Four more months to enjoy car sales tax exemption incentive, Zafrul reminds people

KUALA LUMPUR: There are four months left for Malaysians to buy locally made or imported cars and enjoy tax incentives which will end soon, said Finance Minister Tengku Datuk Seri Zafrul Abdul Aziz.

He said the Finance Ministry under Budget 2022 had extended the car sales tax incentive exemption period until June 30, 2022 to encourage car ownership, stimulate local economic growth and drive the development momentum of the automotive sector.

"Under Budget 2022, the car sales tax exemption remains the same as before, that is 100 per cent sales tax exemption on locally assembled passenger cars (CKD).

"Meanwhile, a sales tax exemption of 50 per cent is given to foreign assembled passenger vehicles (CBUs) including MPVs and SUVs, including new imported CBUs and used imported CBUs," he said in the Laporan Kewangan Rakyat released today.

The Laporan Kewangan Rakyat is a rebranding of the 86th Laksana report published by the ministry on a weekly basis since April 2020.

Meanwhile, he said the government had channelled a total of RM20.355 billion to 357,530 employers through the Wage Subsidy Programme (PSU) to maintain the employment of 2,953,820 local workers in an effort to reduce the unemployment rate among Malaysian workers.