KUALA LUMPUR, Aug 12 — Certain charities and non-government organisations (NGOs) may be exempt from tax up to 7 per cent when the government announces Budget 2019, Lim Guan Eng said today.
The finance minister said the federal government is studying tax exemptions for certain NGOs that actively carry out welfare programmes, national news agency Bernama reported him saying during the anniversary celebration of One Hope Charity and Welfare Berhad at Juru Auto City in Penang.
“The study is on the possibility of giving up to 7 per cent in tax exemption and it will be announced at the 2019 Budget which will be tabled on November 2,” he was quoted saying.
The former Penang chief minister encouraged charity organisations to hold more welfare programmes, saying “the government is facing financial constraints”.
Lim also related his visit aboard the RM1.02 billion superyacht Equanimity, whom Prime Minister Tun Dr Mahathir Mohamad has claimed to have been bought by Penang-born businessman Low Taek Jho, better known as Jho Low, from money “stolen” from sovereign investment fund 1Malaysia Development Berhad.
“Yesterday I accompanied Prime Minister Tun Dr Mahathir to look at the ship, it was like a dream but we were also sad as this was all from the people’s money which we could better use for the people,” the Bagan MP was quoted saying.
At a separate event in Serdang, Selangor earlier today, Dr Mahathir told reporters that the government coffers were nearly depleted from servicing loans undertaken by the previous Barisan Nasional administration.
He added that many Malaysians had developed a “habit” of expecting cash handouts from the government, which he blamed on his predecessor Datuk Seri Najib Razak.