To attract foreign companies to relocate their business into Malaysia by addressing the of re-shoring, the government has introduced the following tax incentives:-
0% tax rate for 10 years for new investment in manufacturing sectors with capital investment RM300 - RM500 million.
0% tax rate for 15 years for new investment in manufacturing sectors with capital investment above RM500 million.
100% Investment Tax Allowance for 5 years for existing company in Malaysia relocating overseas facilities into Malaysia with capital investment above RM300 million.
Special Reinvestment Allowance for manufacturing and selected agriculture activity, from YA 2020 to YA 2021.
Additional operating expenditure for Malaysian Investment Development Authority (MIDA) to undertake marketing and promotional activities.
Establishment of Project Acceleration Coordination Unit (PACU) at MIDA.
Enhancement of Domestic Investment Strategic Fund.
Manufacturing License approval for non-sensitive industry within 2 working days.