IN SESSION: The tabling of Budget 2013 in Parliament on Friday. Pix: SM AminSO, what are the salient points of Budget 2013? Malaysian Digest breaks it down for easy perusal:
Total budget: RM251.6 billion
Operation expenditure: RM201.9 bil
Development expenditure: RM49.7 bil
GDP growth 2012: 4.5 per cent – 5 per cent
GDP growth 2013: 4.5 per cent - 5.5 per cent
Revenue 2012: RM206.2 bil
Revenue 2013: RM208.6 bil
Deficit 2012: 4.5 per cent
Deficit 2013: 4.0 per cent
Education and Labour
• RM1bil to improve school infrastructure
• RM1.2bil for pre-schools under government programmes including Permata
• RM10,000 launching grants for private pre-school operators
• Five-year tax holiday and building allowance for pre-school operators
• Six pilot pre-schools for the disabled, RM3.7bil for vocational training
• Additional allocation of RM500 million for training of teachers in core subjects: Bahasa Malaysia, English, Science and Math
• Free health checks twice a year for Perkeso members
Crime-Fighting
• RM591mil for crime prevention
• 1,000 motorcycles for police’s neighborhood patrol unit
• Additional 10,000 volunteer police
• 496 CCTV in 25 local councils
• RM10,000 grants for neighborhood associations for patrols
• New uniforms for 300,000 Rela members
• Incentives for companies that install security systems
• Additional 150 staff for the Malaysian Anti-Corruption Commission (MACC)
• RM20mil for the National Legal Aid Foundation
Youth and Sports
• Velodrome to be built in Seremban, Negri Sembilan and a badminton academy in Bukit Kiara, Kuala Lumpur
• Subsidy of two per cent of interest rate business loans for young entrepreneurs for loans up to RM100,000
• RM200 rebate for smart phone purchase for those aged 21 to 30 years earning less than RM3,000 monthly
Public Transport
• Half price KTM Komuter fares for those earning less than RM3,000 a month
• Formation of RapidKuantan
Housing
• Affordable housing - 123,000 units to be built in areas such as Sungai Buloh and Seremban
• First home scheme – income cap raised from RM3,000 to RM5,000. Joint income limit is RM10,000. Applies only for houses below RM400,000
• Up to 50 per cent stamp duty exemption for first home owners until Dec 14, 2014
• Real property gains tax (RPGT) for properties sold within two years of purchase raised to 15 per cent; 2-5 years 10 per cent. No RPGT for properties sold five years after purchase
• Tax breaks and incentives for contractors and banks who offer loans to contractors to revive abandoned housing projects. Original buyers of abandoned projects will be exempted from stamp duty for loan refinancing or ownership transfer agreements
Bantuan Rakyat 1Malaysia (BR1M 2.0)
• RM500 cash for households with combined income of RM3,000 or less
• RM250 cash for unmarried individuals who are 21 and above and earning RM2,000 and below
• Disbursement – Early 2013
Subsidy cuts
• Sugar prices to increase as a result of subsidy cuts by RM0.20. New prices are RM2.50 per kilo for Peninsular Malaysia and RM2.60 per kilo for Sabah and Sarawak.
Tax cuts
• 1 per cent ax reduction for those with a taxable income of RM2,500 to RM50,000
• Tax cuts for corporations
Students
• RM10,000 rebates and 2 per cent interest subsidy on loans to purchase new school buses, to replace buses which are 25-years-old or more. (Capacity 12 to 18 seats)
• RM2.6bil in welfare aid for schoolchildren
• One-off payment of RM100 for each primary and secondary school student
• 20 per cent discount for National Higher Education Fund (PTPTN) loans for those who pay off the entire amount outstanding (valid until Sept 30, 2013)
• 10 per cent discount for PTPTN loan repayment for those who pay consistently
• Setting up of 100 neighborhood internet centers
- mD
