commercial flight operated by Embraer&nbsp;aircraft this spring.

Budget 2022

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