The government has introduced Economic Stimulus Packages on 27 February 2020 to ensure economic risks associated with the outbreak are effectively addressed.
Easing Cashflow
-
To allow deferment of monthly income tax instalment payments for businesses in the tourism sector. In addition, companies affected by the COVID-19 to be allowed to revise their profit estimates for 2020 with respect to monthly income tax instalment payments without penalty
-
To provide 15% discount in monthly electricity bills to hotels, travel agencies, airlines, shopping malls, conventions and exhibition centres
-
To exempt Human Resource Development Fund (HRDF) levies for hotels and travel related companies
-
To exempt the 6% service tax for hotels. However, this exemption will be made effective earlier, that is from March to August 2020
Human Capital Development
-
Malaysia Airport Holdings Berhad (MAHB) will provide rebates on rental for premises at the airport as well as landing and parking charges
-
The Government will give a one-off payment of RM600 each to taxi drivers, tourist bus drivers, tourist guides and registered trishaw drivers
-
The Government will provide double deduction on expenses incurred on approved tourism-related training.
-
The Government will also provide up to RM100 million on a matching grant basis to HRDF to fund an additional 40,000 employees from the tourism and other affected sectors
Stimulate Tourism Sector
-
Personal income tax relief of up to RM1,000 on expenditure related to domestic tourism
-
Malaysian will be eligible to digital vouchers for domestic tourism of up to RM100 per person for domestic flights, rails and hotel accommodations for all Malaysians. Additional matching grants for tourism promotion will be provided. An allocation of RM500 million is provided for the vouchers and tourism promotion
-
Relaxation of existing guidelines limiting use of hotels by Government agencies as part of mitigating the reduced demand.