KUALA LUMPUR, Sept 30 (Bernama) — Prime Minister Datuk Seri Najib Tun Razak may announce one or two per cent cut in corporate tax in Budget 2012 in line with the consensus of tax practitioners in Malaysia, says UHY.
It said the annual budget may also see further policy-level initiatives to increase attractiveness of Malaysia’s tax regime, both for domestic and international businesses investing in the country.
“In view of the uncertainties in the US and Europe, Najib may announce tax proposals that would further spur inter-Asean trade and trade with China to counter the slow growth brought about by the drop in imports of Malaysian goods by the US and Europe,” it said in a statement today.
Najib, who is also Finance Minister, will table the budget in Parliament on Oct 7.
UHY is a network of independent accounting and consulting firms, with offices in nearly 240 major business centres in 78 countries.
Last month, UHY tax professionals studied the tax data in 21 countries across its international network, including members of the G8 (world’s richest nations) and key emerging economies.
“Tax professionals in each country calculated post-tax profits for businesses making annual statutory pre-tax profits of US$100,000, US$1 million and US$100 million.
“When analysing larger profitable businesses, the same business in Brazil would pay over a third more in tax (US$34 million) than the equivalent business in Malaysia (US$25 million),” UHY added.
Source : Bernama