Mind map on Tax Incentives in Budget 2021

Budget 2021Cigarette & TobaccoMedical, special needs & parental careTourim TaxSuggestionPrivate Healthcare ServicesEquity CrowdFunding (ECF)Tourism Tax Tax Rebate for Retaining EmployeesRebate for High Tech StartupsBackgroundTax UpdateImplicationsBackgroundTax UpdateImplicationsBackgroundTax UpdateImplicationsTax UpdateImplicationsBackgroundTax UpdateImplicationsGovernment losing RM5 billion to illicit marketImpose indirect taxes on duty free islands10% excise duty on electric & non-electric cigarettesReduce consumption on tobaccoSave on cigarette-related health expensesIncrease in productivityCurrent limit at RM5,000Increased to RM8,000Receive quality medical treatmentRelieve burden on healthcare billsBoost revenue of healthcare sectorExemption of 50% for investmentLimited to RM50k / 10% of aggregate incomeEncourage startupsPromote job opportunitiesIncrease country's tax revenueRM 10 per nightExempted from July 2020 to June 2021Encourage local travellingProvide jobs100% of qualifying CAPEX allowance till 31 Dec 2020Extended to 2022Encourage upgrading of better medical equipmentPurchase of Covid-19 related equipmentCriticismExemption only to company concernedPropose a tax exemption up to 70%Eg: U.S. CARES ActTax credit at 70% of qualified wagesTourism tax should be extended to 2022Property tax rebateEg: Singapore 100% property tax rebateExample: UK's R&D tax creditCriticismMight not be sufficient to boost tourism
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