24th March 2020 - 2 min read
The Ministry of Finance has announced that individuals and corporations that donate to the Covid-19 fund and the Ministry of Health will be eligible for tax deductions.
“The government welcomes the generosity of Malaysians, both the rakyat and the corporate sector, in contributing and donating towards addressing the Covid-19 outbreak,” said Finance Minister Tengku Datuk Seri Zafrul Tengku Abdul Aziz.
Tengku Datuk Seri Zafrul also acknowledged the contributions made by government-linked companies (GLCs), amounting to a total of RM60 million in the form of medicine and medical equipment. He then encouraged the corporate sector to follow in the footsteps of the GLCs. He cited this as a reason for allowing tax deductions for contributions and donations made to the Covid-19 fund and the Ministry of Health.
The government had set up the Covid-19 fund last week, which was meant to assist patients who have no fixed income during the period of quarantine and treatment for Covid-19.
According to Tengku Datuk Seri Zafrul, this move is part of several additional measures undertaken to better allocate financial resources in a bid to cushion the impact of Covid-19 outbreak. These include cash assistance for employees forced on unpaid leave due to the outbreak, an extended deferment of PTPTN loan repayments, and the withdrawal of up to RM500 per month from the EPF Akaun 2 to ease cash flow problems. Prior to this, the government had already rolled out the Economic Stimulus 2020.
A second economic stimulus is also expected to be announced on 30 March 2020, offering more support to the country’s economy during this trying time.
Subscribe to our exclusive weekly newsletter and we’ll bring you the week’s highlights of financial news, expert tips, guides, and the latest credit card and e-wallet deals.
Stay tuned for what’s to come next in the personal finance world